Section 12 of The Inchek Tyres Limited and National Rubber Manufacturers Limited (Nationalisation) Act, 1984
- (1)Any person who has, on the appointed day, in his possession or under his control any assets, books, documents or other papers relating to the undertakings owned by either of the two companies, which have vested in the Central Government or in an existing, or a new, Government company under this Act, shall be liable to account for the said assets, books, documents and other papers to the Central Government or the existing, or new, Government company, as the case may be, and shall deliver them to the Central Government or the existing, or new, Government company or to such person or persons as the Central Government or the existing, or new, Government company may specify in this behalf.
- (2)The Central Government or the Government company aforesaid may take, or cause to be taken, all necessary steps for securing possession of the undertakings of the two companies which have vested in the Central Government or the Government company under this Act.
- (3)The two companies shall, within such period as the Central Government may allow in this behalf, furnish to that Government a complete inventory of all their properties and assets, as on the appointed day, pertaining to the undertakings which have vested in the Central Government under section 3, and, for this purpose, the Central Government or the Government company aforesaid shall afford to the two companies all reasonable facilities.
Summary
- These materials must be delivered to the Central Government, the existing Government company, the new Government company, or their designated representative.
- The Central Government or the Government company is authorized to take any necessary steps to secure possession of the vested undertakings.
- The Central Government or the Government company must provide all reasonable facilities to the two companies to assist them in preparing this inventory.
Practical examples
FAQ
1. To which entities must the assets and documents be delivered?
They must be delivered to the Central Government, the existing Government company, the new Government company, or any person specified by them.
2. What can the government do if someone refuses to return company property?
The Central Government or the Government company can take all necessary steps to secure physical possession of the vested undertakings.
Test yourself
Q1.Under Section 12 of The Inchek Tyres Limited and National Rubber Manufacturers Limited (Nationalisation) Act, 1984, which of the following is a person holding company books on February 14, 1984, legally required to do?
Q2.Under Section 12 of The Inchek Tyres Limited and National Rubber Manufacturers Limited (Nationalisation) Act, 1984, the duty of the two companies to provide a complete inventory of assets is linked to the vesting under Section 3. How do these provisions operate together?
Q3.Under Section 12 of The Inchek Tyres Limited and National Rubber Manufacturers Limited (Nationalisation) Act, 1984, who is responsible for deciding the timeframe within which the two companies must submit the complete inventory of their properties?
Q4.Under Section 12 of The Inchek Tyres Limited and National Rubber Manufacturers Limited (Nationalisation) Act, 1984, what support must the Central Government or the Government company provide to the two companies during the inventory preparation?
Q5.Under Section 12 of The Inchek Tyres Limited and National Rubber Manufacturers Limited (Nationalisation) Act, 1984, what happens if an asset was sold to an independent third party prior to the appointed day and is no longer part of the undertakings?
Q6.Under Section 12 of The Inchek Tyres Limited and National Rubber Manufacturers Limited (Nationalisation) Act, 1984, which entities are legally authorized to receive the assets, books, and documents from a person who has them in possession on the appointed day?