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REGISTERED No. D-(D)-72

The Gazette of India

EXTRAORDINARY

PART II--Section 2

PUBLISHED BY AUTHORITY

No. 16] NEW DELHI, TUESDAY, JANUARY 27, 1976/MAGHA 7, 1897

Separate paging is given to this Part in order that it may be filed

as a separate compilation.

LOK SABHA

The following Bills were introduced in Lok Sabha on the 27th January, 1976: —

BILL NO. 26 OF 1976

A Bill to repeal the Parliamentary Proceedings (Protection of Publication)

Act, 1956.

BE it enacted by Parliament in the Twenty-seventh Year of the Republic of India as follows: —

1. (1) This Act may be called the Parliamentary Proceedings (Pro- tection of Publication) Repeal Act, 1976.

(2) It shall be deemed to have come into force on the 8th day of

Short

title and

com-

mence-

ment.

December, 1975.

2. The Parliamentary Proceedings (Protection of Publication) Act, 1956, shall stand repealed:

Repeal

of Act

24 of

1956 and

saving.

Provided that such repeal shall not affect any proceedings, civil or criminal (whether pending immediately before the commencement of this Act or instituted or taken after such commencement) In respect of—

(a) any publication referred to in sub-section (1) of section 3 of the said Act made' before such commencement; or

(443)

(fa) any report or matter broadcast, before such commencement, by the means referred to in section 4 of the said Act,

and accordingly any such proceedings shall be disposed of as If the said Act had continued in force and this Act had not been passed.

RcpMt.

3. The Parliamentary Proceedings (Protection Of Publication) Repeal

25 Of 1975.

Ordinance, 1975, is hereby repealed.

STATEMENT OF OBJECTS AND REASONS

The Parliamentary Proceedings (Protection of Publication) Act, 195ft was intended to protect persons against any proceedings, civil or criminal, in any court in respect of the publication of substantially true reports of any proceedings of either House of Parliament, provided the publication was without malice and was for the public good. Article 105(2) of the Constitution gives immunity to Honourable Members of Parliament against all court proceedings in respect of anything said on the floor of the House and, consequently, to the publication of such statements by or under the authority of the House. The Parliamentary Proceedings (Pro- tection of Publication) Act, 1956 extended the scope of this constitutional immunity by bringing within its orbit the entire press of the country. This legislation was enacted at a time* when the Press Commission had, in its Report submitted in 1954, placed very high hope in the capacity of the Press in India to exercise full self discipline and restraint. The actual experience proved to be that the privilege given by the Act was misused frequently and systematically. Many newspapers reported with impunity, often on! the front page and with banner headlines, such motivated and wrong charges, levelled in the Parliament against different persons, as would have invoked the laws of the land. Because of the protection afforded by this law to the Press the persons affected were deprived of the remedy the country's laws promised, to vindicate their personal honour. The misuse of this privilege assumed extraordinary proportions during the last three years. Such! publications had the effect of eroding public morale and waekening the confidence of the people in Parliament and the democratically constituted Government.

It was, therefore, considered necessary to repeal the Act. Since Parliament was not in session and immediate action was necessary, the President promulgated the Parliamentary Proceedings (Protection of Publication) Repeal Ordinance (No. 25 of 1975) on 8th December, 1975. The Bill seeks to replace the aforesaid Ordinance.

NEW DELHI; VIDYA CHARAN SHUKLA.

The ltrth January, 1976.

B I LL N O. 28 OF 1976.

A Bill to provide against the printing and publication of incitement to

crime and other objectionable matter.

BE It enacted by Parliament in the Twenty-seventh Year of the

Republic of India as follows: —

CHAPTER I

PHELIMTNABY

1. (1) This Act may be called the Prevention of Publication of Objec-

tionable Matter Act, 1976.

(2) It extends to the whole of India.

Short

title,

extent

and com-

mence-

ment.

(3) It shall be deemed $o have come into force gn the 8th day of

December, 1975.

2. (1) In this Act, unless the context otherwise requires,—

Defini- tions and construc-

tion.

(a) "book" includes every volume, part or division of a volume, pamphlet and leaflet, in any language, and every sheet of music, map, chart or plan separately printed, lithographed or otherwise mechanically produced;

2 of 1974.

(b) "Code" means the Code of Criminal Procedure, 1973;

(c) "competent authority" means a competent authority appoint- ed under section 4;

(d) "document" Includes also any painting, drawing or photo- graph or other visible representation;

(e) "newspaper" means any periodical work containing public news or comments on public news;

(f) "news-sheet" means any document other than a newspaper containing public news or comments on public news;

(g) "press" means a printing press, and includes all plant, machinery, duplicators, types, implements and other materials used for the purpose of, or in connection with, printing or multiplying documents;

(h) "Press Registration Act" means the Press and Registration of Books Act, 1867;

25 of 1867.

(i) "State Government", in relation to a Union territory, means the administrator thereof appointed under article 239 of the Consti- tution;

(j) "unauthorised newspaper" means—

(i) any newspaper in respect of which security has been required under this Act but has not been furnished as re- quired, or

(ii) any newspaper which is published without conforming to the rules laid down in section 5 of the Press Registration Act;

(Jc) "unauthorised news-sheet" means any news-sheet in respect of which security has been required from the publisher thereof under this Act but has not been furnished as required or any news-sheet which does not contain the name of the printer and the publisher;

(I) "undeclared press" means any press other than a press in respect of which there is for the time being a valid declaration under section 4 of the Press Registration Act;

(m) any expression used but not denned in this Act shall,—

(i) if such expression is denned in the Code, have the same meaning as in the Code; and

(ii) if such expression is not defined in the Code but defined in the Indian Penal Code, have the same meaning as in the Indian Penal Code.

45 of 18tfO.

(2) For the purposes of this Act, where different editions of the same newspaper or news-sheet are published, each such edition shall be deemed to be a separate newspaper or news-sheet.

(3) Any reference in this Act to any law which is not in force in any area shall, in relation to that area, be construed as a reference to the corresponding law, if any, in force in that area.

(4) Any reference in this Act toi any officer or authority shall, in relation to any area in which there is no officer or authority with the same designation, be construed as a reference to such officer or authority as may be specified by the Central Government by notification in the Official Gazette.

3. In this Act, the expression "objectionable matter" means any words, signs or visible representations—

"Objec- tionable matter" defined.

(a) which are likely to—

(i) bring into hatred or contempt, or excite disaffection towards, the Government established by law in India or in any State thereof and thereby cause or tend to cause public dis- order; or

(ii) incite any person to interfere with the production, sup- ply or distribution of food or other essential commodities or with essential services; or

(Hi) seduce any member of the Armed Forces or the Forces charged with the maintenance of public order from his allegi- ance or his duty or prejudice the recruiting of persons to serve in any such Force or prejudice the discipline of any such Force; or

(iv) promote disharmony or feelings of enmity, hatred or ill-will between different religious, racial, language or regional groups or castes or communities; or

(v) cause fear or alarm to the public or to any section of the public whereby any person may be induced to commit an offence against the State or against the public tranquillity; or

(vi) incite any person or any class or community of persons to commit murder, mischief or any other offence; or

(b) which—

(i) are defamatory of the President of India, the Vice- President of India, the Prime Minister or any other member of the Council of Ministers of the Union, the Speaker of the House of the People or the Governor of a State; or

(ii) are grossly indecent, or are scurrilous or obscene or intended for blackmail.

Explanation I.—Comments expressing disapprobation or criticism of any law or of any policy or administrative action of the Government with a view to obtain its alteration or redress by lawful means, and words pointing out, with a view to their removal by lawful means, matters which are producing, or have a tendency to produce disharmony or feelings of enmity, hatred or ill-will between different religious, racial, language or regional groups or castes or communities, shall not be deemed to be objectionable matter within the meaning of this section.

Explanation II.—In considering whether any matter is objectionable matter under this Act, the effect of the words, signs or visible representations, and not the intention of the keeper of the press or the publisher or editor of the newspaper or news-sheet, as the case may be, shall be taken into account.

Appoint- ment of compe- tent au- thorltioe.

4. (I) The Central Government may, by notification in the Official Gazette, appoint such officers (being officers of the Central Government, not below the rank of a Deputy Secretary to that Government, or officers of State Governments or Administrations of Union territories not below the rank of a District Magistrate) as it deems fit to be competent autho- rities for the purposes of this Act and specify the local limits of their jurisdiction.

(2) An officer appointed under sub-section (I) may exercise the powers of a competent authority under this Act in relation to presses situated and newspapers and news-sheets published within the local limits of his jurisdiction, the keepers of such presses and the publishers and editors of such newspapers.

CHAPTER II

PROHIBITION OF PREJUDICIAL PUBLICATIONS

5. (1) The Central Government or the competent authority, if satis- fied that such action is necessary for the purpose of preventing or com- bating—

Power

to control

prejudi-

cial publi-

cations.

(a) any activity prejudicial to the interests of sovereignty and integrity of India, security of the State, friendly relations with foreign States, public order, decency or morality; or

(b) any activity involving, or likely to involve or culminate in incitement to offences,

may, by order in writing, addressed to the keeper of any press or any publisher or editor, prohibit the printing or publication in any document or any class of documents of any matter relating to a particular subject or class of subjects for a specified period (not exceeding two months from the date of communication of the order) or in a particular issue or issues of a newspaper or periodical.

(2) An order made under sub-section (1) shall not take effect until it is communicated to the person against whom it is made.

(3) When any order is made by the competent authority under sub- section (1) against any person, the competent authority shall forthwith report the fact to the Central Government together with the grounds on which the order has been made and such other particulars as in his opinion have a bearing on the matter and the Central Government may, if satisfied after making such inquiry, if any, as it may deem fit, that it is proper so to do, set aside such order or modify such order to the advantage of such person.

(4) Without prejudice to the provisions of sub-section (3), any person aggrieved by an order made under sub-section (1) may, within ten days of the communication of the order to him, make a representation to the Central Government and the Central Government may, after making

such inquiry as it may deem fit and after taking into account the action, if any, taken by it under sub-section (3) in respect of such order, dispose of the matter confirming, modifying or setting aside the order or, as the case may be, confirming such action:

Provided that if the person making the representation makes a request in his representation that he should be given an opportunity to be heard, the Central Government shall not dispose of the matter without giving to such person such opportunity.

(5) If within a period of seven days from the date of receipt of a

representation under sub-section (4) the Central Government falls to confirm, modify or set aside the order against which the representation is made, the order shall, unless sooner set aside under sub-section (3), be deemed to have been set aside on the expiry of that period.

Explanation.—In computing the said period of seven days,—

(a) public holidays, that is to say, days on which the offices of

the Central Government remain closed; and

(b) any time allowed to the person making the representation

in compliance with his request to be heard; and

(c) any period during which the representation could not be disposed of by reason of any injunction or order of any court (in- cluding the day on which such injunction or order was issued or made and the day on which it was withdrawn),

shall be excluded.

6. In the event of disobedience of an order made under section 5, the Forfeiture of publi- cations made in contraven- tion of orders under sec- tion 8.

Central Government or the competent authority issuing the order may, without prejudice to any other penalty, to which the person guilty of the disobedience of the order is liable under this Act or under any other law for the time being in force, direct that copies of the publica- tion made in disobedience of such order be seized, and that any printing press or other instrument or apparatus used in the publication be closed down for the period such order is in operation,

7. Whoever contravenes, disobeys or neglects to comply with any order made under section 5 shall, on conviction, be punished with im- prisonment for a term which may extend to one year, or with fine which may extend to one thousand rupees, or with both.

Penalty for con- travention of orders under sec- tion S.

CHAPTER III

PREVENTION or PRINTING AND PUBLICATION OF OBJECTIONABLE MATTER

Power to demand security from presses in certain cases.

8. Whenever it appears to the competent authority that any press has been used for the purpose of printing or publishing any newspaper, news- sheet, book or other document containing objectionable matter, and that there are sufficient grounds for demanding security from the keeper of the press under this section, the competent authority shall, by order in writing, direct the keeper of the press to deposit as security, within twenty-one days from the date of the order, such amount as the compe- tent authority may think fit to require:

Provided that if, having regard to all the circumstances of the case,

the competent authority is satisfied that the requirements of the case will be met by a warning, the competent authority may, instead of demanding security, record, by order in writing, such warning.

Power to forfeit security or demand further security from presses.

9. Whenever it appears to the competent authority that any press in respect of which any security has been ordered to be deposited under section 8 or under this section is thereafter used for the purpose of print- ing or publishing any newspaper, news-sheet, book or other document containing objectionable matter, the competent authority shall, by order in writing, declare such security as has been deposited, or any portion thereof, to be forfeited to the Central Government or direct the keeper of the press to deposit, within twenty-one days from the date of the order, such further security as the competent authority may deem fit to require and may also, in either case, declare all copies of the newspaper, news- sheet, book or other document containing such objectionable matter, wherever found In India, to be forfeited to the Central Government.

10. (I) Where the keeper of the press is required under section 8 or section 9 to deposit any amount as security and the deposit is not made within the time allowed—

(a) the declaration made by the keeper of the press under the

Press Registration Act shall be deemed to be annulled; and

Conse- quences of failure to deposit security as required under section 8 or section 9.

(b) notwithstanding anything contained in the Press Registra- tion Act, neither the said keeper of the press nor any other person shall make or be allowed to make a fresh declaration before a Magistrate under that Act in respect of the press, unless the amount required to be deposited as security by the keeper of the press under section 8 or section 9 is deposited by the keeper of the press or such other person; and

(c) the press shall not be used for printing or publishing of any newspaper, news-sheet, book or other document until the deposit has been made.

(2) If any press is used in contravention of clause (c) of sub-section (1), any Judicial Magistrate may on a complaint made to him in this behalf by the competent authority direct the keeper of the press to show cause why it should not be forfeited and after hearing him and on being satisfied that there are sufficient grounds for passing the order, declare the press or any part thereof to be forfeited to the Central Government :

Provided that the press or any part thereof so forfeited shall not be disposed of within a period of three months from the date of the order of forfeiture, and if the keeper of the press makes the required deposit within the aforesaid period, the press or the part thereof shall be returned to the keeper of the press.

11. Whenever it appears to the competent authority that a newspaper or news-sheet contains any objectionable matter, and that there are suffi- cient grounds for demanding security in respect of the newspaper or news-sheet under this section, the competent authority shall, by order in writing, direct the publisher of the newspaper or news-sheet to deposit, within twenty-one days from the date of the order, as security m respect of the newspaper or news-sheet, such amount as the competent authority may think fit to require :

Power to demand security from publishers of news- papers and news- sheets in certain cases.

Provided that if, having regard to all the circumstances of the case, the competent authority is satisfied that the requirements of the case will be met by a warning, the competent authority may, instead of demand- ing security, record, by order in writing, such warning.

Power to forfeit secu- rity or demand further security from publishers of news- papers and news-

sheets.

12. Whenever it appears to the competent authority that any news- paper or news-sheet in respect of which any security has been ordered to be deposited by the publisher under section 11 or under this section thereafter publishes any objectionable matter, the competent authority shall, by order in writing, declare such security as has been deposited, or any portion thereof, to be forfeited to the Central Government¹ or direct the publisher of the newspaper or news-sheet to deposit, within twenty- one days from the date of the order, such further security as the competent authority may deem fit to require and may also, in either case, declare all copies of the newspaper or news-sheet containing such objectionable matter, wherever found in India, to be forfeited to the Central Govern- ment.

13. (1) Where the publisher of a newspaper is required under section 11 or section 12 to deposit any amount as security in respect of any news- paper and the deposit is not made within the time allowed,—

(a) the declaration made by the publisher of the newspaper under section 5 of the Press Registration Act shall be deemed to be annulled; and

Conse- quences of idilure by publisher to deposit security as requir- ed under section 11 or sec- tion 12.

14). Whenever It appears to the competent authority that a newspaper or news-sheet contains any objectionable matter and that there are suffi- cient grounds for demanding security from the editor of the newspaper or news-sheet under this section, the competent authority shall, by order in writing, direct the editor of the newspaper or news-sheet to deposit, with- in twenty-one days from the date of the order, such amount as the com- petent authority may think fit to require:

Power to demand security from editors of news- papers and newa- sheets in certain cases.

Provided that if, having regard to all the circumstances of the case, the competent authority is satisfied that the requirements of the case will be met by a warning to the editor, the 'competent authority may, instead oi demanding security, record, by order in writing, such warning.

1&. Whenever it appears to the competent authority—

(a) that any newspaper or news-sheet contains any objection-

able matter, and

(b) that the editor of such newspaper or news-sheet has been ordered to deposit security (whether as editor of the same newspaper or news-sheet or of any other newspaper or news-sheet) under section 14 or this section,

Power to forfeit security or demand further security from editors of news- papers ana news- sheets.

the competent authority shall7 by order in writing, declare such security as has been deposited by such editor or any portion thereof to be forfeited to the Central Government or direct such editor to deposit, within twenty- one days froim the date of the order, such further security as the competent authority may deem fit to require.

16. (1) The amount of security which may be required to be deposited undei any of the foregoing sections of this Chapter shall be fixed with due regard to the circumstances of the case and shall not be excessive.

Amount of security and manner of deposit.

(2) The amount of security directed to be deposited under any of the foregoing sections of this Chapter shall be deposited in money or the equivalent thereof In Government securities in accordance with such order as the Central Government may, by notification in the Official Gazette, make, with such authority or agency as may be specified in such order.

(3) Every notification issued under sub-section (2) 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 one session or in two or more successive sessions, and if before the expiry of the session immediately following the session or the successive sessions aforesaid, both Houses agree in making any modification hi the notification, or both Houses agree that the notification should not be issued, the notification shall thereafter have effect only in such modified form or be of no 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 notification.

17. (1) The competent authority shall not make any order under sec-

tion 8, section 9, section 11, section 12, section 14 or section 15, unless he is satisfied, upon a complaint made to him in writing by the proper officer and inquiry made in the manner provided in this section, that it is neces- sary to make such order.

Procedure, etc, to be followed by the competent authority.

Explanation.—In this sub-section, ''proper officer" means any officer empowered by the Central Government, by general or special order in writing, to make complaints under this section.

(2) Every complaint to the competent authority under sub-section (I) against any person (hereafter in this section referred to as the res- pondent) shall state or describe the objectionable matter in respect of which the complaint is made and, where it is desired that security should be demanded from the respondent, shall specify the amount of security which, in the opinion of the officer making the complaint, should be so demanded.

(3) On receipt of a complaint under sub-section (I> the competent authority may, after making such preliminary inquiry, if any, as he may deem necessary, issue notice thereof to the respondent,

(4) When the respondent appears before the competent authority in compliance with a notice under sub-section (3), the competent authority shall settle the points for determination and proceed to inquire into the complaint and, after taking such evidence as may be produced and after hearing the parties, make such order as he may deem fit.

(5) The competent authority shall inquire into the complaint, as nearly as practicable, in the manner prescribed for conducting trials in summons-cases by Magistrates under the Code.

(6) If, on the day appointed for the appearance of the respondent or any day subsequent thereto to which the inquiry may be adjourned, the respondent does not appear, the competent authority may proceed to hear the complaint and take all such evidence, if any, as may be produced in support of the complaint and make such orders under this Act as he may deem fit:

Provided that If, on an application made by the respondent within fifteen days of the date of the ex parte order, the competent authority ia satisfied that there are sufficient grounds, he may set aside the order and make a fresh inquiry into the complaint.

(7) In any inquiry before the competent authority with reference to any newspaper or news-sheet, any previous or subsequent issue of such newspaper or news-sheet may be given in evidence In aid of the proof of the nature and effect of the words, signs or visible representation in res- pect of which the complaint Is made.

(8) For the purpose of hearing and disposing of complaints under this section, the competent authority shall have all the powers of a Judicial Magistrate of the first class under the Code.

Revision by and appeals to Central Govern- ment.

IS. (1) When any order is made by the competent authority under this Chapter against any person, the competent authority shall forthwith report the fact to the Central Government togethelr with the grounds on which the order has been made and such other particulars as in the opinion of the competent authority have a bearing on the matter and the Central Government may, if satisfied after making such inquiry, if any, as it may deem fit, that it Is proper so to do, set aside such order or modify such order to the advantage of such person.

(2) Without prejudice to the provisions of sub-section (1), any person aggrieved by an order of the competent authority under this Chapter may, within thirty days of the making of such order, prefer an appeal to the Central Government and the Central Government may, after making such inquiry as It may deem fit and after taking into account the action, if any, taken by It under sub-section (I¹) in respect of such order, dispose of the appeal confirming, modifying or setting aside the order or, as the case may be, confirming such action:

Provided that before confirming any such order or modifying it to the disadvantage of the appellant, the Central Government shall give an opportunity to the appellant to represent his case.

(3) On the disposal of the appeal, the Central Government shall com- municate the order made by it to the appellant and the competent autho- rity.

(4) If within a period of sixty days from the date of receipt of an appeal under sub-section (2), the Government fails to confirm, modify or set aside the order appealed against, the order shall, unless sooner set aside under sub-section (2), be deemed to have been set aside on the date of the expiry of the said period.

Explanation.—In computing the said period of sixty days, any period during which the Central Government could not dispose of the appeal by reason of any injunction or order of any Court (including the day on which such injunction or order was issued or made and the date on which it was withdrawn) shall be excluded.

CHAPTER IV

PREVENTION OF CIRCULATION AND DISTRIBUTION OF OBJECTIONABLE MATTER

19. Where it appears to the Central Government that any issue of a newspaper or news-sheet or any book or other document, wherever made, contains any objectionable matter, that Government may, by notification in the Official Gazette, stating the grounds for the order, de- clare that every copy of such issue of the newspaper or news-sheet or of

such book or document shall be forfeited to the Central Government.

Power of Central Govern- ment to declare certain publica- tions forfeited.

52 of 1962.

Power to detain packages contain- ing certain publica- tions when im- ported.

20. (./) Any officer of customs under the Customs Act 1962 or any other officer empowered by a general or special order by the Central Government in this behalf may detain any package imported into India in which he suspects there are newspapers, news-sheets, books or other documents containing objectionable matter and shall forthwith forward copies of any such newspaper, news-sheet, book or other document found therein to such officer as the Central Government may appoint In this behalf to be disposed of in such manner as the Central Govern- ment may direct.

(2) Any person aggrieved by any action taken under sub-section (1) may apply, within fourteen days from the date on which such action Is taken, to the Central Government for review and the Central Govern- ment may pass such orders thereon as it thinks fit.

21. (1) No newspaper, news-sheet, book or other document which has been declared to be forfeited under any of the provisions of this Act and no unauthorised newspaper or unauthorised news-sheet shall be transmit- ted by post.

Prohibi- tion of transmis- sion by post of certain docu- ments.

(2) Any officer in charge of a post office authorised by the Central Government in this behalf may detain In course of transmission by post any article other than a letter which he suspects to contain any docu- ment as is mentioned in sub-section (1) and shall deliver all such articles to such officer as the Central Government may appoint in this behalf.

(3) If the officer to whom any article is delivered under sub-section (2) is satisfied that the article contains any such document as is men- tioned in sub-section (1), he may pass such orders as to the disposal of

the article and its contents as he dcemr. proper, and, if he is not so satis- fied, he shall return the article: to the post office for transmission to the addressee.

22. (7) Any police officer or any other officer empowered In this be- half by a State Government may seize any unauthorised newspaper or unauthorised news-sheet in the State.

Power to seize and destroy unautho- rised news- papers and news- sheets.

(2) Any Metropolitan Magistrate, Chief Judicial Magistrate or a Magistrate oi' the first CIT S may, by warrant, authorise any police officer, not below the rank of a sub-inspector, to enter upon and search any place where any stock of unauthorised newspapers or news-sheets may be, or may be reasonably suspected to be, and such police officer may seize any documents found m such place which, in his opinion, are un- authorised newspapers cr unauthorised news-sheets.

(3) All documents seized under sub-section (1) shall be produced, as soon as may be, before a Metropolitan Magistrate, a Chief Judicial Magistrate or a Magistrate of the first class and all documents seized under sub-section (2) shall be produced, as soon as may be, before the Court of the Magistrate who issued the warrant,

(4) If in the opinion of such Magistrate or Court any of such docu- ments are unauthorised newspapers or unauthorised news-sheets, the Magistrate or Court may cause thdm to be destroyed, but if, in the opinion of such Magistrate or Court any of such documents are not unauthorised newspapers or unauthorised news-shocts, such Magistrate or Court shall dispose of them in the manner provided in sections 457, 458 and 459 of the Code.

23. (2) Where a Metropolitan Magistrate or a Chief Judicial Magis- trate has reason to believe that an unauthorised newspaper or unautho- rised news-sheet is being produced from an undeclared press within the local limits of his jurisdiction, he may, by warrant, authorise any police officer, not below the rank of a sub-inspector, to enter upon and search any place where such undeclared press may be, or may be reasonably suspected to be, and if, in the o^'-ilon of the police officer, any press found in such place is an undeclared press and is used to produce an unauthoris- ed newspaper or unauthorised news-sheet, he may seize such press and any documents found in the place which, in his opinion, are unauthorised newspapers or unauthoiised news-sheets.

Power to seize and forfeit un- declared presses producing unautho- rised news- papers and un- authoris- ed news- sheets.

(2) The police officer shall forthwith make a report of the search tc the Court which issued the warrant and shall produce before such Court, as soon as may be, all property seized:

Provided that where any prcrs which has been seized cannot be readi- ly removed, the police officer may produce before the Court only such parts thereof as he may think fit.

(3) If such Court, after such inquiry as it may think requisite, ia of opinion that a press seized under this section is an unauthorised press

which is used to produce an unauthorised newspaper or news-sheet, it may, by order in writing, declare the press or any part thereof to be for- feited to the Central Government, but i'i alter such inquiry the Court is not of such opinion, it shall dispose oC llio press in HIP manner provided in sections 457, 458 and 459 of the Code.

(4) The Court shall deal with the docurcunts produced before it under

this section in the manner provided in sub section (4) of section 22.

CHAPTER V

APPEALS AND APPLICATIONS TO HIGH COURT

Appeals.

24. (1) Any person aggrieved by an order passed under section 18 may prefer an appeal to the High Court within the jurisdiction of which such person ordinarily resides or carries on business or personally works for gain.

(2) No appeal shall be entertained under sub-section (1) unless it is

made within sixty days of- the date of the order appealed against,

(3) Upon any appeal under this section, the High Court may pass such order as it deems fit confirming, varying; or setting aside the order appealed from, and may pass such consequential or incidental orders as may be necessary.

25. (1) Any person aggrieved by an order of forfeiture passed by a Magistrate under sub-section (2) of section 10 or snb-section (3) of sec- tion 13 may, within sixty days of the cM'i of such order, make an applica- tion to the High Court to which such Magistrate is subordinate,

Applica- tion to High Court against orders of for-

feiture.

(2) Any person aggrieved by an order of forfeiture passed under sec- tion 19 or by an order under sub-section (2) of section 20 may, within sixty days of the date of such order, mike an application to the High Court within the jurisdiction of which such person ordinarily resides or carries on business or personally works for gain.

(3) The High Court to which any application is made under this sec- tion may pass such order as it deems fit confirming, varying or setting aside the order in respect of which such application is made and may pass such consequential or incidental orders as may be necessary.

26. Every appeal and every application to a FTigh Court under this Chapter shall, where th" High Court consists of three or more Judges, be heard and determined by a Special Bench of the Hiph Court composed of three Judges and where the High C b ^t i-T^isi'.- of les^ than three Judges, such Special Bench shall bo composed of all the Judges of the High Court.

Appeals and appli- cations to be heard bv a Bench of three Judges.

Proce- dure in Hitjh Court.

27. Every Hiph Court may framp r n¹^ to r^Tu^to the procedure in respect of appeals and applications "nrVr ilv^ Chanter irirl until such rules arc framed, the pr/vtiro °f- stirh Hir'h rYi;rt in nr^oedings in res- pect of appeal and revision shall anpiv, in FO far a.; imy h" practicable, to such appeals and applications,

CHAPTER VI

PENALTIES

Penalty for keep- ing press without making deposit.

28. Whoever is the keeper of a press which is used for the printing or publishing of any newspaper, news-sheet, book or other document without making a deposit as required under section 8 or section 9 shall be punishable with imprisonment for a term which may extend to six months, or with fine which may extend to two thousand rupees, or with both.

29. Whoever publishes any newspaper or news-sheet without making a deposit as required under section 11 or section 12 or publishes such newspaper or news-sheet knowing that such security has not been depo- sited shall be punishable with imprisonment for a term which may ex- tend to six months, or with fine which may extend to two thousand rupees, or with both.

Penalty for pub- lishing news- paper or news- sheet without making deposit.

Penalty for acting as editor without making deposit.

$0. Whoever acts as an editor of a newspaper or news-sheet without making a deposit as required under section 14 or section 15 shall be punishable with imprisonment for a term which may extend to. three months, or with fine which may extend to one thousand rupees, or with both.

•31. Whoever sells or distributes or keeps for sale or distribution any unauthorised newspaper or unauthorised news-sheet knowing or having reason to believe that it was an unauthorised newspaper or an unautho- rised news-sheet shall be punishable with imprisonment for a term which may extend to six months, or with fine, or with both.

Penalty for dis- semina- ting un- authoris- ed news- papers and un- authorised news- sheets.

CHAPTER VII

MISCELLANEOUS

32. Every notice under this Act shall be served in the manner Service of notices. provided for the service of summonses under the Code:

Provided that if service in such manner cannot, by the exercise of due diligence, be effected, the serving officer shall, where the notice is directed to the keeper of the press, affix a copy thereof to some cons- picuous part of the place where the press is situated, as described in the keeper's declaration under section 4 of the Press Registration Act, and, where the notice is directed to the publisher or editor of a newspaper, to a conspicuous part of the premises where the publication of such news- paper is conducted, as given in the publisher's declaration under section 5 of that Act and thereupon the notice shall be deemed to hnvt> heen duly served.

Issue of search, warrants in certain cases.

33. (1) Where any press or any copies of newspaper, news-sheet book or o,ther document are declared forfeited to the Central Government under this Act, the Central Government may require a Magistrate to issue a warrant empowering any police officer, not below the rank of a sub-inspector, to seize and detain any property ordered to be forfeit- ed and to enter upon and search for such property in any premises—

(a) where any such property may be or may be reasonably sus- pected to be, or

(b) where any copy of such newspaper, news-sheet, book or other document is kept for sale, distribution, publication or public exhibition or is reasonably suspected to be so, kept.

(2) Without prejudice to the provisions contained in sub-section (1), where any newspaper, news-sheet or other document is declared forfeited to the Central Government, it shall be lawful for any police officer to seize the same, wherever found.

Conduct of searches.

34. Every warrant issued under this Act shall, so far as it relates to a search, be executed in the manner provided for the execution of search-warrants under the Code.

35. (1) Where any keeper of a press or publisher or editor of a news- Return of security in certain casea.

paper or news-sheet has deposited any amount as security or further security as required under section 8 or section 9 or section 11 or section 12 or section 14 or section 15 and no further action has been taken in respect of the press or the publisher or the editor under this Act for a period of two years from the date of such deposit, the person who made the deposit or any person claiming under him may apply to the Central Government for the return of the security in deposit.

(2) The Central Government shall, after making such inquiry as it may deem fit and after being satisfied about the claim of the applicant, direct the security to be returned to the applicant.

Applica- tion of provisions of Act 36 of 1963.

36. For the purpose of determining any period of limitation prescribed by this Act for any application or appeal, the provisions of sections 4 to 24 of the Limitation Act, 1963 shall apply as they apply for deter- mining the period of limitation prescribed for any application or appeal by the Schedule to, that Act.

37. Every declaration of forfeiture purporting, to be made under this Act shall, as against all persons be conclusive evidence that the forfeiture therein referred to has taken place, and except as provided by this Act—

Bar of jurisdic- tion and protection of action taken in fiood faith.

(a) no proceeding taken or purporting to be taken under this

Act shall be called in question by or before any court; and

(b) no civil or criminal proceedings shall be instituted against any person for anything which is in good faith done or intended to be done under this Act.

38. Notwithstanding anything contained in this Act, no keeper of a Bar of double penalty.

press or publisher ofl any newspaper or news-sheet or editor of any; newspaper or news-sheet shall be prosecuted under section 28, section 29 or section 30, as the( case may be, if for the same act or omission such person has been proceeded against under section 8 or section 9 or section 11 or section 12 or section 14 or section 15, as the case may be, nor shall any such person be proceeded against under section 8 or section 9 or section 11 or section 12 or section 14 or section 15, as the case may be, if for the same act or omission such person has been prosecuted under section 28, section 29 or section 30, as the case may be.

39. Notwithstanding anything contained in the Code, any offence punishable under this Act and any abetment of such offence shall be cognizable and bailable.

Cogniza- billty of offences under this Act.

40. Sections 6, 7 and 8 of the Criminal and Election Laws Amendment

35 of 1069.

Act, 1969 are hereby repealed.

Repeal of sections 6, 7 and 8 of Act 35 of 1969.

41. (1) The Prevention of Publication of Objectionable Matter Ordi-

nance, 1975 is hereby repealed.

Repeal of Ordi- nance 28 of 1975 and saving.

(2) Notwithstanding such repeal, anything done or any action taken under the said Ordinance shall be deemed to have bedn done or taken under the corresponding provisions! of this Act.

STATEMENT OF OBJECTS AND REASONS

A publication in print has a more lasting and widespread, effebt than other forms of communication. The Press (Objectionable Matter) Act, 1951, was enacted to penalise the abuse of the freedom of the prefes by publication of matter involving encouragement of violence or sabotage or incitement to certain othet very grave offences. The Press Commission which submitted its Report in 1954 accepted the possibility of existence of irresponsible elements who needed to be curbed through special legal measures. The Commission recommended the setting up of a Press Council which would, inter alia, safeguard thei liberty of the press and evolve and maintain standards of journalistic ethics. The Commission hoped that as the Press Council "grows in strength and prestige the necessity of having resort to such measures as the Pressl (Objectionable Matter) Act will gradually disappear." In the hope that the press would evolve its own internal control, Government allowed the Pre&s (Objec- tionable Matter) Act, 1951, to expire on the 1st February, 1956. Later, in accordance with the recommendations of the Press Commission, the¹ Press Council Act, 1905, was enacted. The experience ofl the system of Press Council has not, however, been satisfactory. It did not s^rve to deter those elements which were in a position to use the printed medium in an undesirable way, for spreading hatred, for character assassination and undermining the people's morale and taste. In view of the need for urgent action in the matter, the President promulgated on the 8th December, 1975, the Prevention of Publication of Objectionable Matter Ordinance, 1973.

'

NEW DEUH;

Th? ISSh January, 197& VTDVA CHARAN SHUKLA

Notes on Clauses

Clause 2.—Sub-clause (1) defines certain expressions used in the Bill. The definitions of "book", "document", "newspaper", "news-sheet" "press", "Pretes Registration Act", "unauthorised newspaper", "unauthorised news- sheet" and "undeclared press" are on the same lines as the definitions of those expressions ini section 2 of the Press (Objectionable Matter) Act, 1951.

Sub-clauses (2), (3) and (4) are self-explanatory.

Clause 3.—This clause defines the expression "objectionable matter". Subject to certain modifications aimed at making the law more effective, the definition of the expression is modelled on the definition of the ex- pression in section 3 of the Press (Objectionable Matter) Act, 1951. In particular, seditious publications, publications involving incitement to offences and publications which are defamatory of high dignitaries have been covered. As in the Press (Objectionable Matter) Act, 1951, it has been made clear that comments expressing disapprobation or criticism of any law or of any policy or administrative action of the Central Govern- ment with a vie,w to obtairi its alteration or redressal by lawful means shall not be deemed to be objectionable matter.

Clause 4.—This clause provides! for the appointment of competent authorities for the purposes of the legislation. The power to appoint competent authorities is vested in the Central Government. Officers of the Central Government not below the rank of a Ddputy Secretary to that Government or¹ officers of State Governments or Union territory Administrations not below the rank of District Magistrates may be appointed as competent authorities.

Clause 5.—This clause seeks to empower the! Central Government and the competent authorities to prohibit the printing or publication in any document or any class! of documents of any matter relating to a particular subject or a class of subjects for a specified period (not exceeding two months) or in any particular issue or issues of a: newspaper or periodical of any matter where such prohibition is considered necessary for the pur- pose of preventing or combating any activity prejudicial to the interests of sovereignty and integrity of India, security of the State,, friendly re- lations with foreign States, public order, decency or morality or any activity involving or likely to involve or culminate in incitement to offences. The provision is modelled on section 6 of the Criminal and Election Laws Amendment Act, 1969. Where ari order is made by com- petent authority he has to report the fact to the Central Government and the Central Government may. on its own motion, se!t aside such order or modify it to the advantage of the rjerson against whom it! is made. In addition, the person aggrieved by such! order may make a representation to the Central Government. Special provisions have been made to ensure that sucli representations are disposed of expedftiously. If a represents-

tion against an order is not disposed of within the period specified in the clause, the¹ order will automatically be deemed to have been set aside on the expiry of that period.

Clause 6.—This clause provides for forfeiture of publications made in contravention of an order under clause 5.

Clause 7.—Thisi clause provides for penalty for contravention of an order under clause 5.

Clauses 14 and 15.—These clauses provide for the action which may be taken against the editor of a newspaper or news-sheet found to be containing objectionable¹ matter. On the first occasion, the competent authority can, byj order in writing, require the editor to deposit as secu- rity such amount as that authority may deem fit. Where the require- ments of the case will be met by a warning, the! competent authority may instead ofi demanding security record such warning (clause 14),

If, after an editor has been required to furnish security, any objec- tionable matter is found to have! been published in any! newspaper or news-sheet of which he is the editor, the competent authority can by order in writing declare the whole or any portion of the security deposit- ed by the editor to be forfeited) to the Central Government or direct the editor to deposit further security] (clause 15).

Clause 16.—This clause provides that the amount of security which a keeper of the press or an editor of a newspaper or news-sheet may be required to deposit shall not be excessive and that it shall be fixed having due regard toi all the circumstances. The clause also provides that any security directed to be deposited may be deposited in money or the equi- valent thereof in Government securities.

Clause' 17.—This clause provides for the procedure which! has to be followed by a competent authority in, making any order under clause 8, 9, 11, 12, 14 or 15, as the case may be, against a keeper of a press otf publisher or'editor of a newspaper or news-sheet. The competent authority may make an order only upon a complaint made to him in writing by the proper officer and after inquiry in accordance with the provisions of the clause. The clause provides, inter alia, that the inquiry shall be made as far as practicable in the manner prescribed for conducting trials in summons cases by Magistrates under the Code of Criminal Procedure, 1973.

Clause 18.—Thisl clause provides for revision by Central Government

&EC 2J THE OAZLTlii Ob INDIA EXTRAORDINARY 46$

Clause 24.—This clause provides ior appeals to High Court against

the orders of the Central Government under the clause 18.

Clause 25.—This clause provides ior applications to the High Court against orders made under clause 10(2), cLause 13(3), clause 19 and clause 20.(2).

Clause 26.—This clause provides that appeals and applications under clauses 24 and 25 shall be heard by a Special Bench oi the High Court composed of) three) Judges or where the High Court consists of less than three Judges, of all the Judges of the High Court.

Clause 27.— This clause empowers the High Courts to frame rules to xegulate the procedure in respect of appeals and applications under the provisions at clauses 24 and 25.

Clauses 28, 29 and 30.—These clauses provide for penalties for keep- ing a press without making a deposit, for publishing a newspaper or news-shetet without making a deposit or for acting as; editor without making a deposit.

Clause 31.—This clause provides for penalty for disseminating unautho- rised newspapers and unauthorised news-sheets.

Clause 32.—This clause provides for the manner of service! of notices under the legislation.

Clauses 33 and 34.—These are self-explanatory.

Clause 35.—This clause provides for the circumstances in which de- posits made under the Act may be returned.

Clause 36.—This clause seeks to make the provisions of the Limitation Act, 1963 relating to computation of periods of limitation applicable for purposes of computing the periods of limitation for applications and appeals under the legislation.

Clauses 37 to 39.—These clauses are self-explanatory.

Clause 40—In view of the provisions made in clauseis 5 to 7 of the Bill, this clause provides for the repeal of sections 6, 7 and 8 of the Criminal and Election Laws Amendment Act, 1969.

Clause 41.—This clause provides for the repeal of the¹ Prevention of Publication of Objectionable Matter Ordinance, 1975.

MEMORANDUM REGARDING DELEGATED LEGISLATION

Sub-clause (2) of clause 16 of the< Bill empowers the Central Govern- ment to specify, by notification in the' Official Gazette, the manner in which and the authority or agency with whom the amounts of security referred to in that sub-clause may be deposited. The matters which may be specified in such notification are matters of detail. Further, sub- clause (3) of the clause¹ provides for the laying of such notifications before each House of Parliament. Hence, the delegation of legislative power is of a normal character.

Memorandum explaining the modifications contained in the Bill to re-

place the Prevention of Publication of Objectionable Matter Ordinance,

1975

Apart from changes of a formal, drafting or consequential nature, the Bill contains the following modifications : —

(1) Section 16 of the Ordinance, which, inter alia, empowers the Central Government to specify, by notification, the mannetr in which and the authorities or agencies with whom deposits may be made, has been modified to provide for the laying of such notifica- tions before dach House of Parliament [vide clause 16(3) of the Bill].

(2) The Explanation to section 17(1) of the Ordinance relating to appointment of proper officers has been modified so that the Central Government alone has the power to appoint such officers [vide Explanation to clause 17(1) of the Bill].

B I LL N O. 27 OF 1976

A Bill to provide for the establishment, in the interest of the general

public, of a fund to ensure that the price of levy sugar may be uni-

form throughout India and for matters connected therewith or inci-

dental thereto.

BE it enacted by Parliament in the Tw&nty-seventh Year of the Re- public of India as follows: —

1. (1) This Act may be called the Levy Sugar Price Equalisation Fund Act, 1976.

(2) It extends to the whole of India except the State of Jammu and Kashmir.

Short title, extent end com- mence- ment.

(3) It shall come into force on such date as the Central Government m ayi by notification in the Official Gazette, appoint.

2. In this Act, unless the context otherwise requires,—

Deflnl. tions.

10 of 1956.

(a) "controlled price" means the price of the relevant grade of levy sugar, determined from time to time under sub-section (3C) of section 3 of the Essential Commodities Act, 1955, or under the Defence and Internal Security of India Rules, 1971, in relation to any year of production;

(b) "excess realisation", in relation to each grade of levy sugar,—

(i) means the price realised by any producer, on the sale of levy sugar of such grade, in excess of—

(a) the controlled price, or

(b) where any fair price has been fixed by a court for levy sugar of such grade, such fair price, and

(ii) includes any realisation representing the difference between the controlled price and the price allowed by the court by an interim order, if such interim order is set aside, whether by the court which made the order or in appeal or revision;

(c) "fair price", in relation to levy sugar, means the price fixed by the court in excess of the controlled price, and, where an intetini price, fixed by the court, is superseded by a price which is finally fixed by the court, the price so finally fixed;

(d) "Fund" means the Levy Sugar Price Equalisation Fund, established under section 3;

(e) "levy sugar" has the meaning assigned to it in the Levy Sugar Supply (Control) Order, 1972, published with the Order of the Government of India, in the late Ministry of Agriculture (Department of Food), No. GSR 310(E)/Ess.Com./Sugar, dated the 15th June, 1972;

(f) "prescribed" means prescribed by rules made under this Act;

(g) "producer" means a person carrying on the business of manu- facturing sugar by the vacuum pan process.

3. (1) There shall be established a Fund, to be called the Levy Sugar Price Equalisation Fund.

(2) Save as otherwise provided in sub-section (4), there shall be credited to the Fund, in such manner as may be prescribed,—

Levy Sugar Price Equalifla. tion Fund.

(a) the amounts representing all excess realisations made by the producers, irrespective of whether such excess realisations were made before or after the commencement of this Act;

(b) the amounts representing any loans which may be advanced, or grants which may be made, by the Central Government for carry- ing out the objects of the Fund-

(3) Save as otherwise provided in sub-section (4), every producer shall,—

(a) in the case of an excess realisation made before the com- mencement of- this Act, within thirty days from such commencement,

(b) in the case of an excess realisation made after such com- mencement, within thirty days from the date on which such excess realisation was made,

credit to the Fund, the amount representing such excess realisations, together with interest due thereon at the rate of twelve and a half per cent, per annum, from the date on which such amount was realised by him.

(4) Where, by virtue of any interim order made by any court, whe- ther before or after the commencement of this Act,—

(a) amounts representing the difference between the controlled price and price allowed by any court by an order made in this behalf, have been, or are required to be,—

(i) kept with the producer himself, or

(ii) kept deposited with, or in the custody of, any court, or

(Hi) kept deposited with, or in the custody of, any Govern- ment, bank, authority or other person; or

(b) any amount in excess of> the controlled price has been col- lected and kept by the producer under the cover of- any guarantee given In pursuance of such order,

it shall not be necessary to credit such amounts to the Fund so long as the court which passed the interim order does not so direct.

(5) Where, in pursuance of an interim order referred to In sub-section (4), any amount representing the difference between the controlled price and the interim price allowed by the court is,—

(a) held by any producer either with himself or with any other person or with any court, Government, bank or oilier authority, or

(b) collected and kept by the producer under the cover of any guarantee,

such producer shall, on the final disposal of the proceedings of the court aforesaid, or in any court of appeal or revision, credit such amount, to the extent it represents any excess realisation to the Fund.

(6) For the removal of doubts, it is hereby declared that the obligation to credit amounts representing excess realisations to the Fund shall be in addition to any penalty which may be imposed for the contravention of any provision of this Act.

(7) The Fund shall be administered, subject to the provisions of section 8, by the Central Government.

4- If any question arises as to whether any producer has realised, on the sale of levy sugar, any amount in excess of the controlled price, or, as the case may be, the fair price, it shall be decided by the Central Govern- ment after giving an opportunity to such producer of being heard and after making such inquiry as that Government may deem fit.

Determi- nation of questions as to mak- ing o* excess realisa- tions.

5. Where any amount is credited to the Fund under section 3, the producer by whom such amount is credited shall, upon such crediting, be discharged from the liability to make repayment of such amounts to the persons entitled thereto and such discharge from liability to make repay- ment shall be without any prejudice to any penalty which may be im- posed on such producer for each excess realisation made by him.

Discharge of per- sons of liability In respect Of amounts credited to the Fund.

6. (1) Where any amount is credited to the Fund, a refund shall be made from the Fund to the buyer of levy sugar from whom any excess realisation was made by the producer or dealer:

Right of buyer to claim refund Provided that no buyer shall be entitled to claim a refund under this sub-section if he,—

(a) being a wholesale dealer, had passed on the incidence of such excess over the controlled or fair price of levy sugar to the retail dealer by whom the price of such sugar was paid, or

(b) being a retail dealer, had passed on the incidence of such excess over the controlled or fair price of levy sugar to the consumer by whom the price of such sugar was paid.

(2) Every application for refund under sub-section (1) shall bo made to the Central Government within six months from the date on which the excess realisation, in relation to which such refund is claimed, is credited to the Fund, and every such application shall be in such form, as may be prescribed and shall be accompanied by such documentary or other evidence as the applicant may furnish to establish that the excess realisation, in relation to which such refund is claimed, was made from him.

(3) The Central Government shall, if satisfied, on a scrutiny of the Claim made under sub-section (1), that an excess realisation was made from the claimant, direct that refund be made from the Fund to the claimant to the extent of the excess realisation made from him:

Provided that if the amount standing to the credit of the Fund is not

sufficient to enable the Central Government to make the refund, such

refund shall be made from the Central revenues.

7. Notwithstanding anything to the contrary contained in any ether law for the time being in force or in any contract, no amount, represent- ing excess realisations made by a producer or excess realisations made by a producer under the cover of any guarantee given by any person shall be paid to any producer.

Excess realisa- tion not to be paid to any producer of sugar. Fund to vest in the Central Govern- ment.

8. (1) Any money paid into the Fund, which remains unclaimed after the expiry of the period of six months from the date on which it is credited to the Fund, shall vest in the Central Government and such amount shall be utilised by that Government in such manner as may be prescribed having regard to the interests of the consumers of levy sugar as a class and the need to ensure that the retail price of levy sugar throughout India is uniform:

Provided that, notwithstanding the vesting of such money in the Central Government, a claim for the refund of monev standing to the credit of the Fund may be made [in the manner specified in sub-section (2) of section 6] at any time by¹ a buyer who is lawfully entitled to imke such olpim, and every such claim, if admittpd, shall be dealt with as if the money relatable to such claim had not v^fitod in the Central Government.

(2) The Central Government shall not grant any loan or give any financial assistance from the Fund except for the purposes of this Act.

(3) The Central Government shall maintain, or if it thinks fit specify the authority which shall maintain, proper and separate account and other relevant records in relation to the Fund in suclj form as may be

prescribed in consultation with the Comptroller and Auditor General of India.

Power to require producers to main- tain acco- unts, etc.

9. The Central Government may, if it is satisfied that It is expedient or necessary so to do for carrying out the provisions of this Act, by an order, direct any producer to maintain such books o£ account and other records in relation to levy sugar as it may think fit and to produce such books of account and other records for inspection and may also direct such producer to furnish such information relating to levy sugar as may be specified in the order.

Power of entry, search and seizure.

10. (1) Any authority specified by the Central Government in this behalf may, if it is satisfied that any provision of this Act has been, or Is being, or Is about to be, contravened, authorise any person to enter and search any premises where any accounts, books, registers and other docu- ments relating to levy sugar and belonging to, or under the control of, a producer or his agent, are maintained or kept for safe custody.

(2) The person so authorised may seize any such accounts, books, registers or other documents if he has any reason to believe that a contra- vention of this Act has been, or is being, or is about to be, committed:

Provided that the accounts, books, registers or other documents seized under this section shall not be retained in custody of the Central Govern- ment for a period exceeding ninety days:

Provided further that where such accounts, books, registers and other documents are required for the purposes of any prosecution, they may be retained in the custody of the Central Government for a further period, not exceeding ninety days for the purposes of such prosecution.

2 of 1974.

(3) The provisions of the Code of Criminal Procedure, 1973, relating to searches and seizures, shall, so far as may be, apply to searches and

seizures made under this Act.

11. If any producer makes any default in crediting to the Fund any excess realisations made by him or any part thereof, such excess realisa- tions or such part, as the case may be, shall be recoverable by the Cen- tral Government from such producer as an nrrear of land revenue.

Power of Central Govern, ment to recover excess realisa- tions as arrears of land rev"nue.

Dissolu- tion of the Fund.

12. The Central Government may, by notification In the Official Gazette, declare that with effect from such date as may be specified in the notification, the Fund shall cease to exist and thereupon all the amounts lying to the credit of the Fund shall be credited to the Central revenues and refund, if any, made by the Central Government, after such cesser, to any buyer of levy suffar shall be treated as an order for the refund of revenue-

Penalties.

13. (1) If any producer—

(a) makes any default in crediting to the Fund any excess reali-

sations made by him or any part thereof, or

(b) having been required by the Central Government so to do,

omits or falls to—

(i) maintain any books, accounts or other records In rela- tion to levy sugar, or

(ii) produce any books, accounts or other records for inspec- tion, or

(Hi) furnish any information or furnishes any information

which is incorrect or false in material particulars,

he shall be punishable with imprisonment for a term which may extend to two years, or with fine which may extend, to five thousand rupees, or with both.

(2) No court shall take cognizance of any offence punishable under this Act except on the complaint in writing made by the Central Govern- ment or by any officer or authority authorized, in writing, by that Gov- ernment in this behalf.

14. If any difficulty arises in giving effect to any provision of this Act, Removal of diffi- culties.

the Central Government may make such order, not inconsistent with the provisions of this Act, as may appear to it to be necessary to remove the difficulty.

15. No suit, prosecution or other legal proceeding shall lie against the Central Government or any person authorised by the Central Govern- ment for anything which is in good faith done or intended to be done under this Act or any rule or order made thereunder.

Protec- tion of action taken in good faith.

lfi. (1) The Central Government may make rules for carrying out the provisions of this Act.

Power to make rulejj.

(2) In particular, and without prejudice to the generality of the fore- going power, such rules may provide for all or any of the following mat- ters, namely: —

(a) the manner in which amounts shall be credited to the Fund

under section 3;

(b) the form in which an application for refund, referred to In

section 6, shall be made;

(c) the manner in which amounts standing to the credit of the

Fund shall be utilised, as required by section 8;

(d) the form in which the account and the relevant records, re-

ferred to in sub-section (3) of section 8, shall be maintained;

(e) any other matter in relation to which such rules are required

to be, or may be, made.

(3) Every rule made by the Central Government under this Act shall be laid, as soon as may be after it is made, before each House of Parlia- ment while it is in session for a total period of thirty days which may be comprised in one session or in two or more successive sessions, and if, before the expiry of the session immediately following the session or the successive sessions aforesaid, both Houses agree in making any modifica- tion 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 effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything pre- viously done under that rule.

STATEMENT OF OBJECTS AND REASONS

Since the beginning of 1972-73 sugar season, the Government of India have, as a matter of policy, been distiibuting levy sugar through fair price shops to the! consumers at a uniform price throughout the country, by pooling the ex-factory prices of levy sugar. The ex-factory prices are fixed by the Government under section 3(3C) of the Essential Com- modities Act, 1955. These) prices have been challenged by a number of producers from time to time and pending disposal of the writ petitions, the courts had made interim orders permitting the producers to charge higher prices subject, in most of the! cases, to the excess collection being kept in deposit or covered by suitable bank guarantees to the satisfaction of the Registrar of the court.

2. The validity of some of the Government orders fixing the' controlled price of levy sugar has been upheld in some cases, while a large number of cases are still pending. The Bill provides that thel monies represent- ing the difference between the controlled prices and the higher prices charged by the producers should, in the! first instance, be refunded to the consumers who had paid such higher prices. But where such consumers do not come forward to claim the refund within the time specified in the Bill, the monies representing the difference between the controlled prices and the higher prices charged by the producers would, by virtue of the principles of bona vacantia (that is to say, the principle under which property vests in the Stated where there is no apparent hightful claimant to the property), vest in the Central Government. The monies vested in the Central Government will be utilised for ensuring that the price of levy sugar throughout India is uniform so that the benefit of the money accruing to the Central Government may be derived by all the consumers.

NEW DELHI;

JAGJTVAN RAM.

The 12th January, 1976.

PRESIDENT'S RECOMMENDATION UNDER ARTICLE 117 OF THE CONSTITUTION OF INDIA

[Copy of letter No. 1-41/72-SPY, dated the 14th January, 1976 from Shri Jagjivan Ram, Minister of Agriculture and Irrigation to the Secre- tary-General, Lok Sabha.]

The President having been informed of the subject-matter of the proposed Bill recommends the introduction and consideration of the Bill under article 117(1) and article 117(3) respectively of the Constitution.

FINANCIAL MEMORANDUM

The Bill, if enacted, would necessitate the; employment of some staff to carry out the provisions of the Bill. The expenditure on the staff In the first year is not likely to exceed rupeds 5 lakhs. It may be possible to effect a reasonable reduction; in the expenditure on staff In the course of time, depending on the progress of the recovery of dxcess realisations from the producers of sugar.

2. Under sub-clause (1) of clause 6 of the Bill, the Central Govern-

ment is required to refund! to any buyer of levy sugar any amount which has been realised from him in excess of the controlled price or fair price, as the case may be, and credited to the Fund under clause 3. Since the refund will be made from the Fund, to which the excess realisations are credited, no expenditure from the Consolidated Fund of India is likely to be involved.

3. Sub-clause (3) of clause 6 provides that if thd amount in the Fund is not adequate for making any refund, such refund shall be made from the Central revenues.. It is not possible to estimate the amount, if any, which may have to be reifunded from the Central revenues; but the amount of such refund shall, in no case, exceed the amount realised by the Central Government from the producers ofi levy sugar and utilised for the purposes of the) Bill.

4. Clause 12 empowers the Central Government to dissolve the Fund, and on such dissolution, the monies standing to the credit of the Fund shall be credited to the Central revenues and subsequently the refund, if any, shall have to be made from the Central revenues.

MEMORANDUM REGARDING DELEGATED LEGISLATION

Clause 16 of the Bill empowers the Central Government to make rules for carrying out the provisions of the Bill. Such rules may be made with regard to the manner in which amounts are to be credited to the Fund constituted under clause 3, the form in which an application for refund may be made by a buyer from whom any excess realisation was made, the manner in which amounts standing to the credit of, the Fund shall be utilised by the Central Government, the form in which accounts and other relevant records are to be maintained and any other matter in re- lation to which any rule is required to be, ot may be, made.

The matters in relation to which such rules may be made are matters of detail and procedure and it is hardly possible to provide for them in the Bill itself. The delegation of the legislative power is, therefore, of a normal character.

BILL NO. 30 OF 1976

A Bill to authorise payment and appropriation 0/ certain further sums

from and out of the Consolidated Fund of the State of Nagaland for

the services of the financial year 1975-76.

BE it enacted by Parliament in the Twenty-seventh Year of the

Republic of India as follows: —

1. This Act may be called the Nagaland Appropriation Act, 1976.

2. From and out of the Consolidated Fund of the State of Nagaland there may be paid and applied sums not exceeding those specified in column 3 of the Schedule amounting in the aggregate to the sum of twelve Crores, fourteen lakhs and seventy-three thousand rupees towards defraying the several charges which will come in course of payment during the financial year 1975-76, in respect of the services specified In column 2 of the Schedule.

Short title. Issue of Rs. 12, 14,73,000 from and out of ths Consoli- dated Fund of the State of Naga- land for the finan- cial year 1978-76.

Appro- priation.

3. The sums authorised to be paid and applied from and out of the Consolidated Fund of the State of Nagaland by this Act shall be appro- priated for the services and, purposes expressed in the Schedule in relation to the said year.

THE SCHEDULE

( Set sections 2 and 3 j

2

I

3

Sums not exceeding

Services and purposes

No. of

Vote/

Appro-

pria-

tion

Voted by Charged on

Parliament the Consolida-

Total

ted Fund

Rs.

Rs.

Rs.

Head of State • . Revenue

a

8,87,000

3,87,000

6 Land revenue, stamps and

registration . . Revenue

35JOOO

35.000

Taxes on Vehicles . Revenue

51,000

. .

51.000

9

Servicing of debt . . Revenue

10

1,95,000

i,95>ooo

4,85,34,000

Capital

..

4,8j,34,ooo

13 Civil Secretariat . . Revenue

13,16,000

13,16,000

13 District administration special welfare scheme and Tribal Council . Revenue

6,79,000

6,79,000

15

Special expenditure on

maintenance of law and

order includlngcontribu-

tion for pensions and

gratuities . . Revenue

1,28,40,000

1,28,40,000

16 Village Guards . . Revenue

2,70,000

2,70,000

Civil Police and Fire Ser-

17

vice Unit . . . Revenue

1,53,15,000

1,52,15,000

Capital

8,00,000

8,oojOoo

Vigilance Commission . Revenue

80,000

80,000

Nagalsnd Houses . . Revenue

97,000

22

97,000

State Lotteries . . Revenue

2,65,000

2,65,000

24

Education . . . Revenue

36

1,00,86,000

1,00,86,000

Medlcal.Publlc Health

28

and Family Planning . Revenue

'5,53JOOO

i5,53.ooo

Social Welfare . . Revenue

13,48,000

513,48,000

34

Social Security, Welfare

36

..

and Community Services Revenue

35.95.000

J35.95.ooo

Co-operation . . Revenue

£2,37,000

t,37,ooo

38 1

Capital

$15,84,000

gi 5,84.000

Grain Supply Scheme . Capital

1,00,39,000

1,00,29,0003

44

^Industries . . . Revenue

10,45.000

10,45,000

47

••

STATEMENT OP OBJECTS AND REASONS

This Bill is introduced in pursuance of article 204(1) of the Constitu- tion of India read with article 205 thereof, and the Proclamation issued under article 356 of the Constitution in respect of th<* State of Nagaland on the 22nd March, 1975 to provide for the appropriation out of the Consolidated Fund of the State of Nagaland of the moneys required to meet the supplementary expenditure charged on the Consolidated Fund of the State of Nagaland and the grants made by the Lok Sabha for ex- penditure of the Government of Nagaland, for the financial year 1975-76.

SUSHILA ROHATGI,

PRESIDENT'S RECOMMENDATION UNDER ARTICLE 207 OF THE CONSTITUTION OF INDIA

[Copy of letter No. F.5(60)-B/75, dated the¹ 23rd January, 1976 from Shrimati Sushila Rohatgi, Deputy Minister in the Ministry of Fin- ance to the Secretary-General, Lok Sabha,!

BILL N O. 29 OF 1976

A Bill to authorise payment and appropriation of certain further sums

from and out of the Consolidated Fund of the Union territory of

Pondicherry for the services of the financial year 1975-76.

BE it enacted by Parliament in the Twenty-seventh Year of the

Republic of India as follows: —

1. This Act may be called the Pondicherry Appropriation Act, 1976.

Short title.

2. From and out of the Consolidated Fund of the Union territory of Pondicherry there may be paid and applied sums not exceeding those specified iri column 3 of the Schedule amounting in the aggregate to the sum of two crores, thirty-nine lakhs and ninety-seven thousand rupees towards defraying the several charges which will come in course of payment during the financial year 1975-76, in respect of the services specified in column 2 of the Schedule.

Iasue of Rs. 2, 39, 97,000 from and out of the Consoli- dated Fund of the Union territory of Pondi- cherry for the financial yeax 1970-76.

Appro- priation,

3. The sums authorised to be paid and applied from and out of the Consolidated Fund of the Union territory of Pondicherry by this Act shall be appropriated for the services and purposes expressed in the Schedule in relation to the said year.

THE SCHEDULE

(See sections 2 and 3)

2

3

I

1

Sums not exceeding

Services and purposes

Voted by

Parliament

No. of Vote

Total

Charged on the Consoli- dated Fund

Rs.

Rs.

Rs.

Administrator . . Revenue

60,000

2

60,000

1,59,000

Administration of Justice Revenue

i)59,oco

4

5,47,000

Revenue . . . Revcrue

5,47,000

6

99,000

Sales Tax . . . Revenue

99,000

7

31,000

Taxes on Vehicles . Revenue

31,000

S

1,66,000

Secretariat . . . Revenue

1,66,000

9

79,000

District Administration . Revenue

10

79,000

2,90,000

Capital

2,90,000

Treasury and Accounts

11

Administration . , Revenue

1,91,000

1,91,000

12,66,000

Police . . .. Revenue

12

12,66,000

1,33,000

Jails ' . . . . Revenue

1,33,000

13

Stationery and Printing , Revenue

1,14,000

1,14,000

14

Miscellaneous Adminis-

15

14.000

trative General Services. Revenue

14,000

Retirement Benefits . Revenue

[14,49,000

16

..

14,49^°°

4,61,000

Public Works . . Revenue

36,000

4,97,000

17

11,53,000

Capital

14,93,000

3,40,000

57,66,000

Education . . . Revenue

18

57,66,000

5 J O OO

5,000

Capital

66,33,000

Medical . . . Revenue

6",33.°oo 19

Information and Publicity Revenue

30

92,000

92,000

Labour and Employment Revenue

2,81,000

21

2,81,000

11,69,000

Social Welfare . . Revenue

33

3,000

11,72,000

Co-operation . . Revenue

88,000

88,000

23

3,7*iOOO

Capital

3,78,000

Agriculture , . . Revenue

25

3,77>ooo

3,77.000

Animal Husbandry] . Capital

1,40,000

2

1.40,000

••

2

t

3

Sums not exceeding

Tot"l

Services and purposes

IN 0. OX Vote

Voted by

Parliament

Charged on the Conso- lidated Fuad

Rs.

Rs.

Rs.

4,83,000

4,83,000

Community Development Revenue

28

59.OO0

Industiies . . . Capital

59.coo

29

88,000

88,000

Food and Nutrition . Revenue

30

4,92,000

9,ooo

4.83,000

Electricity . , . Revenue

3r

12,88,000

12,88,000

Capital

12,000

12,000

Ports and Pilotage . Revenue

32

50,000

Public Debt . . Revenue

S0,ooo

33

16,000

i6,ooo

Capital

••

TOTAL . ..

2,34J83,OOO

2J39,97,OOO

S,i4>ooo

STATEMENT OF OBJECTS AND REASONS

This Bill is introduced in pursuance* of sub-section (1) of section 29 of the Government of Union Territories Act, 1963, read with section 30 thereof, and the Presidential Order dated 23th March, 1974, issued in exercise of the powers conferred by section 51 of the said Act, to provide for the appropriation out oi the Consolidated Fund of the Union territory of Pondicherry of ihe monies required to meet the supplementary expen- diture charged on the Consolidated Fund of the Union territory of Pondicherry and the grants made by thel Lok Sabha for expenditure of the Union territory of Pondicherry for the financial year 1975-76.

SUSHILA ROHATGI.

PRESIDENT'S RECOMMENDATION UNDER THE GOVERNMENT OF UNION TERRITORIES ACT, 1963

[Copy of letter No. F5(56)-B/75, dated the 23rd January, 1976 from Shrimati Sushila Rohatgi, Deputy Minister in the Ministry of Fin- ance to the Secretary-General, Lok Sabha.]

The President, having been informed of the subject matter of the .

proposed Bill to authorise payment and appropriation of certain further sums from and out of the Consolidated Fund of the Union territory of Pondicherry for the services of the- financial year ending on the 31st day of March, 197G, recommends, under sub-sections (1) and (3) of sec- tion 23 of the Government of Union, Territories Act, 1963, read with section 30(2) thereof and the Orders issued under section 51 of the Act, the introduction of the Pondicherry Appropriation Bill, 1976 in Lok Sabha and also the consideration of the Bill.

2. The Bill will be introduced in Lok Sabha after the Supplemen- tary Demands for Giants for expenditure of the Union territory of Pondicherry for the year 1975-76 have been voted.

S. L. SHAKDHER,

Secretary-General.

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