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REGISTERED No. D. 221

The Gazette of India

EXTRAORDINARY

PART II—Section 2

PUBLISHED BY AUTHORITY

No. 34] NEW DELHI, TUESDAY, AUGUST 13, 1963/SRAVANA 22, 1885

LOK SABHA

The following report of the Select Committee on the Bill to make provision for the constitution of port authorities for certain major ports in India and to vest the administration, control and management of such ports in such authorities and for matters connected therewith was presented to Lok Sabha on the 13th August, 1963: —

Composition of the Select Committee Shri S. V. Krishnamoorthy Rao—Chairman

MEMBERS 2. Shri Tridib Kumar Chaudhuri 3. Shri Sudhansu Bhushan Das 4. Shri Shivajirao S. Deshmukh 5. Dr. P. D. Gaitonde 6. Shri V. B. Gandhi 7. Shri Indrajit Gupta 8. Shri Himmatsinhji 9. Shri P. G. Karuthiruman

10. Shri Lahri Singh 11. Shri Rama Chandra Mallick 12. Shri Niranjan Lall 13. Shri Raghunath Singh 14. Shri Raj Bahadur 15. Shri C. R. Raja 16. Shri M. Thirumala Rao 17. Shri H. Siddananjappa 18. Dr. L. M. Singhvi 19. Shri Ravindra Varma 20. Shri Vishram Prasad 21. Shri Jagjivan Ram.

DRAFTSMAN

Shri G. R. Bal, Joint Secretary and Draftsman, Ministry of Law.

SECRETARIAT

Shri A. L. Rai—Deputy Secretary.

(485)

433 G of I Ex.—

A86 THE GAZETTE OF INDIA EXTRAORDINARY [PART II

REPORT OF THE SELECT COMMITTEE

1, the Chairman of the Select Committee to which the Bill* to make provision for the constitution of port authorities for certain major ports in India and to vest the administration, control and management of such ports in such authorities and for matters con- nected therewith was referred, having been authorised to submit the report on their behalf present their Report, with the Bill as amended by the Committee annexed thereto-

2. The Bill was introduced in Lok Sabha on the 23rd November, 1962. The motion for reference of the Bill to a Select Committee was moved by Shri Raj Bahadur, Minister of Shipping in the Min- istry of Transport and Communications, on the 8th December, 1962; and was adopted on the same day.

3- The Committee held seven sittings in all.

4. The first sitting of the Committee was* held on the 12th December, 1962, to draw up a programme of work. The Committee at this sitting decided to hear evidence from associations etc. and to issue a press communique inviting memoranda for the purpose. The Chairman was authorised to decide, after examining the memo- randa submitted by the associations as to which of them should be called upon to give oral evidence before the Committee.

5. The Report of the Committee was to be presented by the first day of the Fourth Session. As this could not be done, the Commit- tee, at their second sitting held on the 25th January, 1963 decided to ask for an extension of time for presentation of their reportl upto the first day of the Fifth Session. Necessary motion was brought before the House and adopted on the 18th February, 1963.

6. Ten memoranda/representations on the Bill were received by the Committee from different associations and public bodies.

7. At their Third and Fourth Sittings held on the 30th March and 4th June, 1963, respectively, the Committee heard the evidence given by the representatives of three associations and one Port Trust.

•Published In the Gazette of India, Extraordinary, Part II, Section 2, dated ihe23rd November, 1962.

3BC. 2] THE GAZETTE OF INDIA EXTRAORDINARY 487

8. The Committee have decided that the evidence given before them should be laid on the Table of the House in extenso.

9. The Committee considered the Bill clause by clause at their Fourth, Fifth and Sixth Sittings held on the 4th, 5th and 7th June, 1963.

10. The Committee considered and adopted the report on the 9th August, 1963.

11. The observations of the Committee with regard to the prin- cipal changes proposed in the Bill are detailed in the succeeding paragraphs.

12. Clause 2—The amendments made to the clause are of draft- ing nature.

13. Clause 3.—The Committee are of the view that the number of persons to be elected to a Board of Trustees by State or local bodies representing commercial, shipping or local interests should not exceed twelve so that parity is maintained between elected and nominated members-

The clause has been amended accordingly-

14- Clause 4.—The amendment made to sub-claus* (1) (c) is consequential to the amendment to clause 3.

The other amendment is of drafting nature.

15. Clause 5.—The Committee feel that the proviso to the clause is redundant in view of the second proviso to sub-clause (1) of clause 34 and as such could be omitted.

The clause has been amended accordingly.

16. Clause 8.—The Committee are of the opinion that the proper procedure would1 be for a Trustee to give notice of resignation to the Chairman who should forward the same to the Government.

The clause has been amended accordingly.

17. Clause 10.—The Committee are of the view that if the normal term of office of the vacating Trustee is due to expire within three months, no useful purpose would be served by filling up the vacancy for such a short duration.

The clause has been amended accordingly.

488 THE GAZETTE OF INDIA EXTRAORDINARY [PART II

18. Clauses 13, 21 and 22.—The amendments made to the clauses are of drafting and verbal nature.

19. Clauses 24 and 25—The Committee consider that—

(1) the power of disposing of questions relating to service matters of a Head of a Department or an employee appointed by the Board should be exercised by the Board subject to any order involving extension of ser- vice, suspension, reduction in rank, removal or dismis- sal of a Head of a Department taking effect only after approval by the Central Government, but in the case of any other post a certain measure of decentralisation of authority is desirable; and

(2) employees (other than Heads of Departments in whose case approval of the Central Government would be necessary under the proviso to sub-clause (1) of amended clause 25, before an order for their reduction in rank etc. could take effect) should have o right of appeal against an order involving reduction in rank, removal or dismissal.

The clauses have been amended to carry out this intention. The other amendments are of a drafting nature.

20. Clause 28.—The Committee consider it desirable to make clear that the Board would have the power to make regulations for any alteration that may be necessary in respect of tenure, remu- neration or terms and conditions of service of the existing port em- ployees after they become employees of the Board.

A new sub-clause (c) has been added accordingly.

The addition of new sub-clause (d) is consequential to the amendment to clause 25.

21. Clause 29—The Committee feel that provision should be made in the clause to forestall any possible demand for compensation under the Industrial Disputes Act, 1947, or any other law by any port employee serving under the Central Government or other authority on the transfer of his service to the Board under this clause.

The clause has been amended accordingly.

The other amendments are of a drafting nature,

22. Clauses 37, 38, 41 and 44—The clauses have been amended with a view to bring them in line with the provisions of the Customs Act 1962.

Sue. 2] THE GAZETTE OF INDIA EXTRAORDINARY 489

23. Clause 42—The Committee are of the opinion that, where it is not possible for the Board to undertake any of the services mentioned in the clause, the Board should have the power to authorise any person to perform such services on agreed terms and conditions.

The clause has been amended accordingly,

24. Clauses 45 and 47—The amendments made to the clauses are

of a drafting nature.

25. Clause 48—The amendment made to the clause is consequen-

tial to the amendment to clause 42.

26. Clauses 51, 53, 61 and 62—The amendments made to the clauses

are of drafting and clarificatory nature.

27. Clause 63—The Committee feel that it will not be desirable to provide in this Bill that the proceeds of sale under clause 61 or clause 62 may be applied in payment of dues outstanding In favour of the Board in respect of any other goods belonging to the same importer, owner or consignee. Dues outstanding in respect of such other goods should more appropriately be recovered by separate independent action. The Committee also consider that sub-clause (1) does not specifically refer to confiscated goods and, therefore, reference to such goods in sub-clause (2) would be inappropriate.

The clause has been amended accordingly.

28. Clauses 68, 97, 99 and 104.—The amendments nrade to the

clauses are of drafting nature,

29. Clause 115.~The clause has been re-drafted to make the inten- tion clear. It has now been made more comprehensive to cover other methods that may be resorted to for evasion of rates.

30. Clausen 120 and 121.—The Committee are of the opinion that the protection granted by these clauses should extend to members of the Board also.

The clauses have been amended accordingly.

31. Clauses 122 and 123.—The amendments made to the clauses are

of drafting and clarificatory nature.

32. Clause 124,—The Committee feel that the regulations framed under clause 28 should also be published in the Official Gazette prior to their approval by the Central Government so as to enable the employees to express their opinion on the terms and conditions of service.

The clause has been amended accordingly.

The other amendments are of drafting nature.

49© THE GA2ETTE Off INDIA EXTRAORDINARY [PAMT II

33. Clauses 125, 127 and 130—The amendments made to the clause* are of drafting and clarlflcatory nature.

34: The Select Committee recommend that the BUI as amended be passed.

S. V. KRISHNAMOORTHY RAO, NEW DELHI;

Chairman,

The &th August, 1963.

Select Committee,

SEC. 2] THE GAZETTE OF INDIA EXTRAORDINARY 491

Minute of Dissent

Clause 3 provides that the Central Government shall cause to be constituted in respect of any major port a Board of Trustees, to be called the 'Board of Trustees' of the port, which will represent various interests. Not more than ten persons are to be appointed by the Central Government from amongst the persons, who are, in its opinion, capable of representing labour in the port, Mercantile Marine Department, Customs, State Government, Defence Services, the Indian Railways and such other interest as, in the opinion of the Central Government, ought to be represented on the Board. It also provides that not more than 12 persons are to be elected by such State or local bodies representing commercial, shipping or local interests as the Central Government may from time to time specify.

It is surprising that in the composition of the Board of Trustees for a major port, no specific provision is made for non-omclal central interests. It is difficult to understand why, when States and local bodies have been given representation on the Board, an important section of the Central Government has been omitted altogether- Moreover, in spite of the fact that major ports are a central subject and are financed, partially or totally by the Central Government, no representation is provided for Parliament. As is well known, major ports provide for a very large proportion of the foreign trade of the country involving, from time to time, major international issues. Further, the efficiency of the port as a means of growth of internatio- nal trade, comprising particularly the export trade of the country, necessitates that the legislative wing of the Central Administration should be adequately represented on the Board. It is, therefore, suggested that provision should- be made for two members from Lok Sabha and one from Rajya Sabha to represent Parliament on the Board.

The Bill has also departed from the principle embodied in the existing Port Trust Acts of Bombay, Calcutta and Madras of speci- fically providing for two representatives of labour to be included in the Board of Trustees. The present Bill, in clause 3 (1) (c), does away with this minimum assured representation of labour, and leaves tht whole question entirely at the discretion of the Central Government. Thus, in any future Board of Trustees oi a major port, labour may

492 THE GAZETTE OF INDIA EXTRAORDINARY [PABT II

have only one representative or, conceivably, none at all. This is an undesirable state of affairs, particularly in view of the reality that—

(a) the major ports, together with their labour force, are expected to expand rapidly;

(b) in every port, there are generally several registered trade unions, and more than one of them can claim to have a representative character; and

(c) it is the policy of the existing Port Trusts to grant recog- nition to more than one union in each port.

The practical experience of Calcutta, Bombay and Madras demon- strates that, because of the above-stated realities, even the existing provision in their Acts for two representatives of labour is often inadequate to meet the requirements of the situation and only stimu- lates unhealthy inter-union rivalries leading to labour unrest.

Hence, even assuming that the ports of Cochin, Visakhapatnam and Kandla at present employ fewer workers than are employed at the older major ports, we strongly feel that the present Bill should specillcally provide for not less than two representatives of labour to be nominated on each Board of Trustees. There is no justification for leaving a loophole whereby labour's quota is encroachable upon by "othe,r interests".

It is a pity that the Select Committee could not visit any of the ports for on-the-spot study of the problems faced by the Port Trusts in their functioning.

NEW DELHI; RAGHUNATH SINGH

The 13th August, 1963.

INDRAJIT GUPTA.

SEC. 2] THE GAZETTE OF INDIA EXTRAORDINARY 493

BUI No. i i 4 A of 1962

THE MAJOR PORT TRUSTS BILL, 1962

(AS REPORTED BY THE SELECT COMMITTEE)

(Words underlined or sidelined indicate the amendments suggested

by the Committee; asterisks indicate omissions)

A

BILL

to make provision for the constitution of port authorities for certain

major ports in India and to vest the administration, control and

management of such ports in such authorities and for matters

connected therewith.

BE it enacted by Parliament in the Fourteenth Year of the Republic of India as follows: —

CHAPTER I

PRELIMINARY

, 1. (/) This Act may bo called the Major Port Trusts Act, 1963. :

Short title,

commence*

ment and

(2) It shall come into force on such date as the Central Govern-'

pplicatlon,

ment may, by notification in the Official Gazette, appoint.

(3) It applies in the first instance to the major ports of Cochin, Kandla and Vishakhapatnam, and the Central Government may, by 10 notification in the Official Gazette, apply the provisions of this Act to such other major port (not being the major port of Bombay, Calcutta or Madras), and with effect from such date, as may be specified in the notification.

FtSnition*.

2- In this Act, unless the context otherwise requires,—- J 15 (a) "appointed day", in relation to a port, means tha date on which this Act i3 made applicable to that port;

433 G of I Ex.—2

494 THE GAZETTE OF INDIA EXTRAORDINARY [PABT II

(b) "Board", in relation to a port, means the Board of Trustees constituted under this Act for that port;

(c) "Chairman" means the Chairman of a Board and includes the person appointed to act in his place under section 14;

(d) "Collector of Customs" has the same meaning as in the 3

Customs Act, 1962;

53 of 196%.

(e) "Deputy Chairman" means the Deputy Chairman of a Board and includes the person appointed to act in his place under section 14;

(f) "dock" includes all basins, locks, cuts, entrances, graving io docks, graving blocks, inclined planes, slipways, gridirons, moor- ings, transit-sheds, warehouses, tramways, railways and other works and things appertaining to any dock, and also the portion of the sea enclosed or protected by the arms or groynes of a harbour;

IS

(g) "foreshore", in relation to a port, means the area bet- ween the high-water mark and the low-water mark relating to that port;

property; — — — ——

(h) "goods" includes livestock and every kind of movable ^Q

(i) "high-water mark", in relation to a port, means a lino drawn through the highest points reached by ordinary spring- tides at any season of the year at the port;

15 of 1908.

(j) "Indian Ports Act" means the Indian Ports Act, 1908; (k) "land" includes the bed of the sea or river below high- 25 water mark, and also things attached to the earth or permanent- ly fastened to anything attached to the earth;

(I) "low-water mark", in relation to a port, means a line drawn through the lowest points reached by ordinary spring tides at any season of the year at that port; 3°

(m) "major port" has the same meaning as in the Indian Ports Act;

(n) "master", in relation to any vessel or any aircraft making use of any port, means any person having for the time being the charge or control of such vessel or such aircraft, as 35 the case may be, except a pilot, harbour master, assistant harbour master, dock master or berthing master of the port;

(o) "owner", (i) in relation to goods, includes any consignor, consignee, shipper or agent for the sale, custody, loading or un- loading of such goods; and (n) in relation to any vessel or any 40 aircraft making use of any port, includes any part-owner, charterer, consignee, or mortgagee in possession thereof;

SKC. 2] THE GAZETTE Of INDIA EXTRAORDINARY 495

(p) "pier" includes any stage, stairs, landing place, hard, jetty, floating barge or pontoon, and any bridges or other work* connected therewith;

(q) "port" means any major port to which this Act applied 5 within such limits as may, from time to time, be denned by the Central Government for the purposes of this Act by notification in the Official Gazette, and, until a notification is so issued, within such limits as may have been denned by the Central Government under the provisions of the Indian Ports Act;

10 (r) "port approaches", in relation to a port, means thoia parts of the navigable rivers and channels leading to the port. in which the Indian Ports Act is in force;

(s) "Port Trust security" means debentures, bonds or stock certificates issued by a Board in respect of any loan contracted 15 by it under the provisions of this Act or issued by any other authority for the payment of which the Board is liable under this Act;

(t) "prescribed" means prescribed by rules or regulations made under this Act;

20 (w) "public securities" means—

(i) promissory notes, debentures, stock ©r otker securities of the Central Government or of any State Gov- ernment:

• Provided that securities, both the principal whereof and 25 the interest whereon have been fully and unconditionally guaranteed by any such Government, shall be deemed, for the purposes of this clause, to be securities of such Gov- ernment;

(ii) debentures or other securities for money issued by 30 or on behalf of any municipal body, Improvement Trust or Port Trust under the authority of any law for the time being in force in India (including the Port Trust securities);

(v) "rate" includes any toll, due, rent, rate, fee, or charge leviable under this Act;

35 (w) "regulations" means regulations made + * • under this Act;

(x) "rules" means rules made by the Central Government under this Act;

496 THE GAZETTE OF INDIA EXTRAORDINARY [PAUT II

(y) "Trustee", in relation to a port, means a member of the Board constituted for the port;

(z) "vessel" includes a caisson; (za) "wharf" includes any wall or stage and any part of the land or foreshore that may be used for loading or unloading goods, 5 or for the embarkation or disembarkation of passengers and any wall enclosing or adjoining the same.

CHAPTER n

BOARD OF TRUSTEES AND COMMITTEES THEREOF

3. (7) With effect from such date as may be specified by notiflca- 10 Constitution of Board of Truncct.

tion in the Official Gazette, the Central Government shall cause to b" constituted in respect of any major port a Board of Trustees to be called the Board of Trustees of that port, which shall consist of the following Trustees, namely: —

(a) a Chairman to be appointed by the Central Government; te

(b) a Deputy Chairman, if the Central Government deems fit to appoint one;

(c) not more than ten persons to be appointed by the Central Government from amongst persons who are in its opinion capable of representing—

20

(i) labour employed in the port;

(ii) the Mercantile Marine Department; (Hi) the Customs Department; (iv) the Government of the State in which the port is situated;

2,

(u) the Defence Services; (vi) the Indian Railways; and

(vii) such other interests as, in the opinion of the Central Government, ought to be represented on the Board:

Provided that before appointing any person under sub-clause 30 i), the Central Government shall obtain the opinion of the trade unions, if any, composed of persons employed in the port and registered under the Indian Trade Unions Act, 1926;

16 of 1926.

(d) not more than twelve persons to be elected by such State or local bodies representing commercial, shipping or local 35 Interests as the Central Government may, from time to time, by notification in the Official Gazette, specify.

SEC. 2] THE GAZETTE 0^ INDIA EXTRAORDINARY 497

(2) A Trustee appointed by the Central Government under this Act may be appointed by name or by virtue of office,

(3) Every nolincatiun issued under clause (d) of sub-section (7) may also specify the number of Trustees that each of the bodies 5 referred to in that clause may elect.

(4) The election of Trustees under clause (d) of sub-section (1) shall be held within such period as may, from time Lo time, be speci- fied by the Central Government.

(5) The chief executive authority of every electing body shall 10 communicate forthwith to the Central Government the result of any election held in pursuance of sub-section (4).

(6) The names of persons appointed or elected as Trustees shall be notified by the Central Government in the Official Gazette,

First Board Of Trustees, 4. (1) Notwithstanding anything contained in section 3, the 15 Central Government may, by notification in the Official Gazette, constitute in respect of any in a j or port the first Board of Trustees thereof consisting of—

(a) a Chairman to be appointed by the Central Government;

(b) a Deputy Chairman, if the Central Government deems fit 20 to appoint one; and

(c) such number of other Trustees, not exceeding twenty- two, as that Government may deem expedient, to be appointed by that Government from amongst persons who are in its opinion capable of representing,—

2- (i) labour employed In the port;

(ii) Government of the State in which the port is sltuat- ed;

(in) Government departments specified in sub-clauses (ii), (iii), (v) and (vi) of clause (c) of sub-section (1) of section 3; and

(iv) such other interests as, in the opinion of the Central Government, ought to be represented on the Board.

(2) Subject to the provisions of sub-section (3), the persons appointed as Trustees under sub-section (1) shall hold office during 3, the pleasure of the Central Government.

(3) On the constitution of the Board under section 3, the first

498 THE GAZETTE OF INDIA EXTRAORDINARY [PAR* It

Board to be 5. Every Board constituted under this Act shall be a body corpo- body cor- rate having perpetual succession and a common seal with power, subject to the provisions of this Act, to acquire, hold or dispose of property and may by the name by which it is constituted, sue or be sued.

>

DisquaM- 6- A person shall be disqualified fof being chosen as a Trustee, it cation for v.e office of

f u s t e e' (a) has been convicted and sentenced to imprisonment for an offence which, in the opinion of the Central Government, I0 involves moral turpitude; or

(b) is an undischarged insolvent; of

(c) holds any office of profit under the Board:

Provided that this disqualification shall not apply to the Chairman or Deputy Chairman;

X5 (d) has, directly or indirectly, any share or interest in any work done by order of the Board, or in any contract or employ- ment, with, by, or on behalf of the Board:

Provided that no person shall be deemed to have a share or interest in such work, contract or employment by reason only 2o of his—

(i) having a share in any company or firm which may contract with or be employed by or on behalf of the Board, or -

(ii) having a share or interest in any newspaper in which 25 any advertisement relating to the affairs of the Board may be inserted, or

(in) being interested in any loan of money to the Board, or

(iu) having a share or interest in any lease, sale, ex- 30 change or purchase of immovable property or any agree- ment for the same, or

(v) having a share or interest in any licence by the Board, or right by agreement or otherwise with the Board to the sole or preferential use of any railway siding or any berth for vessels in the docks belonging to the Board, or

(vi) having a share or interest in the occasional sale to the Board, to a value not exceeding ten thousand rupees in any one financial year, of any article in which he trades.

Sic. 2] THE GAZETTE OF INDIA EXTRAORDINARY 499

7. (I) The Chairman and the Deputy Chairman shall hold office during the pleasure of the Central Government.

Term of office of Trunteas.

(2) Subject to the provisions of this Act,—

(a) every person elected or appointed by name to be a 5 Trustee shall hold office to which he is elected or so appointed, lor a term of two years commencing on the 1st day of April next following his election or appointment, as the case may be:

Provided that the term of office of a member elected to repre- •ent any body of persons shall come to an end as soon as he 10 ceases to be a member of that body;

(b) a* person appointed by virtue of an office to be a Trustee shall, until the Central Government by notification in the Official Gazette otherwise directs, continue to be a Trustee so long as he continues to hold that office.

15 8. (1) The Central Government shall remove a Trustee if he— Vacation of office of Trust"es, (a) becomes subject to any of the disqualifications mention- ed in section 8; or

(b) refuses to act or becomes incapable of acting; or

(c) is, without the permission of the Board previously 20 obtained, absent from six consecutive ordinary meetings of the Board; or

(d) is absent from the meetings of the Board for a period exceeding six consecutive months; or

(e) acts in contravention of the provisions of section 19.

25 (2) A Trustee may resign his office by giving notice in writing to the Chairman who shall forward the same to the Central Govern- ment, and on such resignation being accepted by that Government he shall be deemed to have vacated his office.

9. Any person ceasing to be a Trustee shall, unless disqualified 30 under section 6, be eligible for re-appointment or re-election.

Eligibility of Trustee for re-appoint- ment or re-election,

Filling of vacancies office of Trustee.

10. (I) In the case of a vacancy in the office of a Trustee appoint- ed by name or an elective Trustee caused by the expiration of the term of office of such-Trustee, the appointment to fill such vacancy shall be made or an election to fill such vacancy shall be completed,

50O THE GAZETTE OF INDIA EXTRAORDINARY [PART II

as the case may be, within two months immediately preceding the date of expiration of such term.

(2) In the case of a vacancy in the office of a Trustee appointed by the Central Government by virtue of an office, the appointment to fill such vacancy shall be made within one month of the occur- 5 rence of such vacancy.

(3) In the case of a casual vacancy in the office of a Trustee appointed by name or an elective Trustee caused by the death of such Trustee or by virtue of the previsions of section 8, such vacancy shall be filled within one month of the occurrence thereof by appointment io or election, as the case may be, in the manner hereinbefore specified:

Provided that the Trustee so appointed or elected shall retain his office so long only as the vacating Trustee shall have retained the same if such vacancy had not occurred:

Provided further that no such casual vacancy occurring within 15

three months of the date of expiry of the normal term of office of the vacating trustee shall be filled up under this sub-section.

Saving pro- vision for appointment of Trustee by Central Government after pre- scribed period.

11. Nothing in the foregoing provisions shall prevent a person being appointed by the Central Government to fill any vacancy in the office of a Trustee appointed by the Central Government after 20 the expiration of the period specified in section 10, if for any r-jason it has not been possible for the Central Government to make the appointment within the said period.

12. (1) If the Central Government is satisfied that an electing body has failed to elect a Trustee within the period specified therefor 25 in sub-section (4) of section 3 or section 10 for reasons beyond its control, the Central Government may, by notification in the Official Gazette, direct that the election shall be held on or before such date as may be specified in the notification.

Power of Central Government to extend time for election or appoint Trustee a in default of election.

(2) In the event of default being made in electing any Trustee 30

within the period specified therefor under sub-section (4) of section 3 or under section 10, or as the case may be, on or before the date specified in the notification issued under sub-section (2), it shall be lawful for the Central Government to appoint a person by notifica- tion in the Official Gazette, and the person so appointed shall be 35 deemed to be- an elective Trustee.

13. Where a Trustee is appointed under section 11 or under sub- section (2) of section 12 or elected in pursuance of a direction Issued under sub-section (1) of section 12, the term of office of such Trustee Term of office in case of certain Trasstees.

SEC. 2] THB GAZETTE OF INDIA EXTRAORDINARY 501

shall commence on the date on which his appointment or election, as the case may be, is notified in the Official Gazette and shall expire on the date on which his term of office would have expired if his appointment or election had been made within the period specified 5 under * * * * section 10, or, as the case may be, under sub-section (4) of section 3.

Ab"enc" of Chairman and Deputy 'Chairman.

14. If the Chairman or the Deputy Chairman is, by infirmity or otherwise, rendered incapable of carrying out his duties or is absent on leave or otherwise, in circumstances not involving the vacation 10 of his appointment, or is sent on deputation outside India for any of the purposes of this Act, the Central Government may appoint an- other person to act in his place during his absence:

Provided that the Chairman or the Deputy Chairman, while on deputation outside India may, if the Central Government by order 15 "o directs and subject to such conditions and restrictions a3 may be specified in that order, exercise such of the powers and perform such of the duties conferred or imposed on the Chairman or the Deputy Chairman, as the case may be, by or under this Act ae he may deem necessary, and the Chairman or Deputy Chairman while exercising 20 such powers and performing such duties shall be deemed to be a Trustee notwithstanding anything to the contrary contained in this Act.

15. The Chairman and the Deputy Chairman shall be paid such salary and be governed by such terms and conditions of service as 25 may, from time to time, be determined by the Central Government.

Conditions of servi"o of Chairman and Deputy Chainr"n.

Meetings of Board.

16. (1) A Board shall meet at such times and places and shall, subject to the provisions of sub-sections (2), (3) and (4), observe such rules of procedure in regard to the transaction of business at its meetings as may be provided by rules made under this Act.

30 (2) The Chairman or, in his absence, the Deputy Chairman, and in the absence of both, any person chosen by the Trustees present from among themselves, shall preside at meetings of the Board.

(3) All questions at a meeting of the Board shall be decided by • a majority of the votes of the Trustees present and voting and, in the 35 case of an equality of votes, the person presiding shall Have a second or casting vote.

(4) No business shall be transacted at any meeting of the Board unless not less than five Trustees are present throughout such meet- ing.

433 G of I Ex.—3

502 THE GAZETTE OF INDIA EXTRAORDINARY [PART II

Committees of Board.

17. (I) A Board may, from time to time, constitute from amongst the Trustees one or more committees, each consisting of such number as the Board may consider necessary, for the purpose of discharging such of its functions as may be delegated to such committee or com- mittees by the Board.

5

(2) A committee constituted under this section shall meet at such times and at such places and shall observe such rules of pro- cedure in regard to the transaction of business at its meetings (in- cluding the quorum) as may be provided by regulations made under thia Act.

i°

18. The Trustees shall be paid by the Board such fees and allow- Fees "nd allowance 8 payable to Trustees.

ances for attending the meetings of the Board or of any of its com- mittees and for attending to any other work of the Board as may be provided by rules made under this Act:

Provided that no fees shall be payable to the Chairman, Deputy 15

Chairman or any other Trustee who is a servant of the Government.

Restriction of power of Trustees to yote in certain canes.

19. No Trustee shall vote or take part in the discussion of any matter coming up for consideration at a meeting of the Board or any of its committees if the matter is one in which he has any direct or indirect pecuniary interest by himself or his partner, or in which 2° he is interested professionally on behalf of a client or as agent for any person other than the Government or a local authority or a trade union registered under the Indian Trade Unions Act, 1926.

it of 1926.

20- No act or proceeding of a Board or of any of its committees

shall be invalid merely by reason of—

25

(a) any vacancy therein or any defect in the constitution Defects in appoint- ments or election not to invalidate acts, etc.

thereof, or

(b) any defect in the election or appointment of a person as

a member thereof, or

(c) any Trustee having acted or taken part in any proceed- 30

ings in contravention of section 19, or

(d) any irregularity in its procedure not affecting the merits

of the case.

21. A Board may, with the approval of the Central Government Delegation of powers.

specify—

35

(a) the powers and duties conferred or imposed upon th^ Board by or under this Act, which may also be exercised or

kac. 2] THE GAZETTE OF INDIA EXTRAORDINARY 50$

(b) the powers and duties conferred or imposed on the Chairman by or under this Act, which may also be exercised or

performed by the Deputy Chairman or any officer of the Board and the conditions and restrictions, if any, subject to which such 5 powers and duties may be exercised and performed:

Provided that any powers and duties conferred or imposed upon the Deputy Chairman or any officer of the Board under clause (6) shall be exercised and performed by him subject to the supervision and control of the Chairman.

Duties of Chairman and Deputy Chairman.

ic 22. (1) It shall be the duly of the Chairman and the Deputy Chairman to attend every meeting of the Board unless prevented by sickness or other reasonable cause.

(2) The Chairman shall, as soon as possible, transmit to the Central Government a copy of the minutes of every meeting of the 15 Board and shall furnish to that Government such reports, returns, documents or other information as it may, from time to time, call for.

(3) The Chairman shall exercise supervision and control over the acts of all employees of the Board in matters of executive administration and in matters concerning the accounts and records

20 of the Board.

CHAPTER III

STAFF OF THE BOARD

Schedult of Board's staff.

23. A Board shall, from time to time, prepare and sanction a Schedule of the employees of the Board whom it deems necessary 25 and proper to maintain lor the purposes of this Act and such Sche- dule shall indicate therein the designations and grades of employees and the salaries, fees and allowances which are proposed to be paid to them.

24. (i) Subject to the provisions of the Schedule for the time 30 being in force sanctioned by a Board under section 23, the power of

Power to make appoint- ment!.

appointing any person to any post, whether temporary or perma-

nent, shall—

(a) in the case of a post the incumbent of which is to be

regarded as the Head of a department, be exercisable by the

35 Central Government after consultation with the Chairman;

(b) in the case of * * * * * a post [other than a post referred to in clause (a)] the maxi- mum of the pay-scale for which (exclusive of allowances) "x- cetds such amount as the Central Government may, from time

504 THE GAZETTE OF INDIA EXTRAORDINARY [PART II

to time, fix in this behalf, and where no such amount hae been fixed, is trot less than one thousand rupees, be exercisable by the Board;

(c) in the case of any other post, be exercisable by such authority as may be prescribed by regulations: """"" 5

Provided that no person shall be appointed as a pilot at any port, who is not for the time being authorised by the Central Government under the provisions of the Indian Ports Act to pilot vessels at that port.

(2) The Central Government may, by order, specify any post th" 10 incumbent of which shall, for the purposes of this Act, be regarded as the Head of a department.

Pow" to promota, grant lcave; etc., to employtes of Boafd.

25. (1) Subject to any regulations made under section 28, the power of promoting, granting extension of service to, granting leave to, suspending, reducing, removing or dismissing or of disposing of 15 any other question relating to the services of. the employees of a Board, including the power of dispensing with the services of any such employee otherwise than by reason of the misconduct of such employee, shall be exercised—

(a) in the case of a Head of a department or in th" case 20 of an employee holding a post referred to in clause (b) of subjection (1) of section 24, by the Board;

(b) in any other case, by such authority as may be pres- cribed by regulations:

Provided that no such order, so far as the same involves 25 extension of service, suspension, reduction in rank, removal or dismissal of a Head of a department, shall have effect until it is approved by the Central Government.

(2) Any employee of a Board (not being a Head of a depart- ment) aggrieved by an order involving his reduction in rank, re- 30 moval or dismissal may, within such time and in such manner as may be provided for by regulations, prefer an appeal—

(a) to the Central Government, where such order is passed by the Board;

(b) to th" Board, wher" such order is passed by the Chair- 35 man;

SEC. 2] THE GAZETTE OF INDIA EXTRAORDINARY 505

(c) to the Chairman, in any other case:

Provided that where the person who passed the order be- comes, by virtue of his subsequent appointment as the Chair- man, the appellate authority in respect of the appeal'against 5 the order, such person shall forward the appeal to the Board and the Board in relation to thfet appeal shall be deemed to be the appellate authority for the purposes of this section.

Consulting E^iginctr to Bowd.

26. A Board may appoint any person as Consulting Engineer to the Board otherwise than on the basis of payment of a monthly 10 salary, but every such appointment shall be subject to the sanction

of the Central Government.

27. Notwithstanding anything contained in section 23, no post other than a poat referred to in clause (c) of sub-section (1) of sec- tion 24 shall be created except with the sanction of the Central

15 Government.

Sanction of Central Government necessary in case of crea- tion of cortain posts.

28. A Board may make regulations, not inconsistent with this Act,

to provide for any one or more of the following matters, namely:—

Power to make regu- lations.

(a) the appointment, promotion, suspension, removal and

dismissal of its employees;

20 (b) their leave, leave allowances, pensions, gratuities, com- passionate allowances and travelling allowances and the estab- lishment and maintenance of a Provident Fund or any other fund for their welfare;

(c) the terms and conditions of service of persons who be- 25 come employees of the Board under clause (f) of sub-section

(1) of section 29;

(d) the time and manner in which appeals may be prefer- red under sub-section (2) of section 25 and the procedure for deciding such appeals;

30 (e) any other matter which is incidental to, or necessary

for, the purpose of regulating the appointment and conditions of service of its employees.

CHAPTER IV

PROPERTY AND CONTRACTS

35 29. (1) As from the appointed day in relation to any port— Transfer of assets and hahiliti"s of Central Govern- ment, etc., to Board.

(a) all property, assets and funds vested in the Central Gov- ernment or, as the case may be, any other authority for the purposes of the port immediately before such day, shall vest in the Board;

506 THE GAZETTE OF INDIA EXTRAORDINARY [PART II

(b) all debts, obligations and liabilities incurred, all con- tracts entered into and all matters and things engaged to bo don*, by, with or for the Central Government or, as the case may be,, the other authority immediately before such day, for or in connection with the purposes of the port, shall be deemed to 5 hav" been incurred, enteaed into and engaged to be don" by, with or for the Board;

(c) all non-recurring expenditure incurred by the Central Government or any State Government for or in connection with th" purposes of the port up to such day and declared to be capi- 10 tal expenditure by the Central Government shall be treated as the capital provided by the Central Government or, as the case may be, the State Government to the Board;

(d) all rates, fees, rents and other sums of money du" to the Central Government or, as the case may be, th" other j* authority in relation to the port immediately before such day shall b" deemed to be due to the Board;

(e) all suits and other legal proceedings instituted * * * *** by or against the Central Government or, as the case may b", the other authority immediately before such day for any 20 matter in relation to the port may ba continued ""** by or against the Board;

(f) every employee serving under the Central Government or, as the case may be, the other authority immediately before such day solely or mainly for or in connection with the affairs 25 of the port shall become an employee of the Board, shall hold his office or service therein by the same tenure and upon the same terms and conditions of service as he would have held the same if the Board had not been established and shall continue to do so unless and until his employment in the Board is termi- 30 nated or until his tenure, remuneration or terms and conditions of service are duly altered by the Board:

Provided that the tenure, remuneration and terms and con- ditions of service of any such employee shall not be altered to his disadvantaga without the previous sanction of the Central 35 Government.

14 of 194?.

(2) Notwithstanding anything contained in the Industrial Dis- putes Act, 1947, or in any other law for the time being in force, the transfer of the services of any employee under this section to the Board shall not entitle such employee to any compensation under 4° that Act or other law, and no such claim shall be entertained by any Court, Tribunal or other authority.

SEC. 2] THE GAZETTE OF INDIA EXTRAORDINARY 507

Existing rutes, etc., to continue until altered by Board.

30. As from the appointed day, all rates, fees and other charges in relation to eny port, shall, unless and until they are varied by the competent authority in accordance with "the provisions of this Act, continue to be levied and collected at the same rate at which they 5 were being levied and collected by the Central Government or, as the case may be, any other authority immediately before such day.

Repayment of capital wuh inte- rest.

31. A Board shall repay, at such intervals and on such terms and conditions as the Central Government may determine, the amount of capital provided under clause (c) of sub-section (1) of section 19 29 with interest at such rate as may be fixed by that Government and such repayment of capital or payment of interest shall be deem- ed to be part of the expenditure of the Board.

1 of J894.

Proaedure when immovable property c"nnot be acquired by agreement.

32. Whenever any immovable property which ii required for the purposes of the Board cannot be acquired by agreement, tha Central X5 Government may, at the request of the Board, procure the acquisi- tion thereof under the provisions of the Land Acquisition Act, 1804, and on payment by the Board of the compensation awarded under that Act and of the charges incurred by the Government in connec- tion with the proceedings, the land shall vast in the Board.

Contracts by B*ard.

20 33. Subject to the provisions of section 34, a Board shall be com- petent to enter into and perform any contract necessary for the performance of its functions under this Act-

34. (1) Every contract shall, on behalf of a Board, be made by the

Chairman and shall be sealed with the common aeal of the Board:

Mode of executing contract! o" behalf "f Board.

25 Provided that no contract whereof the value or amount exceeds such value or amount as the Central Government .may from time to time fix in this behalf shall be made unless it has been previously approved by the Board:

Provided further that no contract for the acquisition or *ale of 30 immovable property or for the lease of any such property for a term exceeding thirty years, and no other contract whereof the value or amount exceeds such value or amount as the Central Government may from time to time fix in this behalf, shall be made unless it has been previously approved] by the Central Government.

35 (2) Subject to the provisions of sub-section (1), the form and manner in which any contract shall be made under this Act shall be snch as may be prescribed by regulations made in this behalf.

(3) No contract which is not made in accordance with the pro- visions of this Act and the regulations made thereunder shall be

40 binding on the Board.

508 THE GAZETTE OF INDIA EXTRAORDINARY [PART II

CHAPTER V

WORKS AND SERVICES TO BE PROVIDED AT POUTS

35. (1) A Board may execute such works within or without the limits of the port and provide such appliances as it may deem neces- sary or expedient.

5 Power of Board to execute works and provide appliance!,

(2) Such works and appliances may include—

(\a) wharves, quays, docka, stages, jetties, piers and other works within the port or port approaches or on the foreshore of the port or port approaches, with all such convenient arches, drains, landing places, stairs, fences, roads, railway*, bridges, I0 tunnels and approaches and buildings required for the residence of the employees of the Boardl as the Board may consider necewary;

(b) buses, railways, locomotives, rolling stock, sheds, hotel*, warehouses and other accommodation for passengers and goeds l5 and other appliances for carrying passengers and for conveying, receiving and storing goods landed, or to be shipped or other- wise;

(c) moorings and cranes, scales and all other necessary means and appliances for loading and unloading vessels; 20

(d) reclaiming, excavating, enclosing and raising any part of the foreshore of the port or port approaches which may be necessary for the execution of the works authorised by thia Act, or otherwise for the purposes of this Act;

(e) such breakwaters and] other works as may be expedient 25 for the protection of the port;

(f) dredgers and other machines for cleaning, deepening and improving any portion of the port or port approaches or of the foreshore of the port or port approaches;

(g) lighthouses, lightships, b&acons, buoys, pilot boats and 5° other appliances necessary fpr the safe navigation of the port and of the port approaches;

(h) vessels, tugs or other boats for use within the limits of the port or beyond those limits, whether in territorial waters or otherwise, for the purpose of towing or rendering 35 assistance to any vessel, whether entering or leaving the port or bound elsewhere, and foV the purpose of saving or protecting life or property and for the purpose of landing, shipping or transhipping passengers or goods under section 42;

SEC. 2] THE GAZETTE OF INDIA EXTRAORDINARY 509

(i) sinking of tube-wells, and equipment, maintenance and use of boats, barges and other appliances for the purpose of the supply of water at Ihe port;

(j) engines and other appliances necessary for the extin- 5 guishing of fires.

Power of Hoard to undertake certain works.

36. A Board may undertake to carry out on behalf of any person any works or services or any class of works or services, on such terms and conditions as may be agreed upon between the Board and the person concerned,

Power if Board to order oen-going vessels to use docks, wfi:)r- ve"j etc. 10 37. (1) When any dock, berth, wharf, quay, stage, jetty or pier erected at any port ox port approaches under the provisions of this Act has been completed with sufficient warehouses, sheds and appli- ances for receiving, landing or shipping goods or passengers from and upon sea-going vessels, the Board may, after obtaining the 15 approval of the Collector of Customs and by notification published in three consecutive issues of the Official Gazette, declare that such dock, berth, wharf, quay, stage, j"tty or pier is ready for receiving, landing and shipping or for landing or for shipping goods or passen- gers from and upon sea-going vessels.

20 (2) As from the date of the publication of such notification for the third time, it shall be lawful for the Board, from time to time, when there is room at such dock, berth, wharf, quay, stage, Jetty or pier, to order to come alongside of such dock, berth, wharf, quay, stage, jetty or pier for the purpose of landing and shipping goods or 35 passengers or for landing or for shipping the same, any sea-going vessel within the port or port approaches which has not commenced to discharge goods or passengers, ox which being about to take in goods or passengers, has not commenced to do so:

Provided that before making such order, the Board shall have re- 3° gard, as far as possible, to the convenience of such vessel and of the shippers, in respect of the use of any particular dock, berth, wharf, quay, stage, jetty or pier:

Provided further that if the Board is not the conservator of the port, the Board shall not itself make the order as aforesaid but shall 35 require the conservator of the port, or other person exercising the rights, powers, and authorities of the conservator of the port, to make1 such order.

433 G of I Ex.—t

510 THE GAZETTE OF INDIA EXTRAORDINARY [PART II

If accommo- dation suffi- cient, all aea-going vessels com- pelled to use docks, wharves, etc,

10 38. When a sufficient number of docks, berths, wharves, quays, stages, jetties or piers have been provided at any port or port approaches as aforesaid, the Board may, after obtaining the approval of the Collector of Customs and by notification published in three consecutive issues of the Official Gazette, direct that no goods or 5 passengers shall be landed or shipped from or upon any sea-going vessel within the port or port approaches otherwise than at such docks, berths, wharves, quays, stages, jetties or piers, except with the sanction of the Board and in accordance with such conditions as the Board may specify.

Power to order .vessels not to come alongside of, or to be removed ffora, docks, wharves, etc.

39. Any officer appointed by the Board in this behalf may, in cases of emergency or for any reason which appears to him sufficient, by notice in writing, order the master or owner or agent of any sea- going vessel not to bring such vessel alongside of, or to remove such vessel from, any dock, berth, wharf, quay, stage, jetty or pier belong- *5 ing to or under the control of the Board, and, if such notice is not complied with, the Board may charge in respect of such vessel such sum as it thinks fit, not exceeding one thousand rupees for each day of twenty-four hours, c !>ortion of such day, during which such vessel remains at such dock, berth, wharf, quay, stage, jetty or pier: 20

Provided that in the case of a vessel ordered to be removed, such charge shall not commence to be made till after the expiry of twelve hours from the service of such notice as aforesaid on the master or owner or agent of the vessel.

4(h Notwithstanding anything contained in sections 37 and 38, the 25 Power of Central Government to ex;:npt from obliga- tion to use docks, whar- ves, etc.

Central Government may, if in its opinion it is necessary in the pub- lic interest so to do, by general or special order, from time to time, permit certain specified vessels or classes of vessels to discharge or ship goods or certain specified goods or classes of goods, at such place in a por1. or within the port approaches, in such manner, during such 3° period and subject to such payments xo the Board and on such condi- tions a3 the Central Government may think fit.

41. (1) When any dock, berth, wharf, quay, stage, jetty or pier for receive ft, landing or shipment of goods or passengers from or upon vessels, not being sea-going vessels, has been made and! com- 35 pleted with all proper appliances in that behalf, the Board may, after obtaining the approval of the Collector of Customs, by order pub- lished in three consecutive issues of the Official Gazette,—

Board to declare when vessel* other than sea-going vessels compelled to use docks, wharves, etc.

(!) declare that such dock, berth, wharf, quay, stage, jetty or pier is ready for receiving, landing or shipment of goods or 4° passengers from or on vessels, not being sea-going vessels, and

SEC. 2] THE GAZETTE OF INDIA EXTRAORDINARY 511

(ii) direct that within certain limits to be specified therein it shall not be lawful, without the express sanction of the Board, to land or ship any goods or passengers out of, or into, any vessel, not being a sea-going vessel, of any class specified in such order, 5 except at such dock, berth, wharf, quay, stage, jetty or pier.

(2) As from the date of the publication of the order mentioned in sub-section (1) for the third time, it shall not be lawful, without the consent of the Board, for any vessel of such class,—

(i) to land or ship any goods or passengers at any place 10 within the limits so specified except at such dock, berth, wharf, quay, stage, jetty or pier;,or

(ii) while within such limits, to anchor, fasten or lie within fifty yards of the ordinary low-water mark.

(3) If after the publication of such order, any such vessel shall, Z5 while within the limits so specified, so anchor, fasten or lie, it shall be lawful for the Board to cause the same to be removed out of the said limits at the expense of the master or owner or agent of the vessel.

42. (1) A Board shall have power to undertake * • * the ;

20 following services: —

Performance rf services by Bogrd ot Dthor person.

(a) landing, shipping or transhipping passengers and goods between vessels in the port and the wharves, piers, quays or docks belonging to or in the possession of the Board;

(b) receiving, removing, shifting, transporting, storing or 25 delivering goods brought within the Board's premises;

(c) carrying passengers by rail or by other means within the limits of the port or port approaches, subject to such restric- tions and conditions as the Central Government may think fit to impose; and

j0 (d) receiving and delivering, transporting and booking and despatching goods originating in the vessels in the port and in- tended for carriage by the neighbouring railways, or vice versa, as a railway administration under the Indian Railways Act, 1890.

9 of 1890

(2) A Board may, if so requested by the owner, take charge of the 35 goods for the purpose of performing the service or services and shall give a receipt in such form as the Board may specify.

(3) Notwithstanding anything contained in this section, the Board may, with the previous sanction of the Central Government, authorise any person to perform any of the services mentioned In 40 sub-section (1) on such terms and conditions as may be agreed upon.

5i2 THE GAZETTE OF INDIA E^mAOiRMINAIlY I^AR* it

(4) No person authorised under Bub-seetoon (3) shall charge or recover for auch service any sum in exc&ss of the amount leviable according to the scale framed under section 48 or section 49 or sec- tion 50.

(5) Any such person shall, if so required by the owner, perform 5 in respect* of goods any of the said services and for that purpose take charge of the goods and give a receipt in such form as the Board may specify.

(6) The responsibility of any such person for the loss, destruc- tion or deterioration of goods of which he haa taken charge shall, 10 subject to the other provisions of this Act, be that of a bailee under sections 151, 152, and 161 of the Indian Contract Act, 1872.

9 of 187a.

(7) After any goods have been taken charge of and a receipt given forUiem under this section, no liability for any losa or damage which may occur to them shall attach to any person to whom a receipt has 15 been given or to the master or owner of the vessel from which the goods have been landed or transhipped.

43. (1) Subject to the provisions of this Act, the responsibility of any Board for the loss, destruction or deterioration of goods of which

20 f it haa taken charge shall,—

Responsibi- lity of Board for loss, etc., of goods.

(i) in the case of goods received for carriage by railway, be governed by the provisions of the Indian Railways Act, 1890; and 9 of 1890,

9 of 187J.

(it) in other coses, be that of a bailee under sections 151, 152 and 161 of the Indian Contract Act, 1872, omitting the words "in the absence of any special contract" in section 152 of that Act: 25

Provided that no responsibility under this section shall attach to the Board until, a receipt mentioned in subnsection (2) of section 42 is given by the Board.

(2) A Board shall not be in any way responsible for the loss, des- truction or deterioration of, or damage to, goods of which it has taken 30 charge, unless notice of such loss or damage has been given within such period as may be prescribed by regulations made in this behalf from the date of the receipt given for the goods under eub-section (2) of section 42.

44. Where the Collector of Customs has, under the provisions of 35 Accommo- dation to be provided for customs officers in

any Act for the levy of duties of customs, appointed any dock, berth, wharf, quay, stage, jetty, pier, warehouse or shed or a portion of any warehouse or shed provided at any port under the provisions of this Act for the use of sea-going vessels to be an approved place for the landing Or shipping of goods or a warehouse for the storing of duti- 4° able goods on the first importation thereof without payment of duty, etc., ap- pointed under Customs Act.

SEC, 2] fati GA&tfTE Of INDIA UXTClAOft&lNAffr 513

within the meaning of the first-mentioned Act, the Board shall set apart and maintain such place on or adjoining such dock, wharf, quay, stage, jetty or pier, ox in such warehouse or shed or portion thereof, for the use of officers of customs as may be necessary.

Dues at customs wharves, etc. 5 45. Notwithstanding that any dock, berth, wharf, quay, stage, jetty, pier, warehouse or shed or portion thereof at any port has, under the provisions of section 44, been set apart for the use of the officers of customs at the port, all rates * * and other charges payable under this Act in respect thereof, or for the storage of goods 10 therein, shall be payable to the Board, or to such person or persons

as may be appointed by the Board to receive the same.

46. (1) No person shall make, erect or fix within the limits of a port or port approaches any wharf, dock, quay, stage, jetty, pier, erection or mooring except with the previous permission in writing 15 of the Board and subject to such conditions, if any, as the Board may

specify.

Power 10 permit erec- tion of private wharves, etc., within a port sub- ject to con- dition!.

(2) If any person makes, erects or fixes any wharf, dock, quay, stage, jetty, pier, erection or mooring in contravention of sub-section (I), the Board may, by notice, require such person to remove it 20 within such time as may be specified in the notice and if the person fails so to remove it, the Board may cause it to be removed at the expense of that person.

47. (i) Where, as a result of an order published under section 38 or section 41, the use of any wharf, dock, berth, quay, stage, jetty

Compensa- tion pay- able in cer- tain cases where use of any private wharf, etc., render- ed unlawful.

25 or pier, * * * * made, fixed or erected by any person is ren- dered unlawful, the Board may, after hearing the person concerned, by order, close, remove, fill up or destroy such wharf, dock, berth, quay, stage, jetty or pier, * * * or permit the use thereof to such person on payment of such * * rates and charges as the 30 Board may, with the previous sanction of the Central Government,

determine.

(2) Save as otherwise provided under sub-section (3) no person shall be entitled to elaim compensation for any injury, damage or loss caused or alleged to have been caused by an order made under

35 sub-section (1).

(3) If it is proved to the satisfaction of the Board that any

such wharf, dock, berth, quay, stage, jetty or pier, * • * * w as made, fixed or erected by any person with the previous permission of the authority competent to grant such permission, he shall be 4C paid by the Board Compensation the amount of which shall be

5i4 'Mffi GAZETTE OF INDIA EXTRAORDINARY LPABT U

determined in the manner and in accordance with the principles nere- inafter set out, that is to say—

(a) in computing tne compensation, there shall not be taken into account any * * * rates or other charges which such person shall be liable to pay for using any wharf, dock, 5 berth, quay, stage, jetty or pier * * * provided by the Board; ~~~

(b) the amount of compensation shall be calculated with reference to the cost of construction of such wharf, dock, berth, quay^ stage, jetty or pier; * * * ~ ~ ^ ^ ~ ^ ^~ 10 (c) where the "amount of compensation can be fixed by agreement, it shall be paid In accordance with such agreement; (d) where no such agreement can be reached, the Central Government shall appoint as arbitrator, a person who is, or has been, or is qualified for appointment as, a Judge of a High 15 Court;

(e) the Central Government may, in any particular case, nominate a person possessing special knowledge of any matter relating to any case under inquiry to assist the arbitrator in determining any question which has to be decided by him under 20 this section, and where such nomination is made the person to be compensated may also nominate an assessor for the same purpose;

(f) at the commencement of the proceeding before the ar- bitrator, the Board and the person to be compensated shall 25 State what in their respective opinion is a fair amount of com- pensation;

(g) the arbitrator shall, after hearing the dispute, make an award determining the amount of compensation which appears to him to be just and specify the person or persons to whom 30 such compensation shall be paid;

(h) where there is a dispute as to the person or pejsons who are entitled to the compensation, the arbitrator shall decide such dispute and if the arbitrator finds that more persons.than one are entitled to compensation, he shall apportion the amount 35 thereof among such persons;

10 of 1940.

(i) nothing in the Arbitration Act, 1940 shall apply to ar- bitrations under this section;

0) the arbitrator appointed under this section, while hold- Ing arbitration proceedings under this Act, shall have all the ^c powers of a Civil Court while trying a suit under the Code of Civil Procedure, 1908 in respect of the following matters, name- <

5 of 1908.

l y :-

(i) summoning and enforcing the attendance of any person and examining him on oath; 45

SEC. 2] THE GAZETTE OF INDIA EXTRAORDINARY "!5

(ii) requiring the discovery and production of docu- ments;

(Hi) receiving evidence on affidavits; (iv) issuing commissions for examination of witnesses 5 or documents;

(k) every award shall also state the amount of costs incur- red in the arbitration proceedings under this section and by what persons and in what proportions they are to be paid;

(I) any person aggrieved by an award of the arbitrator io made"imder this section may, within thirty days from the data of the award, prefer an appeal to the High Court within whose jurisdiction the port is situated:

Provided that the High Court may entertain the appeal after the expiry of the said period of thirty days if it is satisfied r5 that the appellant was prevented by sufficient cause from filing the appeal in time.

CHAPTER VI

IMPOSITION AND RECOVERY OF HATES AT PORTS

Scale* of rates for services per- formed by Board or other person.

48. (1) Every Board shall from time to time frame a scale of 20 rates at which, and a statement of the conditions under which, any of the services specified hereunder shall be performed by itself or any person authorised under section 42 at or in relation to the port or port approaches—

(a) transhipping of passengers or goods between vessels in 2 5 the port or port approaches;

(b) landing and shipping of passengers or goods from or to such vessels to or from any wharf, quay, jetty, pier, dock, berth, mooring, stage or erection, land or building in the possession or occupation of the Board or at any place within the limits of the 3o port or port approaches;

(c) cranage or porterage of goods on any such place; (d) wharfage, storage or demurrage of goods on any such place;

(c) any other service in respect of vessels, passengers or 35 goods, excepting the services in respect of vessels for which fees are chargeable under the Indian Ports Act.

(2) Different scales and conditions may be framed for different classes of goods and vessels.

49. (1) Every Board shall, from lime to time, also frame a scale of rates on payment of which, and a statement of conditions under which, any property belonging to, or in the possession or occupation of, the Board, or any place within the limits of the port or the port approaches may be used for the purposes specified hereunder:— 5 Scale of ratas and statement of conditions for use of property be- longing to Board.

(a) approaching or lying at or alongside any buoy, moor- ing, wharf, quay, pier, dock, land, building or place as afore- said by vessels;

(b) entering upon or plying for hire at or on any wharf,

quay, pier, dock, land, building, road, bridge or place as afore- 10 said by animals or vehicles carrying passengers or goods;

(c) leasing of land or sheds by owners of goods imported

or intended for export or by steamer agents;

(d) any other use of any land, building, works, vessels or .„„„

appliances belonging to or provided by the Board.

I5

(2) Different scales and conditions may be framed for different

classes of goods and vessels.

Consolidated rates for combination of services.

50. A Board may, from time to time, frame a consolidated scale of rates for any combination of the services specified in section 48 or for any combination of such service or services with any user 20 or permission to use any property belonging to or in the possession or occupation of the Board, as specified in section 49.

51. In framing scales under any of the foregoing provisions of this Chapter, the Board may prescribe a lower rate * * in respect of,—

25 Power to levy con- cessional rates in certain cases.

(a) coastal goods, that is to say, goods, other than imported

52 of 196-;, goods as denned in the Customs Act, 1962, carried in a vessel

from one Indian port to another Indian port:

Provided that the Board shall not make any discrimination between one Indian port and .another such port in prescribing g0 a lower rate * * under this section;

(b) other goods, in special cases.

52. Every scale of rates and every statement of conditions framed by a Board under the foregoing provisions of this Chapter shall be

: submitted to the Central Government for sanction and shall have 35

effect when so sanctioned and published by the Board in the Official prior sanc- tion of Central Government to rates and condition*.

SEC. 2] THE GAZETTE OF INDIA EXTRAORDINARY 517

Exemption from, oad remission of, rate* or charges.

53. A Board may, in special cases and for reasons to be recorded in writing, exempt either wholly or partially any goods or vessels or class of goods or vessels from the payment of any rate or of any charge leviable in respect thereof according to any scale in force

3 under this Act or remit the whole or any portion of such rate or

charge BO levied.

54. (2) Whenever the Central Government considers it necessary in the public Interest so to do, it may, by order in writing together with a statement of reasons therefor, direct any Board to cancel l0 any of the scales in force or modify the same, within such period

Pow" of Central Government to require modification or cancella- tion of rate*.

as that Government may specify in the order.

(2) If any Board against whom a direction is made under sub- section (1) fails or neglects to comply with such direction within the specified period, the Central Government may cancel any of such

15 scales or make such modifications therein as it may think fit:

Provided that before so cancelling or modifiying any scale the Central Government shall consider any objection or suggestion which m a y be made by the Board during the specified period.

(3) When in pursuance of this section any of the scales has been 20 cancelled or modified, such cancellation or modification shall be published by the Central Government in the Official Gazette and shall thereupon have effect accordingly.

Refund cf overcharge*.

55. No person shall be entitled to a refund of an overcharge made by a Board unless his claim to the refund has been preferred in 25 writing by him or on his behalf to the Board within six months from the date of payment duly supported by all relevant documents:

Provided that a Board may of its own motion remit overcharges

made in its bills at any time.

Notice of payment of charges ahort-levied or errone- ously re- funded.

56. (I) When any Board is satisfied that any charge leviable 30 under this Chapter has been short-levied or erroneously refunded, it may issue a notice to the person who is liable to pay such charge or to whom the refund has erroneously been made, requiring him to show cause why he should not pay the amount specified in the notice:

35 Provided that no such notice shall be issued after the expiry of

two years,—

(a) when the charge is short-levied, from the date of the

payment of the charge;

(b) where a charge has been erroneously refunded, from

0 the date of the refund.

433 G of I Ex.—5

gig THE GAZETTE OP1 INDIA EXTRAORDINARY tPART II

(2) The Board may, after considering the representation, if any, made by the person to whom notice is issued under sub-section (J), determine the amount due from such person and thereupon such person shall pay the amount so determined.

57. A Board shall not lease, farm, sell or alienate any power vest- 5 13 card not to lease rates without sanction.

ed in it under this Act of levying rates without the prior sanction of the Central Government.

Time for payment of rates on goods.

58. Rates in respect of goods to be landed shall be payable Imme- diately on the landing of the goods and rates In respect of goods to be removed from the premises of a Board, or to be shipped for ex- i° port, or to be transhipped, shall be payable before the goods are so removed or shipped or transhipped.

Board's lien for rate*.

59. (I) For the amount of all rates leviable by a Board under this Act in respect of any goods, and for the rent due to the Board for any buildings, plinths, stacking areas, or other premises on or in which 15 any goods may have been placed, the Board shall have a lien on such goods, and may seize and detain the same until such rates and rents are fully paid.

(2) Such lien shall have priority over all other liens and claims, except for general average and for the ship-owner's lien upon the 20 said goods for freight and other charges where such lien exists and has been preserved in the manner provided in sub-section (1) of section 60, and for money payable to the Central Government under any law for the time being in force.

60. (1) If the master or owner of any vessel or his agent, at or 25 Ship-owner's lien for freight and other charges.

before the time of landing from such vessel any goods at any deck, wharf, quay, stage, jetty, berth, mooring or pier belonging to or in the occupation of a Board, gives to the Board a notice in writing that such goods arc to remain subject to a lien for freight or other charges payable to the shipowner, to an amount to be mentioned in 30 such notice, such goods shall continue to be liable to such lien to such amount.

{2) The goods shall be retained in the custody of the Board at the risk and expense of the owners of the goods until such lien is dis- charged as hereinafter mentioned; and godown or storage rent shall 35 be payable by the party entitled to such goods for the time during which they may be so retained.

(3) Upon the production before any officer appointed by the Board in that behalf of a document purporting to be a receipt for, or release from, the amount of such lien, executed by the person by 4®

Sue. 2] THE GAZETTE OF INDIA EXTRAORDINARY 519

whom or on whose behalf such notice has been given, ihe Board may permit such goods to be removed without regard to such lien, pro- vided that the Board shall have used reasonable care in respect to the authenticity of -such document.

Sale of goods after two months if rates or reni arc nor paid or lien for freight is not dis- charged.

5 61. (i) A Board may, after the expiry of two months from the time when any goods have passed into its custody, or in the case of animals and perishable or hazardous goods after the expiry oi such shorter period not being less than twenty-four hours after the land- ing of the animals or goods as the Board may think fit, sell by public 10 auction such goods or so much thereof as, in the opinion of the Board, may be necessary—

(a) if any rates payable to the Board in respect of such goods have not been paid, or

(b) if any rent payable to the Board in respect of any place 15 on or in which such goods have been stored has not been paid, or

(c) if any lien "of any shipowner for freight or other charges of which notice has been given has not been discharged and if the person claiming such lien for freight or other charges has 29 made to the Board an application for such sale.

(2) Before making such sale, the Board shall give ten days' notice of the same by publication thereof in the Official Gazette and also in at least one of the principal local daily newspapers:

Provided that in the case of animals and perishable or hazardous 25 goods, the Board may give such shorter notice and in such manner as, in the opinion of the Board, the urgency of the case admits of.

(3) If the address of thn owner of the goods has been stated on the manifest of the goods or in any of the documents which have come into the hands of the Board, or is otherwise known, notice shall 30 also be given ip him by letter delivered at such address, or sent by post, but the title of a bona fide purchaser of such goods shall not bo invalidated by reason of the omission to send such rotice, nor shall any such purchaser be bound to inquire whether such notice has been sent.

35 (4) Notwithstanding anything contained in this section, arms and ammunition and controlled goods may be sold at such time and in such manner as the Central Government may direct.

Explanation.-^-ln this section and section 62—

(a) "arms and ammunition" have the meanings respectively 4o assigned to them in the Arms Act, 1&59;

54 oi 1959-

520 THE GAZETTE OF INDIA EXTRAORDINARY [PAHT II

(b) "controlled goods" means goods the price or disposal of

which is regulated under any law for the time being in force.

Diipooal of good* not removed from premise! Of Board ivithln time limit.

62. (1) Notwithstanding anything contained in this Act, where any goods placed in the custody of the Board upon the landing there- of are not removed by the owner or other person entitled thereto 5 from the premises of the Board within one month from the date on which such goods weve placed in their custody, the Board may, if the address of such owner or person is known, cause a notice to be served upon him by letter delivered at such address or sent by post, or if the notice cannot be so served upon him or his address is not io known, cause a notice to be published in the Official Gazette and also in at least one of the principal local daily newspapers, requiring him to remove the goods forthwith and stating that in default of compliance therewith the goods are liable to be sold by public auc- tion:

i5

Provided that where all the rates and charges payable under this

Act in respect of any such goods have been paid, no notice of removal shall be so served or published under this sub-section unless two months have expired from the date on which the goods were placed in the custody of the Board.

20

(2) The notice referred to in sub-section (/) may also be served

on the agents of the vessel by which such goods were landed.

(3) If such owner or person does not comply with the requisition in the notice served upon him or published under sub-section (1), the Board may, at any time after the expiration of two months from 25 the date on which such goods were placed in its custody, sell the goods by public auction after giving notice of the sale in the manner specified in sub-sections (2) and (3) of section 61.

(f) Notwithstanding anything contained in sub-section (I) or

suD-section (3)—

30

(a) The Board may, in the case of animals and aerishable or hazardous goods, give notice of removal of such goods although the period of one month or, as the case may be, of two months specified in sub-section (1) has not expired or give such shorter notice of sale and in such m inner as, in the opinion of the Board, 35 the urgency of the case requires;

(b) arms and ammunition and controlled goods may be sold in accordance with the provisions of sub-section (4) of section 61.

(5) The Central Government may, if it deems necessary so to do 4° in the public interest, by notification in the Official Gazette, exempt any goods or classes of goods from the operation of this section.

SEC. 2] THE GAZETTE OF INDIA EXTRAORDINARY 521

63. (1) The proceeds of every sale under section 61 or section 62

Application of sale pro- ceeds.

shall be applied in the following order—

(a) in payment of the expenses of the sale;

(b) in payment, according to their respective priorities, oi the liens and claims excepted in sub-section (2) of section 5fi from the priority of the lien of the Board;

(c) in payment of the rates and expenses of landing, re- moving, storing or warehousing the same, and of all other charges due to the Board in respect thereof;

10 * * * * + * + *

(2) The surplus, if any, shall * * * * ** be paid on de-

mand to the Importer, owner or consignee of the goods, or to his agents.

Recovery of rates and charges by distraint of vetscl.

64. (1) If the master 01 any vessel in respect of which any rates *5 or penalties are payable under this Act, or under any regulations or orders made in pursuance thereof, refuses or neglects to pay the same or any part thereof on demand, the Board may distrain or arrest such vessel and the tackle, apparel and furniture belonging „ thereto, or any part thereof, and detain the same until the amount 20 so due to the Board, together with such further amount as may accrue for any perjod during which the vessel is under distraint or arrest, is paid.

(2) In case any part of the said rates or penalties, or of the cost of the distress or arrest, or of the keeping of the same, remains un- 25 paid for the space of five days next after any such distress or arrest has been so made, the Board may cause the vessel or other thing so distrained or arrested to be sold, and, with the proceeds of such sale, shall satisfy such rates or penalties and costs, including the costs of sale remaining unpaid, rendering the surplus (if any) to the master

B° of such vessel on demand,

Grant of poit-clea- rance after payment "f rates. fl5. If a Board gives to the officer of the Central Government whose duty it is to grant the port-clearance of any vessel at the port, a notice stating that an amount therein specified is due in respect of rates, fines, penalties or expenses chargeable under this Act or under 35 any regulations or orders made in pursuance thereof, against such vessel, or by the owner or master of such vessel in respect thereof, or against or in respect of any goods on board such vessel, such offi- cer shall not grant such port-clearance until the amount so charge- able or due has been paid.

<22 THE GAZETTE OF INDIA EXTRAORDINARY [PART II

CHAPTER VII

BORROWING POWERS OF BOARD

F"WM t" raise loaiu,

66. (1) A Board may, with the previous sanction of the Central Government . nd after due notification in the Official Gazette, raise loans for the purposes of this Act:

5

Provided that no such notification shall be necessary if a loan is obtained from the Central Government or a State Government.

(2)-Loans may be raised by a Board in the open market on Port Tru3t securities issued by it or may be obtained from the Central Government or a State Government.

io

(3) The terms of all loans shall be subject to the approval of the Central Government.

Port Trust lecurltlm.

67. (1) A Board may, with the sanction of the Central Govern- ment, prescribe the form in which Port Trust securities shall be issued by it and the mode in which, and the conditions subject to J5 which, they may be transferred.

(2) The holder of any Port Trust security in any form may ob- tain in exchange therefor, upon such terms as the Board may from time to time determine, a Port Trust security in any other form prescribed by regulations.*""1"

20

(3) The right to 3Ue in respect of moneys secured by Port Trust securities shall be exercisablc by the holders thereof for the time being without preference in respect of priority of date.

68. (J) Notwithstanding anything contained in section 45 of the

9 of 1872.

Indian Contract Act, 1872—

^5 Right of survivors of joint or several payees of •ecunties

(a) when any Port Trust security is payable to two or more persons jointly, and either or any of them dies, the Port Trust security shall be payable to the survivor or survivors of those persons, and

(b) when any such security is payable to two or more per- 3<> sons severally and either or any of them dies, the security shall be payable to the survivor or survivors of those persons, or to the representatives of the deceased, or to any of them.

(2) This section shall apply whether such death occurred er occurs before or after the appointed day.

.,

(3) Nothing herein contained shall affect any claim which any representative of a deceased person may have against the survivor

SEC. 2] THE GAZETTE OF INDIA EXTRAORDINARY 523

or survivors under or in respect of any security to which sub-section (7) applies.

1 of 1956.

(4) Foi4 the purposes of this section, a body incorporated or deemed to be incorporated under the Companies Act, 1956, or the*Co"-

2 "f 1912.

5 operative Societies Act, 1912 or any other enactment lor the, time being in force, whether within or without India, shall bo deemed to die when it is dissolved-

69. Where two or more persons are joint holders of any Port Trust security, any one of those persons may give an effectual re- 10 ceipt fox any interest payable in respect of &uch security unless no-

Power of one or two ur more joint holders to grant receipts.

tice to the contrary has been given to the Board by any other of the holders.

art of 1881.

Indorse- ments to be made on 8ec- uritj itself.

70. Notwithstanding anything in section 15 of the Negotiable In- struments Act, 1881, no indorsement of a Port Trust security, which 15 is transferable by indorsement, shall be valid unless made by the signature of the holder inscribed on the back of the security itself.

16 of 1881.

71. Notwithstanding anything in the Negotiable Instruments Act, 1881, a person shall not by reason only of his having indorsed any Port Trust security be liable to pay any money due, either as prin-

Indorser of security not liable for amount thereof.

20 cipal or as interest, thereunder.

Impression of signature on securi- ties.

72. (1) The signature of the person authorised to sign Port Trust securities on behalf of the Board may be printed, engraved or litho- graphed or impressed by such other mechanical process, as the Board may direct, on such securities.

(2) A signature so printed, engraved, lithographed or otherwise impressed shall be as valid as if it had been inscribed in the proper handwriting of the person -so authorised.

Issue of duplicate securities.

73. (/) When any Port Trust security is alleged to have been lost, stolen or destroyed either wholly or in part, and a person claims 30 to be the person to whom but for the loss, theft or destruction it would be payable, he may, on application to the Board and on pro- ducing proof to its satisfaction of the loss, theft or destruction and of the justice of the claim and on, payment of such fee, if any, as may be prescribed by regulations, obtain from the Board an order

35 f o r~

(a) the payment of interest in respect of the security said to be lost, stolen or destroyed, pending the issue of a duplicate security; and

(b) the issue of a duplicate security payable to the appli-

40 cant.

<24 '-fHE GAZETTE OF INDIA EXTRAORDINARY [PART II

(2) An order shall not be passed under sub-section (1) until after the issue by the Board of the prescribed notification of the loss, theft or destruction.

(3) A list of the securities in respect of which an order is passed under sub-section (i) shall be published in such manner as the Board 5 may prescribe.

(4) If at any time before the Board becomes discharged under the provisions of this Act from liability in respect of any security the whole of which is alleged to have been lost, stolen or destroyed, such security is found, any order passed in respect thereof under this it section shall be cancelled.

Iuue of con Yertcd, etc., securities,

74. (1) A Board may, subject to such conditions as it may pres- cribe, on the application of a person claiming to be entitled to a Port Trust security or securities issued by it, on being satisfied of the justice of the claim and on delivery of the security or securities 15 receipted in such manner and on payment of such fee, if any, as it may prescribe, convert, consolidate or sub-divide the security or securities, and issue to the applicant a new security or securities accordingly.

(2) The conversion, consolidation or sub-division referred to in 20 sub-section (/) may be into a security or securities of the same or different classes or of the same or different loans.

75. Notwithstanding anything contained in the Indian Limitation Act, 1908—

Discharge

ID ceriaia

cases.

9 of 1908.

(i) on payment of the amount due on a Port Trust security 35 on or after the date on which payment becomes due, or

(ii) when a duplicate security has been issued under section 73, or

(Hi) when a new security or securities has or have been issued upon conversion, consolidation or sub-division under 30 section 74,

the Board shall be discharged from all liability in respect of the security or securities so paid or in place of which a duplicate or new security or securities has or have been issued—

(a) in the case of payment—after the lapse of six years 35 from the date on which payment was due;

(b) in the case of a duplicate security—after the lapse of six years from the date of the publication under sub-section (3) of section 73 of the list in which the security is first mentioned or from the date of the last payment of interest on the original 40 security, whichever date is later;

SJEC. i] fHE GAztT'l'E OF irtoiA EXTRAORDINARY 525

(c) in the case of a new security issued upon conversion, consolidation or sub-division—after the lapse^of six years from the date of the issue thereof.

78. A Board may, from time to time, make regulations to provide

5 for all ot any ot the following matters, namely:—

Power of

Board to

make repiht-

don*.

(a) the person, if any, authorised to sign, and the mode of affixing the corporate seal and of attestation of documents re- lating to Port Trust security • issued or to bp issued by the Board;

10 (b) the manner in which payment ot interest in respect of such Port Trust securities is to be made, recorded and acknow- ledged;

(c) the circumstances and ihc manner in which such Port

Trust securities may be renewed;

15 (d) the circumstances in which t,uch securities must be renewed before further payment 01 interest thereon can be claimed;

(e) the form in which such securities delivered for renewal,

conversion, consolidation or sub-division are to be receipted;

20 (/) the proof which ib to be produced by a person applying

for duplicate securities;

(0) the form and manner of puolicatiun of the notification mentioned in sub-section (2) of section 73 and the manner of publication of the list mentioned in sub-section (3) of that

25 section;

(K) the nature and amount of indemnity to be given by a person applying for the pnvment of interest on Port Trust securities alleged to have been wholly or partly lobt, stolen or destroyed, or for the issue of duplicate Port Trust securities;

30 (i) the conditions subject to which Port Trust securitieE

may be converted, consolidated or sub-divided;

(j) the amounts for which stock certificate may be Issued;

(k) generally, all matters connected with the grant of duplicate, renewed, converted, consolidated and sub-divided se-

35 curitles;

(1) the fees to be paid in respect of the issue of duplicate securities and of the renewal, conversion, consolidation and sub- division of Port Trust securities;

(tft) the fees to be levied in respect of the issue of stock

40 certificates.

433 Oof I ttt.—0

526 THE GAZETTE OF INDIA EXTRAORDINARY [PART II

Place "nd Currency of loan" raised by Board.

77. All loans contracted by a Board under this Act shall be raised in India, and in Indian currency, unless the Central Government, by notification in the Official Gazette, otherwise directs.

78. All loans raised by a Board under this Act shall be a first

charge on—

5 Security for loans taken out by Board.

(a) the property vested, or which may hereafter during the currency of the loans become vested, in the Board other than any sum set apart by the Board as the sinking fund for the purpose of paying off any loan; and

(b) the rates leviable by the Board under this Act. *°

Remedies of Government in respect oi loans made to Boards.

79. (1) The Central Government or a State Government shall have in respect ol loans made by it to a Board, or of loans made to uny other authority for the repayment of which the Board is legal- ly liable, the same remedies as holders of Port Trust securities issued by the Board; and such Government shall not be deemed to *5 possess any prior or greater rights in respect of such loans tbnn holders of such Port Trust securities:

Provided that where the terms of any such loan made before the appointed day expressly provide that the loan shall have priority over all ctlv-r loans in the matter of repayment by the Board, such 20 loan shall, have priority.

Power of Board to repay lo"ni before due date.

80. A Board may, with the previous sanction of the Central Government, apply any sums, out of moneys which may come into Its hands under the provisions of this Act and which can be so applied without prejudicing the security of the other holders of 2$ Port Trust securities, in repaying to the Government any sum which may remain due to it in respect of the principal of any loan al- though the time fixed for the repayment of the same may not have arrived:

Provided that no such repayment shall be made of any sum 3°

less than ten thousand rupees; and that, if such repayment is made, the amount of interest in each succeeding instalment shall be so adjusted as to represent exactly ihe interest due on the outstanding principal

81. (2) In respect of every loan raised by a Board under this Act, 35 Establish- ment of ^taking fund.

which is not repayable before the expiration of one year from the date of the loan, the Board shall set apart half-yearly out of its Income as a sinking fund a sum sufficient to liquidate the loan with- in a period which shall not in any case, unless the previous con- sei .1 of the Central Government has been obtained, exceed thirty 4°

SEC. 2] THE GAZETTE OF INDIA EXTRAORDINARY 527

years; but the maximum period shall not in any case exceed sixty years:

Provided thai a sinking fund need not in the absence of any sti- pulation to that effect be established in the case of loans taken by 5 the Board from the Central Government or any State Government,

(2) Where any sinking fund has, before the appointed day, been established by any authority in respect cf a loan raised by it for which loan the Board is liable under this Act, the sinking fund so established by that authority shall be deemed to have been establish- 10 ed by the Board under this section.

Investment and applica- tion of sin- king fund.

82. (1) The sums so set apart by a Board under sub-section (1) of section 81 and the sums forming part of any sinking fund referred to In sub-section (2) of that section shall be invested in public securities or in such other securities as the Central Government may approve 15 in this behalf, and shall be held in trust for the purposes of this Act by two Trustees, one being the Board and the other a person ap- pointed by the Central Government.

(2) A Board may apply the whole or any part of the sums accu- mulated in any sinking fund in or towards the discharge of the 20 moneys for the repayment of which the fund has been established:

Provided that it pays into the fund in each year, and accumulates until the whole of the moneys borrowed are discharged, a sum equivalent to the interest which would have been produced by the sinking fund, or the part of the sinking fund so applied.

Examination of sinking flind. 2$ 83. (1) A sinking fund established for the liquidation of any loan shall be subject to annual examination by such person as may be appointed by the Central Government in this behalf, and the person so appointed shall ascertain whether the cash and the current market value of the securities at the credit of the fund are actually 3° equal to the amount which would have been accumulated had in- vestments been regularly made and had the rate of interests origi- nally estimated been obtained thereon.

(2) A Board shall pay forthwith into the sinking fund any amount which the person appointed under sub-section (1) to conduct 35 the annual examination of the fund may certify to be deficient, unless the Central Government specifically sanctions a gradual read- justment.

(3) If the cash and the current market value of the securities at the credit of a sinking fund are In excess of the amount which 4° should be at Its credit, the person appointed under sub-section (I)

528 THE GAZETTE OF INDIA EXTRAORDINARY [PART II

shall certify the amount of this excess, and the Board may, with the previous sanction of the Central Government,—

(a) withdraw the whole nr any part of the certified excess in which case the Trustees in whose names the sinking lund is invested under sub-section (1) of section 32, shall forthwith 5 transfer securities of the requisite current market value, or cash and securities of the requisite current market value, to the Board, or

(b) reduce or discontinue the half-yearly contributions to

the sinking fund required under section 81, or

io

(c) adopt B combination of these measures.

84. Nothing contained in this Act shall be deemed to affect the p"wer of the Board to raise loam; under the Local Authorities Loane Act, 1914.

" "f 1914.

Power of Board to raise loanB on short- term bills.

85. Notwithstanding anything contained in this Act, a Board J5 Power of Board to take temporary loans or overdraft*.

may borrow moneys by means of temporary overdraft or otherwisa by pledging the securities held by the Board in its reserve funds or on the security of the fixed deposits of the Board in its banks: Provided that such temporary overdrafts or other loans—

(a) shall not at any time have a longer currency than, six 20

months; and

(b) shall not be taken, without the previous sanction of thp Central Government, if at any time in any year the amount of such overdrafts or other loans exceeds such amount not exceed- ing ten lakhs of rupees, as the Central Government may fix in 25 this behalf:

Provided further, that all moneys so borrowed by temporary overdrafts or otherwise shall be expended for the purposes of thii Art.

86. Notwithstanding anything contained in this Act or any other j/b Power of Board to borrow money from Interna- tional Bank for Recon- struction aHd Development or other foreign institutions.

law for the time being in force, a Board may, with the previous sanction of the Central Government and on such terms and condi- tions as may be approved by that Government, raise for the pur- poses of this Act loans in any currency or currencies from the In- ternational Bank for Reconstruction and Development or from any 35 other bank or institution in any country outside India; and no other provision of this Chapter shall apply to or in relation to any such loan unless the terms and conditions of the loan or the approval thereof by the Centra] Government otherwise provide,

Sac. 2) THE GAZETTE OF INDIA EXTRAORDINARY 529

C H A P T ER VIII

REVENUE AND EXPENDITURE

GCRCM! ""• count of Port.

:t of 190I.

87. All moneys received by or on behall of a Board under the provisions of this Act, and all moneys received by it as the Conser- 5 vator of t he port and of the port approaches or as the body appoint- ed under sub-section (J) of section 36 of the Indian Ports Act ex- cluding all fees and all fines and penalties creditable to t he pilotage account of t he port under sub-section (5a) of that section, shall be credited to a fund called t he general account of t he port.

Application of money" I* general account.

io 88. (1) T he moneys credited to the general account under section 87, shall, subiect to the provisions of section 89 of this Act and of section 36 of t he Indian Ports Act, be applied by t he Board in payment of the following charges, namely: —

(a) t he interest and instalments of principal due in res- 15 pect of any loan that may have been raised or obtained by t he Board or for t he r e p a y m e nt of which the Board m ay be liable, and p a y m e n ts to t he sinking fund established for such loan;

(b) t he salaries, fees, allowances, pensions, gratuities, com- passionate allowances or other moneys due to—

2O (i) the Chairman, Deputy Chairman and other Trus- tees;

(ii) t he employees of t he Board; and

(Hi) t he surviving relatives, if any, of such employees;

(c) t he contributions, if any, payable to the Central Gov- 25 e r n m e nt or a ny State G o v e r n m e nt on account of t he pension and leave allowance of a ny officer lent to t he Board by such Government;

(d) t he cost and expenses, if any, incurred by the Board in t he conduct and administration of any provident or welfare fund 30 or loan or special fund established by t he Board;

(e) the contributions, if any, duly authorised to be made by regulations made under this Act to any such fund as is re- ferred to in clause (d);

(f) any charges for which the Board may be liable under 35 section 108 or section 109.'

(g) such sums as may, from time to time, be agreed upon by the Board and a State Government as a reasonable contri- bution pftYabW by the Board towards the expenses in connection

"0 THE GAZETTE OF INDIA EXTRAORDINARY [PART II

with the watch and ward functions of the police force which the State Government may establish and maintain for the pro- tection of the port and the docks, warehouses and other pro- perty of the Board;

(h) the cost of repairs and maintenance of the property be- 5 longing to or vested in the Board and all charges upon the same and all working expenses;

(i) the cost of the execution and provision of any new work or appliance specified in section 35 which the Board may determine to charge to revenue;

10

(j) any expenditure incurred under section 36;

(k) any other expenditure which may be incurred by the Board generally for the purposes of this Act;

(I) any other charge which may on the application of the Board be specially sanctioned by the Central Government or 15 for which the Board may be legally liable.

(2) All moneys standing at the credit of the Board which can- not immediately be applied in the manner or for the purposes speci- fied in sub-section (1) shall—

(a) be deposited in the State Bank of India or in such schc- 20 duled bank or banks, and subject to such conditions as may, from time to time, be specified by the Central Government; or

(b) be invested In public securities or in such other secu- rities as the Central Government may approve in this behalf; and the said securities shall be held in trust by the Board fur 25 the purposes of this Act.

Power to transfer moneys from general account to pilotage account and vice versa.

89. A Board may, with the previous sanction of the Central Gov- ernment, apply any sum out of the moneys credited to the general account of the port towards meeting deficits, if any, in the pilotage account of the port maintained under section 36 of the Indian Ports 30 Act or transfer the whole or part of any surplus funds in such pilo- tage account to the general account of the port.

Establlih- ment of re- serve funds.

90. (1) A Board may, from time to time, set apart such sums out of its surplus income as it thinks fit, as a reserve fund or funds for the purpose of expanding existing facilities or creating new facilities 35 at the port or for the purpose of providing against any temporary decrease of revenue or increase of expenditure from transient causes or for purposes of replacement or for meeting expenditure arising from loss or damage from fire, cyclones, shipwreck or other accident or for any other emergency arising in the ordinary conduct of Its ^o work under this Act:

SEC. 2J THE GAZETTE 01' INDIA EXTRAORDINARY 331

Provided that the sums set apart annually in lespect of, and the aggregate at any time of, any such reserve fund or funds shall not exceed such amounts as may, from time to time, be fixed in that behalf by the Central Government-

5 (2) Any such reserve fund or funds may be invested in public securitieb or in such other securities as the Central Government mav approve m this behaJf.

Puwer Lo r-->civc Port Trusi secu- rities for Buard'i own 91. (/) For the purposes of any investment which a Board is authorised to make by this Act, it shall be lawful for every Board 10 to reserve and set apart any securities to be issued by it on account of any loan to which the consent of the Central Government has been given, provided that the intention to so reserve and set apart such securities has boon notified as a condition to the issue 01 the loan.

15 (2) The issue by any Board of any such securities direct to and in the name of the Board shall not operate to extinguish or cancel such securities, but every security so issued shall he valid in all respecis as if issued to, and in the name of, any other person.

(3) The purchase by a Board, or the transfer, assignment cr in- 20 dorsement to a Board or to the Trustees of the sinking fund set up by a Board, of any security issued by the Board, shall not operate to extinguish or cancel any such security but the same shall be valid and negotiable in the same manner and to the same extent as if held by, or transferred or assigned or indorsed to, any other person.

25 92. (1) No expenditure shall be charged by a Board to capital without the previous sanction of the Central Government:

Prior sanc- tion of CcnUal Govcrnmeri t to charge expenditure to capital.

Provided that a Board may without such sanction charge to capital expenditure not exceeding such limit as may be specified, and subject to such conditions as may be imposed, by the Central

30 Government.

(2) Nothing in sub-section (1) shall be deemed to require the further sanction of the Central Government in any case where the actual expenditure incurred as a chai/;e to capital exceeds the expenditure sanctioned in this behalf by the Central Government 35 unless the excess is more than ten per cent, of the expenditure so

sanctioned.

Works requiring sanction of Board or Central Government 93. (7) No new work or appliance, the estimated cost of which exceeds such amount as may be fixed by the Central Government in this behalf, shall be commenced or provided by a Board, nor shall 40 any contract be entered into by a Board in respect of any such new

33^ THE GAZETTE OF INDIA EXTRAORDINARY [PAR* it

work or appliance until a plan of, and estimate for, such, work or appliance has been submitted to, and approved by, the Board; and, n (rase the estimated cost of any such new work or appliance ex- ceeds such amount as may, from time to time, be fixed by the Central Government in this behalf, the sanction of the Central Government 5 to the plan and Mimate shall be obtained before such work is coru- menced or appliance provided.

(2) Nothing in s lib-section (i) shall be deemed to require the Eurttier sanction of the Central Government in any case where tbft actual expenditure incurred does not exceed by more than ten per *o cent., the estimated cost so sanctioned.

Powers of Chairman as to execu- tion of work*.

94. Notwithstanding anything contained in section 93. the Chairman may direct the execution of any work the cost oi which does not exceed such maximum limit as may be fixed by the Central Government In this behalf, and may enter into contracts for the 15 execution of such works but in every such case the Chairman shall, as soon as possible, make a report to the Board of any such directions given or contracts entered into by him.

95. Every Board may compound or compromise any claim or demand or any action or suit instituted by or against it for such sum 20 of money or other compensation as it deems sufficient:

Power of Board to •ompound or compromise claims.

Provided that no settlement shall be made uader this section without the previous sanction of the Central Government if such settlement involves the payment by the Board of a sum exceeding such amount as may be specified by the Central Government in this 2$ behalf.

Writing oif of losses.

96. (1) Subject to such conditions as may be specified by the Central Government, where a Board is of opinion that any amount due to or any loss, whether of money or of property, incurred by, the Board is irrecoverable, the Board may, with the previous ap- 30 proval of the Central Government, sanction the writing off finally

of the said amount or loss:

Provided that no such approval of the Central Government shall be necessary where such irrecoverable amount or loss does not exceed, in any individual case, five thousand rupees or in the aggre- 35 gate m any year, one lakh of rupees.

SEC. 2] THE GAZETTE OF INDIA EXTRAORDINARY 533

exceed, in any individual case, one thousand rupees or in the ag- gregate in any one year, twenty thousand rupees; and in every such case the Chairman shall make1 a report to the Board giving reasons for such sanction.

Powers, etc., of Board as Conservator 01 Body ap- pointed under sec- tion 36 of Indian Port" Act. 5 97. All the powers, authorities and restrictions contained in 'this Act in respect of the works * * * by this Act authorised, shall apply to the works which may be executed Dy the Board as the Conservator of the port or as the body appointed under sub-section (1) of section 36 of the Indian Ports Act, not being works the cost 10 of which is chargeable to the pilotage account of the port under sub-section (5b) of that section, and also to the sanction of such works, the estimates therefor, and the expenditure thereunder.

Budget e"ti- matei.

98. (1) A Board shall, on or before the thirty-first day of January in each year, hold a special meeting at which the Chairman of the 15 Board shall submil an estimate of the income and expenditure of the Board for the nexi, financial } ^ar, in such form as the Central Gov- ernment may specify.

(2) A copy of such estimate shall be sent by post or otherwise to each Trustee so as to reach him not less than ten clear days prior 20 to the date appointed for the special meeting referred to in sub- section (I).

(3) The Board shall consider the estimate at such meeting and may provisionally approve of it with or without modifications.

(4) The Board shall, on or before the tenth day of February, cause 25 si copy of such estimate as provisionally approved by it, to be sent to the Central Government.

(5) The Central Government may sanction the estimate or may return it with remarks and may call for such additional information as it may deem necessary.

30 (6) When an estimate is returned under sub-section (5), the Board shall proceed to reconsider the estimate with reference to such remarks and shall furnish such additional information as the Central Government may call for and shall, if necessary, modify or alter the estimate and resubmit it to the Central Government.

35 (7) The Central Government shall sanction the estimate with or without modifications.

(8) Where any such estimate is not sanctioned by the Central Gov- ernment before the commencement of the financial year to which it relates, the Central Government may authorise the Board to incui

433 G of I Ex.—7

334 ™E GAZETfE OF INDIA EXTRAORDINARY t!>AB* ll

such expenditure as may be necessary in the opinion of the Central Government until such time as the approval of the estimate by the Central Government is communicated to the Board.

99. A Board may in the course of any year for which an estimate " has been sanctioned by the Central Government cause one or more 5 Preparation of supple mental eiti- nMitea. supplemental estimates for the residue of such year to be prepared, and the provisions of section 98 shall, so far as may be, apply to such estimate as if it were an original annual estimate.

f 100. Subject to any directions which the Central Government Re-appro- piiadon o amount)) in estimate.

may give in this behalf, any sum of money or part thereof of which io the expenditure has been authorised in an estimate for the time being in force sanctioned by the Central Government and which has not been so spent, may at any time be reappropriated by the Board to meet any excess in any other expenditure authorised in the said estimate:

!j

Provided that no such reappropriation shall be made from one major head of expenditure to another such head without the pre- vious sanction of the Central Government.

101. (1) Subject to the provisions of section 100, no sum exceeding • such amount as the Central Government may fix in this behalf shall, 20 Adherence to ettimati except ii emergency. save in cases of pressing emergency, be expended by, or on behalf of, any Board unless such sum is included in some estimate of the Board at the time in force which has been finally sanctioned by the Central Government.

(2) If any sum exceeding such limit as may have been fixed in 25 this behalf under sub-section (1) is so expended by any Board on a pressing emergency, the circumstances shall be forthwith reported by the Chairman to the Central Government, together with an ex- planation of the way in which it is proposed by the Board to cover such sxtra expenditure.

30

Account!

ti-.d audit.

102. (I) A Board shall maintain proper accounts and other rele- vant records and prepare the annual statement of accounts including the balance-sheet in such form as may be specified by the Central Government in consultation with the Comptroller and Auditor- General of India,

3i

(2) The accounts of the Board shall be audited once in every year by the Comptroller and Auditor-General of India or such other persons as may be appointed by him in this behalf and he shall in lesppct of such audit be paid by the Board such amount as the Central Government may determine and such amount shall be debit- 40 abtf. to the fi*tfi"ral account of the Board.

SEC. 2] THE GAZETTE OF INDIA EXTRAORDINARY 535

(3) The Comptroller and Auditor-General of India or any persot appointed by him in connection with the audit of the accounts of a Board shall have the same rights, privileges and authority in con- nection with such audit as the Comptroller and Auditor-General ol 5 India has in connection with the audit of Government accounts and in particular, shall have the right to demand the production of books of accounts, connected vouchers and other documents of the Board

Publication of audit report.

103. (1) Within fourteen days after the audit and examination ol the accounts of a Board have been completed, the Comptroller and 10 Auditor-General of India shall forward copies of the audit report to

the Central Government and to the Board.

(2) The Central Government shall cause tvery audit report to be laid for not less than thirty days before each House of Parlia- ment as soon as may be after such report is received by that Gov-

15 eminent.

104. Every Board shall forthwith take into consideration any defects or irregularities that may be pointed out by the Comptroller and Auditor-General of India in the audit report on the income and expenditure of the Board and shall take such action thereon as the

Board to remedy defects and irregularities pointed out In audit report.

20 Board may think fit and shall also send a report of the action so

taken * • * to the Central Government.

Central Government to decide difference between Board and auditor*.

105. If there is a difference of opinion between any Board and the Comptroller and Auditor-General of India on any point included in the audit report, and the Board is unable to accept and imple- 25 ment the recommendations, if any, made by him on such point, the matter shall forthwith be referred to the Central Government which shall pass final orders thereon and the Board shall be bound to give effect to such orders.

CHAPTER IX

30 StrpraivisioN AND CONTROL OF CENTRAL GOVERNMENT

Administra- tion report. 1(MJ. As soon as may be after the first day of April in every year and not later than such date as may be fixed in this behalf by the Central Government, every Board shall submit to the Central Gov- ernment a detailed report of the administration of the port during 35 the preceding year ending on the thirty-first day of March, in such

form aa the Central Government may direct,

536 THE GAZETTE OF INDIA EXTRAORDINARY [PAKT II

107. (7) Every Board shall annually, or oftener if directed by thn Central Government so to do, submit statements of its income and expenditure in such form and at such time as that Government may direct.

Submission of statemtnti of income and expendi- ture to Central Govern- ment.

(2) A copy of all such statements shall be open to the inspection 5

of the public at the office of the Board during office hours on pay- ment of such fee for each inspection as may from time to time be fixed by the Board-

108. The Central Government may, at any time, order a local survey or examination of any works of a Board, or the intended site 10 thereof and the cost of such survey and examination shall be borne and paid by the Board from and out of the moneys credited to the general account of the port.

Power of Central Government to order survey or examination of worku of Board.

109. If, at any time, any Board—

(a,) allows any work or appliance constructed or provided 15

by, or vested in, the Board to fall into disrepair; or

Power of Central Government to restore or complete works at the co"t of Board.

(b) does not, within a reasonable time, complete any work commenced by the Board or included in any estimate sanctioned by the Central Government; or

(c) does not, after due notice in writing, proceed to carry 20

out effectually any work or repair or to provide any appliance which is necessary in the opinion of the Central Government for the purposes of this Act,

the Central Government may cause such work to be restored or com- pleted or carried out, or such repairs to be carried out or such 25 appliance to be provided, and the cost of any such restoration, com- pletion, construction, repair or provision shall be paid by the Board from and out of the moneys credited to the general account of the port.

110. (1) If, at any time, the Central Government is of opinion— ,0 Pewer of Ctntral Government to supersede Board.

(a) that on account of a grave emergency, any Board is un- able to perform the duties imposed on it by or under the provi- sions of this Act or of any other law, or

(b) that the Board has persistently made default in -the

performance of the duties imposed upon it by or under the provi- 35 sions of this Act or of any other law and as a result of such

S"c. 2] THE GAZETTE OF INDIA EXTRAORDINARY 537

default, the financial position of the Board or the administration of the port has greatly deteriorated,

the Central Government, may, by notification in the Official Gazette, supersede the Board for such period, not exceeding six months at a 5 time, as may be specified in the notification:

Provided that before issuing a notification under this sub-section for the reasons mentioned in clause (b), the Central Government shall give a reasonable time of not less than three months to the Board to show cause why it should not be superseded) and shall con- 10 aider the explanations and objections, if any, of the Board.

(2) Upon the publication of a notification under sub-section (1) superseding the Board,—

(o) all the Trustees shall, as from the date of supersession, vacate their offices as such Trustees;

Z5 (b) all the powers and duties which may, by or under the provisions of this Act or of any other law, be exercised or per- formed by or on behalf of the Board, shall until the Board is reconstituted under clause (b) or clause (c) of sub-section (3) be exercised and performed by such person or persons as the 20 Central Government may direct;

(c) all property vested in the Board shall, until the Board I* reconstituted under clause (b) or clause (c) of sub-section (3), vest in the Central Government.

(3) On the expiration of the period of supersession specified in the 25 notification issued under sub-section (1), the Central Government may—

(a) extend the period of supersession for such further term, not exceeding six months, as it may consider necessary, or

(b) reconstitute the Board by fresh appointment and fresh 30 election, and in such case, any persons who vacated their offices under clause (a) of sub-section (2) shall not be deemed disquali- fied for appointment or election, as the case may be, or

(c) reconstitute the Board by appointment only for such period as it may Consider necessary and in such a case, the persons 35 who vacated their offices under clause (a) of sub-section (2) shall not be deer-.ed disqualified for such appointment merely because they were Trustees when the Board was superseded:

538 THE GAZETTE OP INDIA EXTRAORDINARY [PAJIT II

Provided that the Central Government may, at any time before the expiration of the period of supersession, whether as originally specified undersub-section (1) or as extended under this sub-section, take action under clause (b) or clause (c) of this sub-section.

(4) The Central Government shall cause a notification Issued - under sub-section (1) an

Power of

Central

Government

to issue

direction*

to Board.

111. (1) Without prejudice to the foregoing provisions of this Chapter, every Board shall, in the discharge of its functions under ic this Act, be bound by such directions on questions of policy as the Central Government may give In writing to It from time to time:

Provided that the Board shall be given opportunity to express Its views before any direction la given under this sub-section.

(2) The decision of the Central Government whether a question 15 is one of policy or not shall be final.

CHAPTER X

PENALTIES

43 of i8"o.

2 of 1947.

112. Every person employed by a Board under this Act shall, for the purposes of sections 161 to 171 (both inclusive), 1&4, 185 and 409 20 of the Indian Penal Code and for the purposes of the Prevention of Corruption Act, 1947 be deemed to be a public jservant within the meaning of section 21 of the said Code.

Persons

employed

under thii

Act to be

public ser-

vants for

certain pur-

potei.

Penalty for

contraven-

tion of

sections 37,

38, 40 and

4i.

113. Whoever contravenes the provisions of any order issued under section 37 or section 38 or section 41 or fails to comply with any condi- 25 tion imposed under section 40 shall be punishable with fine which may extend to one thousand rupees, and where the contravention or failure is a continuing one, with further fine which may extend to one hundred rupees for every day after the first during which such contravention or failure continues.

30

Penalty fo"

tutting np

wh"rm,

quays, etc.,

without

permission.

114. Any person who contravenes the provisions of section 4$ shall be punishable with fine which may extend to one thousand rupees for the first contravention, and with a further fine which may extend to one hundred rupees for every day after the first dluring which the contravention continues.

33

SEC. 2] THE GAZETTE OP INDIA EXTRAORDINARY 39

Penalty for

evading

rates, etc.

115. Any person who, with the intention of evading payment of the rates lawfully due, in respect of any goods or vessel carrying any goods, to the Board—

(a) understates or incorrectly gives the weight, quantity, ^ value or description of such goods or the tonnage of such vessel in any document presented to any employee of the Board for the purpose of enabling him to determine such rates; or

(b) removes or attempts to remove or abeta the removal of such goods or such vessel;

10 shall be punishable with fine which may extend to twice the amount of rates so due subject to a minimum of fifty rupees.

Recovery

of value of

damage to

property of

Board.

116. If, through the negligence of any person having the guid- ance or command of any vessel, or of any of the mariners or persons employed on such vessel, any damage is caused to any dock, wharf, 15 quay, mooring, stage, jetty, pier or other work in the possession of any Board, the amount of such damage shall, on the application of the Board be recoverable, together with the cost of such recovery, by distress and sale, under a Magistrate's warrant, of a sufficient portion of the boats, masts, spares, ropes, cables, anchors or stores 20 belonging to such vessel:

Provided that no Magistrate shall issue such a warrant until the master of the vessel has been duly summoned to appear before him and, If he appears, until he has bee.n heard; and provided also that no such warrant shall issue if the vessel was at the time under the 2$ orders of a duly authorised employee ©f the Board and the damage caused was attributable to the order, act or inproper omission of such employee.

Other •ffer.-

ces.

117. Any person who contravenes any of the provisions of this Act or of any rule, regulation or order made thereunder, for the 30 contravention of which no penalty is expressly provided thereunder, shall be punishable with fine which may extend to two hundred rupees.

118. No court inferior to that of a magistrate of the first class

Cognizance

of offences.

shall try any offence punishable under this Act or any rule or 35 regulation made thereunder.

Offences by

companies.

119. (1) If the person committing an offence under this Act is a company, every person who, at the time the offence was committed was in charge of, and was responsible to, the company for the con- duct of businesB of the company, ae well as the company, shall be

540 THE GAZETTE OF INDIA EXTRAORDINARY [PAKT U

deemed to be guilty of the offence and shall be liable to be proceed- ed against and punished accordingly:

Provided that nothing contained in this sub-section shall render any such person liable t'o such punishment provided in this Act if he proves that the offence was committed without his knowledge or 5 that he exercised all due diligence to prevent the commission of such offence,

(2) Notwithstanding anything contained in sub-section (1), where an offence under this Act has been committed by a company and It is proved that the offence has been committed with the consent or ic connivance of, or that the commission of the offence Is attributable to any negligence on the part of, any director, manager, secretary or other officer of the company, such director, manager, secretary, or other officer shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punisKed accordingly. 15

Explanation.—For the purposes of this section,—

(a) "company" means a body corporate and includee a firm or other association of individuals; and

(b) "director", in relation to a firm, means a partner in the

20 firm.

CHAPTER XI

MISCELLANEOUS

Limitation of proceed- ings in respect of things done under the Act.

120. No suit or other proceeding shall be commenced against a Board or any member or employee thereof for anything done, or purporting to have been done, in pursuance of this Act until the 25 expiration of "ne month after notice in writing has been given to the Board or him stating the cause of action, or after six monthi after the accrual of the cause of action.

Protection of acts done in good faith.

121. No suit or other legal proceeding shall lie against a Board or any member or employee thereof in respect of anything which i§ 30 in good faith done or intended to be done under this Act or any rule or regulation made thereunder, or for any damage sustained by any vessel In consequence of any defect in any of the moorings, hawsers or other things belonging to or under the control of the Board.

35 122. (1) The Central Government may, by notification in the Official Gazette, make rules for all or any of the following purposes, namely: —

Power of Central Government to make rules.

(a) the times and places of the meetings of a Board y.? \ the procedure to be followed for the transaction of business at 4° such meetings; * * *

SEC. 2] THE GAZETTE OF INDIA EXTRAORDINARY 541

(b) the fees and allowances payable to the, members of a Board or of its committees;

(c) any other matter in respect of which rules may be made by the Central Government.

5 (2) The power to make rules under this section is subject to the condition of the rules being made after previous publication.

(3) Every rule made under this Act shall be laid, as soon as may, be after it is made, before each House of Parliament while it is in session for a total period of thirty days which may be comprised in 10 one session or in two or more successive sessions, and if before the expiry of the session in which it is so laid or the successive sessions aforesaid, both Houses agree in making any modification in the rule or both Houses agree that the rule should not be made, the rule shall thereafter have effect only in such modified form or be of no 15 effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule.

123. Without prejudice to any power to make regulations con- ( tained elsewhere in this Act, a Board may make regulations con- £ 20 sistent with this Act for all or any of the following purposes, *

General power ol Board to make regu lations.

.namely:—

(a) for the times and places of the meetings of its commit- tees and for the procedure to be followed for the transaction of business at such meetings; * * • *

25 (b) for the form and manner in which contracts shall be made by the Board;

(c) for the form of receipt to be given under sub-flection (2) of section 42;

(d) for the period within which notice may be given under 30 sub-section (2) of section 43;

(e) for the guidance of persons employed by the Board under this Act;

(f) for the safe and convenient use of the docks, wharves, quays, jetties, sheds, warehouses, railways, tramways and other 35 works constructed by or vested in the Board under this Act;

(g) for the reception, porterage, storage and removal of goods brought within the premises of the Board, for the ex- clusive conduct of these operations by the Board or persons employed by the Board; and for declaring the procedure to, be 433 G of I Ex.—8

542 TftE dAZETTE OF INDIA EXTRAORDINARY [PART li

followed for taking charge of goods which may have been damaged before landing,, or may be alleged to have been so damaged;

(h) for keeping clean the port, river or basins or the bank of the river and the works of the Board, and for preventing filth 5 or rubbish being thrown therein or thereon;

(i) for the mode of payment of rates leviable by the Board under this Act;

(j) for regulating, declaring and denning the docks, whar- ves, quays, jetties, stages and piers vested in the Board on which Io goods shall be landed from vessels and shipped on board vessels;

(fc) for regulating the manner in which, and the conditions under which, the loading and unloading of all vessels within the port or port approaches shall be carried out;

(I) for regulating the lighterage of cargo between ships or I5 between ships and shore or between shore and ships;

(m) for the exclusion from the premises of the Board of dis- orderly or other undesirable persons and of trespassers;

(n) for ensuring the safety of the port;

(o) generally, for the efficient and proper administration 20 of the port.

Proviiiont

with reaped

to regul*-

tisns.

124,'. (1) No regulation made by the Board under this Act shall have effect until it has been approved by the Central Government and until such approval has been published in the Official Gazette.

(2) No such regulation * * * * * 25 shall be approved by the Central Government until the same has* been published by the Board for two weeks successively in the Official Gazette and until fourteen days have expired from the date on which the same had been first published in that Gazette.

(3) Any regulation made under this Act other than a regulation 30 made under section 28 may provide that a breach thereof shall be1 punishable with fine which may extend to two hundred rupees, and where the breach is a continuing one, with further fine which may extend to fifty rupees for every day after the first during which such breach continues,

35

&EC. 2j THE GAZETTE OF INDIA EXTHAORMNARY $43

Central Gov-

ernment to

direct regu-

tions to be

made or

to make re-

gulations.

125. (1) Whenever the Central Government considers necessary in the public interest so to do, it may, by order in writing together with a statement of reasons therefor, direct any Board to make any regulations for all or any of the matters specified In section 28 or ^ section 76 or section 123 or to amend any regulations, * * * * within such period as the Central Government may specify In this behalf:

Provided that the Central Government may extend the period specified by it by such period or periods as it may consider neces-

10 sary.

(2) If any Board, against whom a direction is issued by the Central Government under sub-section (/), fails or neglects to comply with such direction within the period allowed under eub- section (1), that Government may make the regulations or amend

15 the regulations * * * *, as the case may be, either in the form specified in the direction or with such modifications thereoi as the Central Government may think fit:

Provided that before so making or amending the regulations the Central Government shall consider any objection or suggestion made

20 by the Board within the said period.

(3) Where in pursuance of sub-section (2), any regulations have been made or amended, the regulations so made or amended shall be published by the Central Government in the Official Gazette and shall thereupon have effect accordingly.

Power of

Central Go-

vernment to

moke first

regulation*.

25 126. Notwithstanding anything contained in this Act, the first regulations under this Act shall be made by the Central Govern- ment and shall have effect on being published in the Official Gazette.

127. The text of the regulations made under clauses (e) to (n) Potting of certain regu- lations, etc. 30 of section 123 and the scale of rates together with a statement of conditions framed by any Board under Chapter VI shall be promi- nently posted by the Board in English, in Hindi and in the regional language on special boards to be maintained for the purpose at the wharves, docks, piers and other convenient places on the premises of

35 the Board.

128. Nothing in this Act shall affect—

(1) the right of the Central Government to collect customs duties or of any municipality to collect town duties at any dock, berth, wharf, quay, stage, jetty or pier in the possession of a

40 Board, or

Saving of

right of Cen-

tral Govern-

ment and

municipali-

ties to use

wharreB,

etc, for

(2) any power or authority vested in the customs authori- ties under any law for the time being in force.

collecting duties and of power of Customs Officers.

129. The provisions of sections 35, 37, 38, 39, 40, 41, 42, 48, 49, 50, Application of certain provisions of the Act to aircraft.

64, 65, 115, 121, 123 and 124 shall apply in relation to all aircraft making use of any port while on water as they apply in relation to 5 vessels^

|

Power to evict certain persons from the premises of Board.

130. (1) Notwithstanding anything contained in any other law for the time being in force, if a Board in exercise of the powers conferred on it by regulations made under this Act cancel the allot- ment of any premises made to any employee of the Board, the Board Io may, by notice in writing, order such allottee or any other person who may be in occupation of the whole or any part of the premises to surrender or deliver possession thereof to the Board or a person appointed by the Board in that behalf within such period as may be specified in the notice.

J5

Eocplanation.—For the purposes of this section, "premises" means any building or part of a building and Includes—

(i) the gardens, grounds and out-houses, if any, appertaining to such building or part of a building;

(ii) any fittings affixed to such building or part of a build- 20 ing for the more beneficial enjoyment thereof; and

(iii) any furniture, books or other things belonging to the Board and found in such building or part of a building.

(2) If any allottee or other person refuses or fails to comply with an order made under sub-section (1), any magistrate of the first 35 class may, on application made by or on behalf of the Board, order any police officer, with proper assistance, to enter into the premises and evict any person from and take possession of, the premises and to deliver the same to the Board or a person appointed by the Board in that behalf and the police officer may, for the purpose, use such 3° force as may be necessary.

(3) Any such notice as is referred to in sub-section (1) may be served—

(a) by delivering or tendering it to the allottee or any other person who may be in occupation of the whole or any part of 35 the premises, or

(6) If it cannot be so delivered or tendered, by affixing it on the outer door or some other conspicuous part of the pre- mises, or

(c) by registered post,

4°

SEC. 2] THE GAZETTE OF INDIA EXTRAORDINARY 545

Alternative remedy by suit.

131. Without prejudice to any other action that may be taken under this Act, a Board may recover by suit any rates, damages, expenses, costs, or in the case of sale the balance thereof, when the proceeds of sale are insufficient, or any penalties payable to, or 5 recoverable by, the Board under this Act or under any regulations

made in pursuance thereof.

132. (1) Any requirement in this Act that a notification, order, rule or regulation issued or made by a Board or by the Central Gov- ernment shall be published in the Official Gazette, shall, unless other- 10 wise expressly provided in this Act, be construed as a requirement

that the notification, order, rule or regulation shall—

Require- ments as tc publication of notifica- tions, ordeiSj etc. in the Official Gazette.

(a) where it is issued or made by the Board, be published in the Official Gazette of the State in which the port is situated, and

15 (h) where it is issued or made by the Central Government,

be published in the Gazette of India.

(2) Any notification, order, rule or regulation issued or made by the Central Government shall, for general information, be also re- published in the Official Gazette of the State in which the port is

ao situated.

Repeal.

Bombay Act 7 of 1882.

133. (1) On the application of this Act to the port of Kandla, the Bombay Landing and Wharfage Fees Act, 1882 shall cease to have force in relation to that port.

(2) On the application of this Act to the ports of Cochin and 25 Vishakhapatnam, the Madras Outports Landing and Shipping Fees

Act, 1885 shall cease to have force in relation to those ports.

Madias Act 3 of 1885.

(3) If immediately before the application of this Act to any other port, there is in force in that port any law which corresponds to this Act or to any provision thereof, that corresponding law shall, on

30 such application, cease to have force in relation to that port.

Power to remove difficulties.

134. If any difficulty arises in giving effect to the provisions of this Act, particularly in relation to the transition from the enact- ments repealed by this Act to the provisions of this Act, the Central Government may, by general or special order, do anything not in- 35 consistent with such provisions which appears to it to be necessary or

expedient for the purpose of removing the difficulty.

M. N. KAUL,

Secretary.

PRINTED IN INDIA BY THE GENERAL MANA0ER, GOVERNMENT OF INDIA PRESS, NF'V DELHI AND PUBLISHED DY THE MANAGER OF PUBLICATIONS, DELHI, 19H3 .

Cite this issue. Extraordinary Gazette of India, Government of India, 13 August 1963. Indian Gazettes, https://egazette.servantsofknowledge.in/details/in.gazette.csl_extraordinary.1963-08-13.E-1862-1963-0034-84387/. Archive identifier in.gazette.csl_extraordinary.1963-08-13.E-1862-1963-0034-84387.