Dalmia Dadri Cement Limited (Acquisition and Transfer of Undertakings) Amendment Act, 20061
| [Act 3 of 2007] | [29th December, 2006] |
An Act to amend the Dalmia Dadri Cement Limited (Acquisition and Transfer of Undertakings) Act, 1981
Be it enacted by Parliament in the Fifty-seventh Year of the Republic of India as follows:-
1 Received the assent of the President on 29-12-2006 and published in the Gazette of India, Extraordinary, Part II, Section 1, dated 2-1-2007, pp. 1-2, No. 3.
Prefatory Note-Statement of Objects and Reasons.-The Dalmia Dadri Cement Limited (Acquisition and Transfer of Undertakings) Act, 1981 was enacted to provide for the acquisition and transfer of the undertakings of the Dalmia Dadri Cement Limited with a view to securing the proper management of such undertakings and matters connected therewith or incidental thereto and the Central Government transferred the undertakings of the Dalmia Dadri Cement Limited to the Cement Corporation of India vide notification of the Ministry of Industry (Department of Industrial Development) number S.O. 502(E), dated the 23rd June, 1981.
2. The Cement Corporation of India Limited (CCI), being a public sector enterprise under the administrative control of the Ministry of Heavy Industries and Public Enterprises (Department of Heavy Industry), has become a sick industrial company as defined under the Sick Industrial Companies (Special Provisions) Act, 1985 and a reference in respect of which has been made to the Board for Industrial and Financial Reconstruction (BIFR) during 1996. The BIFR had circulated a Draft Rehabilitation Scheme (DRS) for revival of the CCI. The DRS, inter alia, provide for closure and sale of assets of the seven non-operating plants and expansion or modernisation of the remaining three plants. The assets of one of the seven non-operating plants proposed to be closed, namely, the Charkhi Dadri Cement Plant in Haryana, were acquired under the provisions of the Dalmia Dadri Cement Limited (Acquisition and Transfer of Undertakings) Act, 1981.
3. In view of the judgment of the Hon'ble Supreme Court of India, in the Centre for Public Interest Litigation v. Union of India, (2003) 7 SCC 532
, it has been decided to suitably amend the Dalmia Dadri Cement Limited (Acquisition and Transfer of Undertakings) Act, 1981 so as to empower the CCI to close and dispose of the assets of the Charkhi Dadri Cement Plant.4. The Bill seeks to achieve the above objectives.
1. Short title.- This Act may be called the Dalmia Dadri Cement Limited (Acquisition and Transfer of Undertakings) Amendment Act, 2006.
2. Amendment of Section 9 of Act 31 of 1981.- In Section 9 of the Dalmia Dadri Cement Limited (Acquisition and Transfer of Undertakings) Act, 1981, for the words "do in relation to its undertakings", the words, letters, figures and brackets "do in relation to its undertakings, including the power to dispose of the assets of the undertakings of the Company vested upon it, by the notification of the Government of India, in the Ministry of Industry (Department of Industrial Development) number S.O. 502(E), dated the 23rd June, 1981, under sub-section (1) of Section 6, if such disposal of the assets is considered necessary by the Cement Corporation due to legal or financial considerations" shall be substituted.