1[Tamil Nadu] Warehouses Act, 1951*
| 1[Tamil Nadu Act No. 15 of 1951]2 | [26th June, 1951] |
An Act to provide for the regulation and licensing of warehouses in the 3[State of Tamil Nadu].
Whereas it is expedient to encourage the establishment of warehouses and provide for their proper supervision and control; It is hereby enacted as follows:-
1 These words were substituted for the word "Madras" by the Tamil Nadu Adaptation of Laws Order, 1969, as amended by the Tamil Nadu Adaptation of Laws (Second Amendment) Order, 1969.
2 For Statement of Objects and Reasons, see Fort. St. George Gazette, dated the 2nd November, 1948, Part IV-A, Pages 418-420.
This Act was extended to the Kanyakumari district and the Shencottah taluk of the Tirunelveli district by sections of, and the Schedule to, the Tamil Nadu (Transferred Territory) Extension of Laws Act, 1957 (Tamil Nadu Act XXII of 1957), repealing the corresponding law in force in that territory.
3 This expression was substituted for the expression "State of Madras" by the Tamil Nadu Adaptation of Laws Order, 1969, as amended by the Tamil Nadu Adaptation of Laws (Second Amendment) Order, 1969.
* Received the assent of the President on the 12th June, 1951; first published in the Fort St. George Gazette on the 26th June, 1951
Chapter-I - Preliminary
CHAPTER I
Preliminary.
1. Short title, extent and commencement.- (1) This Act may be called the 1[Tamil Nadu] Warehouses Act, 1951.
(2) It extends to the whole of the 3[State of Tamil Nadu].
(3) This section shall come into force at once; and the rest of this Act shall come into force on such date* appoint.
1 These words were substituted for the word "Madras" by the Tamil Nadu Adaptation of Laws Order, 1969, as amended by the Tamil Nadu Adaptation of Laws (Second Amendment) Order, 1969.
3 This expression was substituted for the expression "State of Madras" by the Tamil Nadu Adaptation of Laws Order, 1969, as amended by the Tamil Nadu Adaptation of Laws (Second Amendment) Order, 1969.
* Came Into force on the 1st May, 1953.
2. Definitions.- In tills Act, unless mere is anything repugnant in the subject or context-
(1) "co-operative society" means a society registered or deemed to be registered under the Madras Co-operative Societies Act, 1932;* (Madras ??? Act ??? 1932)
(2) "depositor" means a person who has deposited goods with a warehouseman, and includes any lawful holder of the receipt issued by the warehouseman in respect of the goods;
(3) "goods" means any of the articles specified in the Schedule to this Act;
Provided that the Government may, by rules made under this Act, add any article to, or omit any article from, the Schedule;
(4) "Government" means the State Government;
(5) "licensed warehouse" means a warehouse ??? under this Act;
(6) "notification" means a notification published in the Fort St. George Gazette;**
(7) "prescribed" means prescribed by rules made under this Act;
(8) "prescribed authority" means, in relation to any provision of this Act, the authority prescribed by rules made under this Act to carry out such provision;
(9) "receipt" means a receipt in the prescribed form issued by a warehouseman to a person depositing goods in the warehouse;
(10) "rules" means rules made by the Government Under this Act;
(11) "warehouse" means any building, structure or other roofed enclosure, which is or may be used for the purpose of storing any goods on behalf of depositors but does not include clock rooms attached to hotels, railway stations, the premises of other public carriers, and the like;
(12) "warehouseman" means a person who has obtained a licence under this Act in respect of his warehouse.
* Now the Tamil Nadu Co-operative Society Act, 1961 (Tamil Nadu Act 53 of 1961).
** Now the Tamil Nadu Government Gazette.
Chapter-II - Licensing of Warehouses
CHAPTER II
Licensing of Warehouses
3. Certain provisions of the Act to apply only to licensed warehouses.- Any person may, subject to the provisions of this Act, obtain a licence in respect of his warehouse; and the provisions of Chapters III, IV and V of this Act, except the Explanation to section 17, shall apply only to a licensed warehouse.
Explanation.- Where a person had more than out ware-house, whether in the same town or village not, he shall obtain a separate licence for each warehouse in respect of which he desires a licence under this Act.
4. Application for, and grant and renewal of licence.- (1) Every application for a licence under section 3 shall be made to the prescribed authority and shall be in the prescribed form.
(2) If the prescribed authority is satisfied-
(a) that the warehouse is suitable for the proper storage of the class or classes of goods in respect of which the licence has been applied for;
(b) that the applicant is competent to conduct such a wareshouse;
(c) that he fulfils any other condition notified by the Government in this behalf;
(d) that the applicant has paid to the fee prescribed for the licence and has also furnished the prescribed security, if any,
such authority may grant a licence to the applicant for the conduct of business in respect of his warehouse in accordance with the terms of the licence and the provisions of this Act and the rules.
(3) Every licence granted under this section shall be valid for the prescribed period and may, on application and payment of the prescribed fee, be renewed, from time to time, by the prescribed authority and for the prescribed period, provided the other conditions in sub-section (2) continue to be fulfilled.
(4) If the prescribed authority refuses to grant of renew a licence under this section, it shall record its reasons for such refusal in wilting and communicate a copy of its order to the applicant.
5. Suspension or cancellation of licences.- (1) The prescribed authority may suspend or cancel any licence granted or renewed under section 4-
(i) if the licensee has applied to be adjudicated or been adjudicated, an insolvent or
(ii) if he has parted, in whole os in part with his control over the warehouse, or
(iii) if he has ceased to conduct such warehouse, or
(iv) if he has made unreasonable charges for the services rendered by him, or
(v) if he has become incompetent to conduct such warehouse, or
(vi) if he has contravened, or failed to comply with, any of the terms of the licence or any of the provisions of this Act or the rules, or
(vii) on any other prescribed ground.
(2) Before passing an order under sub-section (1), the prescribed authority shall intimate to the licensee the grounds on which it is proposed to take action and give him a reasonable opportunity of showing cause against it.
(3) The prescribed authority may suspend the licence of ??? pending the passing of a final order in respect thereof under sub-section (1).
(4) A copy of every order passed under sub-section (1) or sub-section (3) shall be communicated to the licensee.
6. Return of licence.- On the expiry of his licence or on the receipt of an order suspending or cancelling it, the rights conferred, and the duties imposed, on a ??? by or under this Act, shall cease and determine and he shall return the licence to the prescribed authority:
Provided that the prescribed authority may, after such expiration, suspension or cancellation, give such reasonable time as it thinks fit to the warehouseman to enable him to wind up the business of conducting the warehouse as a licensed warehouse and during such time, the warehouse man shall be entitled to the rights and be bound by the duties aforesaid.
7. Duplicate.- If a licence granted to a warehouseman is lost, destroyed or damaged, the prescribed authority shall, on application and payment of the prescribed fee, issue a duplicate licence.
Chapter-III - Duties of a Warehouseman
CHAPTER III
Duties of a Warehouseman
8. Ware houseman to take reasonable cart of goods.- Every warehouseman shall take as much care of the goods deposited with him as a man of ordinary prudence would take of his own goods under similar circumstances and conditions.
9. Precautions against damage or injury to goods.- (1) Every warehouseman shall keep his warehouse clean and free from damp, take all necessary precautions against tats and other pests, and fulfil such other conditions as may be prescribed.
(2) No warehouseman shall accept goods for deposit which are likely to cause damage to other goods which are or may be deposited in the warehouse.
10. Preservation of identity of goods.- Every warehouseman shall keep the goods of one depositor separate from the goods of other depositors and from other goods of the same depositor for which a separate receipt has been issued, in such a manner as to permit at all times of the identification and delivery of the goods deposited:
Provided that where standardized and graded goods are deposited in a warehouse, then, subject to any agreement between the warehouseman and any depositor the same variety of goods belonging to different depositors may be mingled together and each depositor shall be entitled only to his portion of the goods according to weight or quantity, as the case may be, as shown in his receipt.
11. Goods deteriorating in warehouse and their disposal.- (1) Whenever goods deposited in a warehouse begin, or are about, to deteriorate from causes beyond the control of the warehouseman, he shall forthwith give notice of the fact by registered post to the depositor, requiring him to take delivery of the goods immediately, after surrendering the receipt duly discharged and paying all charges due to the warehouseman.
Explanation.- Losing weight or bulk by shrinkage or dryage or gaining weight or bulk by absorption of moisture shall be deemed to amount to deterioration within the meaning of this sub-section, if the loss or gain exceeds such limits, if any, as may be prescribed.
(2) If the depositor does not, within a reasonable time, comply with a notice given to him under sub-section (1) the warehouseman may cause the goods to be removed from the warehouse and sold by public auction at the cost and risk of the depositor.
1[(2-A) If the warehouseman, after reasonable effort, is unable to sell the goods by public auction, he may sell the goods in any other manner he may think fit at the cost and risk of the depositor. Where the goods are sold as aforesaid, the warehouseman shall be entitled to deduct from the proceeds of such sale the charges incurred in selling the goods and all other amounts due to him from the depositor on any account and shall account for the balance, if any, in the prescribed manner.
(2-B) If the warehouseman is unable to sell the goods under sub-section (2-A), he may dispose of them in any manner he may think fit and shall not be subject to any liability by reason of such disposal].
(3) Any person having an interest in any goods deposited in a warehouse or in the receipt for such goods may inform the warehouseman in writing of the fact and nature of his interest and the warehouseman shall keep a record thereof; and if such person requests in writing that intimation be given to him regarding the condition of the goods and agrees to pay the charges for giving such intimation, the warehouseman shall give him intimation accordingly.
1 These sub-sections were inserted by section 2 of the Tamil Warehouses (Amendment) Act, 1965 (Tamil Nadu Act 39 of 1965).
12. Delivery of goods.- (1) Every warehouseman, in the absense of reasonable excuse, shall without unnecessary delay, deliver the goods deposited in his warehouse to the depositor on demand made by him and surrender of the receipt duly discharged and payment of all charges due to the warehouseman.
(2) Subject to any agreement between the warehouseman and the depositor, the depositor may take partial delivery of the goods deposited in a warehouse.
(3) When goods are delivered wholly or in part under sub-section (1) or sub-section (2), or when they are disposed of under section 11, sub-section (2), the ??? Warehouseman shall be liable to pay compensation to the depositor or any loss sustained by him by reason of the goods having lost weight or bulk, in excess of the prescribed limits, owing to shrinkage or dryage, or by reason of deterioration in the quality of the goods owing to their having gained weight of bulk, in excess of the prescribed limits, by the absorption of moisture.
1[13. Insurance of goods in warehouses.- Every warehouseman shall, in the prescribed manner, insure against any prescribed event such classes of goods deposited in his warehouse as may be prescribed:
Provided that nothing in this section shall apply to any prescribed class of goods deposited in a warehouse belonging to a warehousing corporation, established under the Agricultural Produce (Development and Warehousing) Corporations Act, 1955 (Central Act 28 of 1956), if such warehousing Corporation has agreed, in the prescribed manner, to compensate the depositor of any prescribed class of goods against loss or damage arising from the prescribed events].
1 Thus section was Substituted for original section 13, by section 2 the Tamil Nadu Warehouses (Amendment) Act, 1961 (Tamil Nadu Act 50 of 1961).
14. Discrimination prohibited.- No warehouseman shall, in the conduct of his business, discriminate between persons desiring to avail themselves of the facilities of his warehouse:
Provided that the warehouseman shall show such preference to co-operative societies in, the State and allow them such concessional rates as the Government may from time to time direct.
15. Warehouseman not to deal in or lend against goods in warehouses.- Notwithstanding anything contained in any other law, no warehouseman other than a co-operative, society shall, either on his own account or that of others, deal in, or lend money on, goods received by him for deposit in his warehouse.
Chapter-IV - Warehouse Receipts
CHAPTER IV
Warehouse Receipts
16. Receipt to be issued.- For the goods deposited in his warehouse by be issued, each depositor, the warehouseman shall issue a receipt which shall contain full particulars of the goods and be in the prescribed form.
17. Receipts for deposits in warehouse.- (1) The receipt issued by a warehouseman shall, for deposits unless it is otherwise specified thereon, be transferable houses by endorsement and shall entitle the lawful holder thereof to receive the goods specified in it on the same terms and conditions as the original depositor.
Explanation.- The provisions of this sub-section shall not apply to any receipt issued by a person who has not obtained a licence under this Act in respect of his warehouse.
(2) Any receipt issued by a person who has not obtained a licence under this Act in respect of his warehouse shall expressly state (i) that he has not obtained a licence under this Act and pi) that the receipt is not transferable by endorsement.
18. Duplicate receipt.- If a receipt is lost, destroyed or damaged, the warehouseman shall, on application by the depositor and payment by him of the prescribed fee, issue a duplicate receipt op such conditions as he may think fit to impose, being Conditions included in rules prescribed for the purpose.
Chapter-V - Inspection and Grading of Goods
CHAPTER V
Inspection and Grading of Goods
19. Inspection.- The prescribed authority may, at any time during business hours, inspect or examine or cause to be inspected or examined, any licensed warehouse, its machinery and equipment, goods deposited therein, and the account books and records relating thereto, for the purpose of satisfying Itself that the requirements of this Act and the rates are being complied with.
20. Weighers, samplers and graders, to obtain licences.- (1) The prescribed authority may, on application made in the prescribed manner and on payment of the presented fee, issue licences to persons possessing the prescribed qualifications, entitling them to act as weighers, samplers, and graders of any goods deposited or to be deposited in a licensed warehouse, and to issue certificates as to the weight, bulk, quality or grade of the goods which they have examined.
(2) Any certificate so issued shall, subject to the provisions of section 23, be binding on the warehouseman and the depositor as to the weight, bulk, quality or grade of the goods so certified.
(3) No person who is not licensed under this section shall act, or hold himself out, as a weigher, sampler or grader.
21. Provisions regarding such licences.- (1) Every licence granted to a weigher, sampler, or grader under section 20 shall be valid for the prescribed period and may, on application and pay rent of the prescribed fee, be renewed from time to time for the prescribed period by the prescribed authority.
(2) The prescribed authority may suspend or cancel any such licence, after communicating to the licensee the grounds on which it is proposed to take action and giving him a reasonable opportunity of showing cause against it.
(3) The holder of any such licence shall, on the expiry thereof or the receipt of an order suspending or cancelling it, return the licence to the prescribed authority.
22. Facilities to be given for weighing goods, etc.- Every warehouseman shall provide facilities for weighing, sampling and grading any goods deposited in his warehouse.
Chapter-VI - Decision of Appeals, Disputes and Complaints
CHAPTER VI
Decision of Appeals, Disputes and Complaints
23. Decision of appeals, disputes and complaints.- The Government or the prescribed authority shall appoint a Board or Boards of Arbitrators for deciding-
(a) appeals against any order refusing to grant or renew a licence in respect of a warehouse or to a weigher sampler, or grader, or suspending or cancelling any such licence;
(b) disputes arising between a warehouseman and a depositor regarding any matter, including the weight, bulk, quality or grade of the goods deposited or the compensation payable under section 12, sub-section (3);
(c) complaints made by a warehouseman or depositor against any weigher, sampler or grader; or by a weigher, sampler or grader against any warehouseman or depositor;
(d) any appeals, disputes and complaints in such other matters as may be prescribed.
Explanation.- In this section, "depositor" includes a person who has tendered goods to a warehouseman, for deposit in his warehouse.
Chapter-VII - Miscellaneous
CHAPTER VII
Miscellaneous
24. No compensation for suspension or cancellation of licence.- Where any licence is suspended or cancelled under this Act, the licensee shall not be entitled to any compensation therefor, nor shall he be entitled to the refund of any fee paid by him for the licence.
25. Contracts and agreements inconsistent with Act to be void.- Every contract or agreement which is inconsistent with the provisions of this Act, or the rules, shall, to the extent of such inconsistency, be void.
26. Penalty and procedure.- (1) Whoever-
(a) acts, or holds himself out, as a licensed warehouseman without having obtained a licence under this Act, or
(b) knowingly, contravenes or fails to comply with any of the provisions or requirements of this Act or the rules,
shall be punishable with imprisonment for a term which may extend to one year or with fine or with both.
(2) Where a person committing an offence under subjection (1) is a company or an association or a body of persons, whether incorporated or not, the manager, secretary, agent or other principal officer, managing the affairs of such company, association or body, shall be deemed to be guilty of such offence.
27. Make rules.- (1) The Government may, 1[* * *], make Rules, rules to catty out the purposes of this Act.
(2) In particular and without prejudice to the generality of the foregoing power, such rules may add any article to, or omit any article from, the schedule, or provide for-
(a) all matters expressly required or allowed by this Act to be prescribed;
(b) the conditions to be inserted in licences to be granted to warehousemen and the form of such licences;
(c) the publication of the grant, suspension or cancellation of licences to warehousemen and of consolidated lists of warehousemen and licensed warehouses;
(d) the charges to be levied by warehousemen for their services;
(e) the books, accounts and records to be maintained by warehousemen;
(f) the conduct of public auctions for the sale of goods deteriorating or about to deteriorate in licensed warehouses and the manner in which the proceeds of such sales shall be accounted for;
(g) the scales of losses and gains of weight or bulk which may be sustained by goods owing to shrinkage, or dryage in the one case and owing to absorption of moisture in the other;
(h) the disinfection of licensed warehouses and the disinfection of goods stored therein;
(i) the circumstances in which any security ??? bond furnished by a warehouseman may be forfeited, and the manner in which any sum falling due as a result of such forfeiture may be recovered;
(j) the efficient conduct generally of the business of warehousemen;
(k) the qualifications to be possessed by persons applying for the grant of licences as weighers, samplers, or graders the conditions to be inserted in their licences; the form of the certificates to be issued by them and the grounds for which the licences may be suspended or cancelled;
(l) the standard weights measures and gradation of goods to be used in licensed warehouses;
(m) the procedure to be followed in proceedings before Boards of Arbitrators, and the mode of executing their decisions;
(n) the manner of giving notices under this Act.
1[(3)(a) All rules made under this Act shall be published in the *Fort St. George Gazette and, unless they are expressed to come into force on a particular day, shall come into force on the day on which they are so published.
(b) All notifications issued under this Act shall, unless they are expressed to come into force on a particular day, come into force on the day on which they are published.
(4) Every rule made or notification issued under this Act, shall, as soon as possible after it is made or issued, be placed on the table of both Houses of the Legislature and if before the expiry of the session in which it is so placed or the next session, both Houses agree in making any modification in any such rule or notification or both Houses agree that the rule or notification should not be made or issued, the rule or notification shall thereafter have effect only in such modified form or be of no effect, as the case may be, so however, that any such modification or annulment shall be without prejudice to the validity of anything previously under that rub or notification].
1 The words "by notification" were omitted by section 3(i) of the Tamil Nadu Warehouses (Amendment) Act, 1961 (Tamil Nadu Act 50 of 1961).
1 These sub-sections were substituted for sub-section (3) by section 3(1) of the Tamil Nadu Warehouses (Amendment) Act, 1961 (Tamil Nadu Act 50 of 1961).
* Now the Tamil Nadu Government Gazette.
Schedule
THE SCHEDULE.
[See section 2(3)]
Goods to which the Act applies
1[1. (a) Paddy and rice;
(b) Wheat;
(c) Cholam, cumbu and ???
(d) Bengalgram, redgram and blackgram and flour of these grams;
(e) Other food grains;
(f) Flour of all food-grains].
2. (a) Oil seeds, including groundnut, gingelly, castor and copra;
(b) Coconuts.
3. Fibres including cotton kapas or lint, palm fibres, sunnhemp and Bombay hemp.
4. Senna and tea.
5. Arecanuts.
6. (a) Jaggery (sugarcane and palmyra);
(b) Sugar.
7. Spices and condiments including pepper, cardamoms, ginger, ??? turmeric, coriander, onions, garlic and ???.
8. Potatoes.
2[9. Sago.
10. Mustard seeds.
11. Groundnut oil cake.
12. Cashewnuts.
13. Neem seeds.
14. Cotton seeds.
15. Tapioca flour.
16. Tapioca starch].
1[17. Gingelly oil cakes,
18. Castor oil cakes.
19. Copra oil cakes.
20. Neem oil cakes]
2[21. Sombu.
22. Venthayam.
23. Pungam oil cakes.
24. Pinnai oil cakes.
25. Illuppai ???.
26. Cummin seed].
3[27. Ammonium sulphate.
28. Super phosphate.
29. Urea.
30. Nitrate of potash.
31. Bone meal.
32. Rock phosphates.
33. Ammonium phosphates.
34. Calcium Ammonium nitrate.
35. Manure mixtures].
4[35-A. Other chemical fertilisers].
1[36. Coffee seeds;]
2[37. Green manure seeds;
(a) Sunnhemp;
(b) Daincha;
(c) Phillipesure;
(d) Indigo.
38. Cashewnut kernels.
39. Chicory-root.
40. Chicory powder.
41. Soapnut seeds].
3[42. Tamarind seeds].
4[43. Iron and steel (Metal).
44. Iron and steel (Structural).
45. Portland cement.
46. Textiles:
(a) Course and fine cloth bale or case.
(b) Super-fine cloth bale or case.
47. Paper.
48. Leather.
49. Groundnut oil.
50. Mustard oil.
51. Agmark sealed ghee.
52. Gunny (bag) bales (fully processed).
5[52-A. Unpressed empty gunny (bag) bales].
53. Suji.
54. Dhalls].
1[55. Poppy seeds (Khasa Khasa)].
2[56. Tobacco].
3[57. Neem oil.
58. Castor oil.
59. Gingellyoil.
60. Coconut oil.
61. Other vegetable oils].
4[62. BHC and Lindane].
5[63. Washing soda.
64. Soda ash].
6[65. Cotton yarn bales of 80 counts and above.
66. Cotton yarn bales of 60 counts (i.e. more than 40 counts but less than 50 counts).
67. Cotton yam bales of 40 counts and below].
7[68. Zinc sulphate.
69. Aluminium sulphate.
70. Copper sulphate.
71. Ferrous sulphate].
1[72. Rubber Oil Cake].
2[73. Salt Petre (Potasium Nitrate).
74.(a) Wattle Bark.
(b) Wattle Extract.
75. Sun Flower seeds].
3[76. Fish Meal.
77. Rice Bran and other Bran.
78. Tapioca chips.
79. Tapioca kippi.
80. Empty container metal.
81. Chemicals, other chemicals and pesticides (packed in or polythene containers)
82. Miscellaneous: Cement.
83. Cumbu hybrid variety for seed purposes].
4[84. Processed fruit carton products.
85. Skimmed Milk powder.
86. Bulgar Wheat (Soy Fortified Bulgar Wheat) and Sorghum (Soy Fortified Sorghum Grits)
87. Butter oil (Ghee).
88. Blended food product of Corn, Soyabean and Milk].
1 This item was substituted for original item 1 by G.O.Ms. No. 1744, ILC (Co-operation), dated 29th March, 1965.
2 Items 9 to 16 were added in G.O.Ms. No. 4867, LLC (Cooperation), dated 22nd October, 1960.
1 These items were added in G.O.Ms. No. 3416, ILC. (Co-op.), dated 28th April, 1961.
2 These items were added in G.O.Ms. No. 706, ILC, dated 4th February, 1963.
3 These items were added in G.O.Ms. No. 4030, ILC. (Co-op.), dated 14th August, 1963.
4 This item was inserted in G.O.Ms. No. 404, Food, dated the 25th April, 1969.
1 This item was added in G.O.Ms. No. 4808, ILC, (Co-op)., dated the 4th October, 1963.
2 These items were added in G.O.Ms. No. 18, ILC, dated the 3rd January, 1964.
3 This item was added in G.O.Ms. No. 3722, ILC (Co-op) dated the 24th July, 1964.
4 These items were added in G.O.Ms. No. 1360, ILC, dated the 10th March, 1965.
5 This item was inserted in G.O.Ms. No. 404, Food, dated the 25th April, 1969.
1 This item was added in G.O.Ms. No. 3041, I.L.C., dated the 16th June, 1965.
2 This item was added in G.O.Ms. No. 1084, Food, dated the 10th October, 1967.
3 These items were added in G.O.Ms. No. 1073, Food, dated the 22nd November, 1969.
4 This item was added in G.O.Ms. No. 795, Food, dated the 13th July, 1970.
5 These items were added in G.O.Ms. No. 794, Food, dated the 13th July, 1970.
6 These items were added in G.O.Ms. No. 267, Food, dated the 3rd July, 1972.
7 These items were added in G.O.Ms. No. 375, Food, dated the 3rd October, 1972.
1 This item was added in G.O.Ms. No. 34, Food, dated the 31st January, 1973.
2 These items were added in G.O.Ms. No. 217, Food, dated the 6th August, 1973.
3 These items were added in G.O.Ms. No. 132, Food dated the 25th June, 1977.
4 These items were added in G.O.Ms. No. 206, Food, dated the 4th August, 1979.