Section 6 of The National Dairy Development Board Act, 1987
On and from the appointed day,--
- (a)all properties and assets, movable and immovable, of, or belonging to, the society and the Indian Dairy Corporation (hereinafter referred to as the dissolved company) shall vest in the National Dairy Development Board;
- (b)all the rights, debts, liabilities, interests, privileges and obligations of the society and the Indian Dairy Corporation shall stand transferred to, and be the rights, liabilities, interests, privileges and obligations of, the National Dairy Development Board;
- (c)without prejudice to the provisions of clause (b), all debts, liabilities and obligations incurred, all contracts entered into and all matters and things engaged to be done by, with or for, the society or the dissolved company, immediately before the appointed day for or in connection with their purposes, shall be deemed to have been incurred, entered into, or engaged to be done by, with or for, the National Dairy Development Board;
- (d)all sums of money due to the society and the dissolved company, immediately before the appointed day, shall be deemed to be due to the Board;
- (e)every subsidiary or the society and the dissolved company shall become the subsidiary of the National Dairy Development Board;
- (f)every organisation, which was being managed immediately before the appointed day by the society or, as the case may be, by the dissolved company, shall be managed by the National Dairy Development Board for such period to such extent and in such manner as the circumstances may require;
- (g)every organisation which was getting financial, managerial or technical assistance from the society or the dissolved company, immediately before the appointed day, may continue to be given financial, managerial or technical assistance, as the case may be, by the National Dairy Development Board, for such period, to such extent and in such manner as the National Dairy Development Board may deem fit;
- (h)the amount representing the capital of the dissolved company shall form part of the funds of the National Dairy Development Board;
- (i)any reference to the society or, as the case may be, to the dissolved company, in any law other than this Act or in any contract or other instrument, shall be deemed to be reference to the National Dairy Development Board.
Summary
- Section 6 of the National Dairy Development Board Act, 1987 automatically shifts all properties, assets, debts, and liabilities of the former society and the Indian Dairy Corporation to the Board.
- It ensures that all existing contracts, engagements, and legal obligations made by the previous entities remain valid and become the responsibility of the Board.
- Any subsidiary organizations of the dissolved entities automatically become subsidiaries of the new Board.
- Financial, managerial, or technical assistance that the older entities were providing to other organizations can be continued by the Board as it sees fit.
- The monetary capital of the dissolved company officially becomes part of the funds of the new Board.
Practical examples
FAQ
1. Under Section 6 of the National Dairy Development Board Act, 1987, who pays the debts of the dissolved Indian Dairy Corporation?
Under Section 6 of the National Dairy Development Board Act, 1987, all debts and liabilities of the dissolved corporation are legally transferred to the new Board.
2. What happens to existing contracts under Section 6 of the 1987 Dairy Act?
Section 6 of the 1987 Dairy Act mandates that all contracts entered into by the old society or the dissolved company are deemed to have been entered into by the new Board.
3. Does Section 6 of the Dairy Board law affect subsidiary companies?
Yes, Section 6 of the Dairy Board law states that every subsidiary of the old society and the dissolved company becomes a subsidiary of the new Board.
4. According to Section 6 of the 1987 Dairy law, what happens to the capital of the dissolved company?
Under Section 6 of the 1987 Dairy law, the amount representing the capital of the dissolved company officially forms part of the new Board's funds.
Test yourself
Q1.Under Section 6 of the National Dairy Development Board Act, 1987, what happens to money that was owed to the dissolved Indian Dairy Corporation?
Q2.How does Section 6 of the 1987 Dairy Act handle organisations that were receiving technical assistance from the previous society?
Q3.According to Section 6 of the National Dairy Board law, if another legal document mentions the dissolved Indian Dairy Corporation, how is that reference treated?
Q4.Following the dissolution of the Indian Dairy Corporation mandated in Section 5 of the 1987 Dairy Act, what does Section 6 state about the capital of that dissolved company?