Section 3 of The Inchek Tyres Limited and National Rubber Manufacturers Limited (Nationalisation) Act, 1984
On the appointed day, the undertakings of each of the two companies, and the right, title and interest of each of the two companies in relation to its undertakings, shall, by virtue of the Act, stand transferred to, and shall vest in, the Central Government.
Summary
- All the undertakings (the business assets, properties, and operations) of both Inchek Tyres Limited and National Rubber Manufacturers Limited are transferred.
- Along with the physical undertakings, all right, title, and interest of the two companies in relation to those undertakings are transferred.
- This transfer and vesting happen automatically by force of the law itself, without needing separate deed transfers.
- The Central Government becomes the sole legal owner and holder of these undertakings.
Practical examples
FAQ
1. Who becomes the owner of the undertakings under Section 3?
The Central Government becomes the sole owner of all the undertakings, rights, titles, and interests.
2. Do the companies need to sign a contract to transfer these assets?
No. The transfer happens automatically by virtue of the Act on the appointed day, meaning the law itself completes the transfer.
Test yourself
Q1.Under Section 3 of The Inchek Tyres Limited and National Rubber Manufacturers Limited (Nationalisation) Act, 1984, what automatically happens to the undertakings of the two companies on the appointed day?
Q2.Under Section 3 of The Inchek Tyres Limited and National Rubber Manufacturers Limited (Nationalisation) Act, 1984, whose right, title and interest is transferred by the operation of this provision?
Q3.Under Section 3 of The Inchek Tyres Limited and National Rubber Manufacturers Limited (Nationalisation) Act, 1984, what legal document or registration is required to complete the transfer of undertakings to the Central Government?
Q4.Under Section 3 of The Inchek Tyres Limited and National Rubber Manufacturers Limited (Nationalisation) Act, 1984, what is the role of the appointed day defined in Section 2 in relation to the vesting of undertakings?