Section 13 of The Airports Authority of India Act, 1994
- (1)On and from the appointed day, there shall be transferred to, and vest in, the Authority constituted under section 3, the undertakings of the International Airports Authority and the National Airports Authority.
- (2)The undertaking of the International Airports Authority or the National Airports Authority which is transferred to, and which vests in, the Authority under sub-section (1) shall be deemed to include all assets, rights, powers, authorities and privileges and all property movable and immovable, real or personal, corporeal or incorporeal, present or contingent, of whatever nature and wheresoever situate, including lands, buildings, machinery, equipments, works, workshops, cash balances, capital, reserves, reserve funds, investments, tenancies, leases and book debts and all other rights and interests arising out of such property as were immediately before the appointed day in the ownership, possession or power of the International Airports Authority, or as the case may be, the National Airports Authority, in relation to its undertaking, whether within or outside India, all books of account and documents relating thereto and shall also be deemed to include all borrowings, liabilities and obligations of whatever kind then subsisting of the International Airports Authority, or as the case may be, the National Airports Authority in relation to its undertaking.
Summary
- On a specific appointed day, all assets and properties of two older bodies (the International Airports Authority and the National Airports Authority) automatically transfer to the new Airports Authority of India.
- This transfer includes all lands, buildings, machinery, cash, and investments belonging to the old authorities, both inside and outside of India.
- The transfer also forces the new Authority to take on all the debts, borrowings, and liabilities of the old authorities.
Practical examples
FAQ
1. Did the old authorities keep any secret funds or overseas assets?
No, all property, including cash balances and assets whether within or outside India, transferred to the new Authority.
2. Does the new Authority only get the good assets?
No, it also inherits all borrowings, liabilities, and obligations of the old authorities.
3. When did this transfer happen?
It happened on the "appointed day", which is a specific date chosen and notified by the Central Government.
Test yourself
Q1.Under Section 13 of The Airports Authority of India Act, 1994, which entity legally absorbs the undertakings of the International Airports Authority and the National Airports Authority?
Q2.Under Section 13 of The Airports Authority of India Act, 1994, what happens to an asset owned by the International Airports Authority that is located outside of India?
Q3.Under Section 13 of The Airports Authority of India Act, 1994, what happens to the debts and borrowings of the National Airports Authority?
Q4.Under Section 13 of The Airports Authority of India Act, 1994, which of the following is explicitly listed as something that transfers to the new Authority?