Section 14 of The Airports Economic Regulatory Authority of India Act, 2008
- (1)Where the Authority considers it expedient so to do, it may by order in writing--
- (a)call upon any service provider at any time to furnish in writing such information or explanation relating to its functions as the Authority may require to access the performance of the service provider; or
- (b)appoint one or more persons to make an inquiry in relation to the affairs of any service provider; and
- (c)direct any of its officers or employees to inspect the books of account or other documents of any service provider.
- (2)Where any inquiry in relation to the affairs of a service provider has been undertaken under subsection (1)--
- (a)every office of the Government department, if such service provider is a department of the Government; or
- (b)every director, manager, secretary or other officer, if such service provider is a company; or
- (c)every partner, manager, secretary or other officer, if such service provider is a firm; or
- (d)every other person or body of persons who has had dealings in the course of business with any of the persons mentioned in clauses (b) or (c), shall be bound to produce before the Authority making the inquiry, all such books of account or other documents in his custody or power relating to, or having a bearing on the subject-matter of such inquiry and also to furnish to the Authority with any such statement or information relating thereto, as the case may be, required of him, within such time as may be specified.
- (3)Every service provider shall maintain such books of account or other documents as may be prescribed.
- (4)The Authority shall have the power to issue such directions to monitor the performance of the service providers as it may consider necessary for proper functioning by service providers.
Summary
- The Authority can order any service provider in writing to provide information or explanations to help assess their performance.
- The Authority can appoint people to conduct an official inquiry into the business affairs of any service provider.
- During an inquiry, all related individuals (like company directors, partners, or people who had business dealings with them) are legally required to hand over relevant accounting books and documents.
- The Authority can send its own officers or employees to directly inspect the accounting books or documents of a service provider.
- The Authority has the power to issue directions to service providers to monitor their performance and ensure they function properly.
Practical examples
FAQ
1. Can the Authority look at a private airport company's internal accounting books?
Yes, the Authority can direct any of its officers or employees to inspect the books of account or other documents of any service provider.
2. Who has to cooperate if the Authority launches an inquiry into a service provider?
If the service provider is a company or firm, every director, manager, partner, secretary, or other officer, as well as anyone who had business dealings with them, must produce relevant documents and furnish required information.
3. Do service providers have to keep specific records?
Yes, every service provider is legally required to maintain such books of account or other documents as may be prescribed by the rules.
Test yourself
Q1.Under Section 14 of The Airports Economic Regulatory Authority of India Act, 2008, what format must the Authority use to call upon a service provider to furnish information?
Q2.Under Section 14 of The Airports Economic Regulatory Authority of India Act, 2008, if an inquiry is launched into a service provider that is a firm, who among the following is explicitly bound to produce relevant documents?
Q3.Under Section 14 of The Airports Economic Regulatory Authority of India Act, 2008, which of the following is a power granted to the Authority to actively check a service provider's records without relying on the provider to send them?
Q4.Under Sections 13 and 14 of The Airports Economic Regulatory Authority of India Act, 2008, how does the Authority's power in Section 14 support its mandate in Section 13 regarding performance?