Kerala act 034 of 1987 : The Kerala Coir Workers Welfare Fund Act,1987 (Act 34 of 1987)

THE KERALA COIR WORKERS' WELFARE FUND ACT.

1987

CONTENTS

Preamble Sections

1 Short

title,

extent and

commencement.

2 Definitions.

3 Coir Workers' Welfare Fund Scheme. 4-. Contribution ^tothe fund.

5. Modification

of

scheme. 6 . Constitution of Board.

7 ^Termofoffice of Directors.

8 Removal of non-official

Directors.

9

Appointment

of officers and stafl' l0 . Power of

the Board ^toborrow. ll Determination

ofamount due.

12. Provisional assessment and collection

of

contribution l3. Mode of recovery Iof money due from coir

workers,

self-employed. persons, employers,

dealers and

producers

ofcoir

products. M-

Priority

of

payment

ofcontribution ^over

other debts

[5

Employer

not ^toreduce wages ^etc.

16.

Directors of Board etc., ^tobe

public

servants

17.

Penalty.

18 Ofi'cnces

by

Companies. 19'

Power^toPCCUVCF

damages. c Protection for acts done m

good

faith.

21 Diiccuous

by

Government.

22

Power^to

order

inquiry.

23.

Power^to

supersede ^theBoard.

24. Audit

of accounts of

the

Board and remuneration of auditors.

25 Annual report

and audited statement of accounts.

26 Bar of

Jurisdiction

of civil courts.

27.

Special profisrons ^for

transfer of accumulation

from welfare funds atabhshed

by any

Acts

or

agreement.

23 Removal

of difficulties.

29.

Power^{to make}

rules. The

Schedule

(L

ACT ^34OF

1987

THE KERALA

COIR WORKERS'

WELFARE

FUND

ACT,

1987

An ^Actto

provtdcfor

the

convolution

y-a fund ^to

grant relief

to, ^to

promote

2hr

welfare of, ^andto

paypenszon ^torowworkers

and-self

employed persons ^:72mar

industry in ^the

State

of

Koala. Preamble—WHEREAS ^itis

expedient ^to

provide ^fortheconstitution^ofa fund ^to

grant relief to, ^to

promote ^thewelfare

of, ^{and to}

pay pension ^tocoxr workers and self

employed persons

in coir

industry

to the State of Kerala and for

certain

other matters

incidental

thereto; ~

BE

it enacted in the

Thirty-eighth

Year

of

the

Republic

of India as follows:—

1. Short

title,

extent and

commemmunt.—(l)

This Act may

be called the Kcrala Coir Workers' Welfare ^Fund

Act,

1987.

(2) ^Itextends^tothe

whole^ofthe

State^ofKerala.

(3) ^This

section

shall ^comeintoforce ^at

once,^andthe

remaining provisions ^ofthisActshall^comeinto

force^{onsuchdate as the}Government may,

by

notification in the

Gazette,

appoint;

and dJfi'erent dates may be

appointed

for

different

provisxons

of^thisAct Provided ^thatthe

provisions relating ^to

payment ^of

pension

shall be deemed^tohave^comeinto

force^{on thelst}

day ^of

April,

1987.

2.

Dyimtions.—In

this

Act,

unless the context otherwise

requires,— (a)

"Board" means^the

Kerala^CoirWorkers' Welfare^FundBoard constituted

under section

6; (b)

"Chief Executive

Officer" means^theChief

Executive Officer appointed

under sub-section ^{(1) of}section ^9; (c)

"coxr

products"

means ^{mats and}

mattings, rugs^and

carpets, ropes and

other articles

manufactured

wholly ^or

partly

from^coir

and ^coir yam;

(d)

"coir worker" means

any person^whois

employed ^forwages to do any workⁱⁿconnection with the various

processes in

coir

industry

and who

gets

[us

wages directly ^or

indirectly

from the

employer,

dealer or producer ^of-coxr

products ^andincludes^anyperson employed^{by or} through ^acontractor ^or

through ^an

agent^and

depends

mainly ^oncoir industry ^{for his}

livelihood, ^andincludes^anyother person

employed in ^cmr

industry,

whom the

Government may by

notificationⁱⁿ

the Gazette from^timetotimedeclare bobeacoir worker^forthepurposes ^ot this

Act;

-

2

Explannlum ^——Ifany question

anses ^asto

whetheraperson ^isorisnota _coir

worker ^f01the

p111pose^{ofthis Act, the}matter shall ^be

referred^tothe Government ^ors1Il1

ollicms^as

may^beauthImsetl

by

the Government¹ⁿthls behalf

wh1ch ^{or w}

1.), ^ast'I1C1'ase may be, ^shtll1nconsultation ^Withthecon- cerned

Prop-ct

Level

-'1(lv1sn:y

Comuuttce ^oftrade muons ¹¹¹coir

1ndustry,

,

constituted ^{f 1. such con}

prolect

mm, for ^thepurpose,^{take a}

dec15ion,

wluch shall be final.

(e) ^.

"cont1ibutinu' under section

4-; '

means the ^sumof money payable

to

the fund |

(f)

"dealer"

means^any

pc'sna ^whois

engaged ^inthebusiness^of purchase

sale, ^or

storage ^fin ~

.lc,

of husks

or

fibre

or cotr

yarn

or

any coir products ^ora

person^whoretshusks^and

includes^an

agent ^{of a}dealer ^{but does} not include^acultivator who

sells, ^orstores

for

sale, ^rawhusks

owned

by

him;

"Director of Coir

Development"

means the Director of

Coir Development ^forthe

State ^of

Kerala;

(h) "emp loyet"

means ^anyperson^who

d1rectly employs,

whether on behalf

of lumself^orfor any other person, ^one01mo1ecoir workers to do any Work in conneI_^t10nw1th

1ett1ng ^raw

husks,

takmg

out and counting

1etted

l1usks,beat1ng

retted

husk,

cleanmg

fibre, spmnmg ^yam, dyeing, z'Idrytng ^or

bundhng ^{ofcoiryarnand}

fibre,

rehanking, weaving mats ahd mattlugs,

producmg

rugs ⁰¹other^co1r

products,

(i) "famlly"

means^the

husband, ^{w1fe and}the1r

children; (j)

"fibre" means^c01r

fibre extracted^fromcoconut

husk; (k)

"fund" means^theCoir

Workers'

Welfare^Fundestablished under section^3and

the

scheme; '

(l)

"husk"

means coconut

husk, green, dry ^or

retted; (m)

"member" means ^amember ^{of the}

fund;

(11)

"person"

includes^a

Company, ^a

firm, ^an

association ^of 111d1v1duals ora

Co-operauve

Soc1ety

reg1stered ^ordeemed ^to

be

registered under

the Kerala

Co-oper.1tive

Soc1et1es

Act,

1969

(2l

of

1969),

(u) prescribed"

means

prescribed by

rules^made

under ^this

Act;

(p) "p1ocesses ^1.1coir

industry"

means

rettmg ^raw

husks,

taking out and Co. 1

mm;r

retted

husk,

beating'

retted

husk,

cleaning

fibre,

spinning am, ClVC' 131, drying,

bundling

coir yarn and

fibres,

rehankmg,

weaving mat.

and n1 unag's, rugs and

carpets, ^or

makmg

other cotr

products,

shearing 1Ilalhed proces ¹ⁿ

hmshmg

coir

products

and includes

packing, ((1) "producer ^ofmu

products"

means^a

person ^whocarries^on the busmtss^ofprocessmg

con

and

coir

products

for

export

or

for

internal mmketing ^butdoes1otincludeacoir

co—opcrattve soc1ety

registered ^or deemed ^tobe

registered

under the Ker^1h

(lo-operative

Soc1et1es

Act,

1969

(?l ^oi

1969); (r)

"Sched^1k"means^theschedule^{to th1s}

Act,

A

.7,

4' '5.

3

(s)

"scheme" means ^ascheme

framed

under^{this Act.} (t)

"self—employed person"

means ^a

person other^{than a u r} workei, ^whois

engaged ^inthe

extraction^{of coir}

fibie,

spinning^yarnand manufacture of

coir

pioclucts

for other

persons ^and

depends

mainly ^on con

industry

{br his

livelihood, (u)

"yarn"

means^thecoiryarnobtained

by ^the

spinning ^of

fibre;

(v) "year"

means^thefinancial year.

3. ^CoirWorkm'

Welfare ^Fund

Schema—(l) ^TheGovernment may, by notification ⁱⁿthe

Gazette,

frame ^ascheme^tobe called the Kerala Con Workers' Welfare Fund Scheme

for^the

establishment ^ofafund under^this Act for the welfare of ^the

coir workers

and

self-employed persons ^{in the} coir

industry

and there shall be

established, ^assoonas

may be after the

framing

of the

scheme, ^afund in accordance With the

provisions

of this

Act

and the scheme. °

.

(2)

There

shall ^becredited^tothe

fund,—— '

(a) ^thecontributions

specified ⁱⁿ

section ^4;

(b) ^the.amount borrowed ^{by the}Board under section ^10,

(e) damages

realised

under section^19;

(d) grants ^orloans^oradvances^{made by the}Government ^of India or the State Government^ortheCoir Board ^or

any institutions; (e)

'

any donations from

whatever source;

(f) ^any

amount raised ^{by the}Board^fromother sources^to augment ^theresources^ofthe

Board;

(g) ^feelevied under^the

scheme;

(h) any other amount

which,

under^the

provisions ^ofthe scheme,

shall^becredited^tothefund.'

(3) ^Thefundshall^{vest in, andbe}administered ^{by the}

Board constituted

under section

6; '

(4) ^Thefundmay^beutilised^{forall or anyofthe}

followm':

purposes, namely:—

(a) ^for

paymentofpension,— '

(1) ^toamember ^whois

unable ^toWorkdueto

oldage ^or mfirtmty ^{or who has}

completed ^{theage of}

sixty years;^and

(ii) ^toa

person ^who

before ^thecommencement^{ofthisActwasa} cotr

worker

or a self

employed person and

completed

the

age of

sixty years ^orwho suffers from

permanent

disablement ^andisof^outof

employ- ment; (1)) ^for

payment ^of

family pension ^tothespouse^ofadeceased member;

(c) ^for

-payment ^of

financial

assistance^toamember^whosuffers from

permanent

or

temporary disablement;

4

(d) ^for

payment ^of

loans ^or

grants ^toamember^{to meetthe}

day to

day expenses during

ofi' season^{orto meet}

expenses

for

the

marriage

r-l children or for expenses ⁱⁿ

connectiOn W'ltll

disease ,or death of

depen- dents or for expenses ⁱⁿconnection^withthe

education of children ^orfor expenses ^for

construction ^ormaintenance^of

houses,

(c) ^to

piov1de

maternity

benefits^to"0an

wmkeis

engaged ⁱⁿ coir

industiy

who are^not

eligible

for such

benefits iithi any nihei law for the time

being ⁱⁿ

force;

(f) ^to

provide ^fordistress relief^tothe

family ^ofa

member affected

by

natural calamities^and

epidemics;

(g) ^(u

prowde ^fortheamt

workers,

self-employed

person-i^and members of their

families,—

"

(i)

medical

faCilities, '

(ii)

nurseries^and

Creches;

(iii) education,

vocational

training ^and

facxlitics ^for

part-time employment ^; (h). ^for

implementation ^ofany other purpose

specified ^inthe scheme. ^.

(5)

Subject ^tothe

piowsions ^{ofthl: Act, the}

scheme framed under sub-section

(l)

may

proVide

for all^or

any of the matters

specified in

sub-secrion

(4)

and

in the

schedule.

(6) ^The

scheme shall^be

laid, ^{assoonas maybe,}

after ^itis

framed, before ^the

Legislative Assembly

while ^itisinsession^foratotal

period

of fourteen

days

which may^be

comprised ^{in one}ssession^{or intwo}

successive sessions, ^and

if;

before ^the

expiry^ofthesessionⁱⁿwhich^{itissolaidorthe} session

immediately

followmg, ^the

Legislative

Assembly

makes any modi- fication in ^the

scheme, ^the

scheme

shall

thereafter ^have

effect

only ⁱⁿsuch modified

form, ^so

however

that, any^suchmodification shallbe Without prejudice ^tothe

validity ^of

anything prCViously ^doneunder ^the

scheme

4. Contrzbulzon ^lothe

fun(l.——(l) Every

coir

wmker

and every self employed

person shall contribute ^{tothe fundone}

rupee ^eachpermonth

(2)

Every

employ ^erother^{thana cmr}

co-operative somety

shallⁱⁿ respect ^{ofeach ceir}worker

contribute^{tothe fund two}

rupees ^permonth

(3)

Every ^ceir

eo-operative

seeiet) .whieh

employees ^acon

worker shall in

respect ^{ofeachsuchcoir}workci contribute ^{to thehindone}

rupee per month Explanatzon ^{—For theput}poses^ofsub-sections ^{(2) and (3), cmrer)-} operative

seeiety

means ^a

soc1ety registered ^ordeemed ^{to be}

registered

undei the Kerala

Clo-operative

Socmties

Act,

1969

(21

of

1969)

which ^is

engaged in the

process of

retting

raw

husks,

beating

retted husk

and

spinmngyarn.

(L

I'

II

O

5 ^.

'

(4) ^TheGovernment

shall contribute^{tothe fund}every^{year an} amount

equal

to tw1ce the amount contributed

by

the^c01rworkers

and self employed

persons^bywayofgrant

(5)

Every

producer ^of

COII'p'IOduLlS ^and-

every dealer shall

contri- bute ^tothe fund ^an

amount

equal ^{to one}

pet ^centof

their sale

proceeds in a

year.

(6) ^The

contiibution

shall^{be paid to the}Chief Executive

Officer or to

any officer

of

the

Board authorised

by

the Board in

this

behalf.

(7)

Wheie ^theamount^ofanycontribution

payable

under ^this Act involves ^afraction

of^a

iupee, the

scheme may

prov1de

for the rounding ^{ofi' ofsuch}fraction ^tothenearest

rupee.

5.

Modzfzcatzonof schema—(1)

The Government may, by

notification in ^the

Gazette, ^addto, amend ^or

vary the scheme

either

prospectively

or retrospectively. '

I

(2) Every

notification under

sub-section

(l)

shall^be

laid,

assoon as

may be aftei it ^is

issued,

hefOic the

Legislative

Assembly

while it is

in sessmn for^atotal

period

of

fourteen

days

which

may be

Comprised

in one session

Oi in two successwe

sessions,

and

if,

before the expiry of

the sesSion ⁱⁿwhich it is^solaid ^or

the sessmn

immediately

following,

the Legislative

Assembly agrees ⁱⁿ

making ^anymodification^{in the}

noti- fication or deCides ^thatthe

nOtifitation should^not

be

issued,

the noti- fication 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

pl'CJudlCC ^tothe

validity

of

anything pre- viously ^doneunder^thatnotification.

6.

ComtzlulzonufBomd—4(1)

The

Government may, by

notification in the

Gazette, constitute, ^With

effect ^fiomsuch

date as

may be

spcmfied theiein ^aBand ^to

be

called

"the Kcrala Coir

\Noikers' Welfare

Fund Board" ^{for the}adninnstiation ^{of the}lurid^andto

supei'Visef't-r carry

out the activities financed

lioin

the fund.

(2) ^TheBoaid shall^{be a}

'body coxpmate

by ^thename

aforesaid, havnig perpetual

succession^{and a}

common

seal'^andshall ^{by the saidname} sue and

be

sued.

(3) ^The

Boaid shalhconmst^{of such}

number ^of

Directors^not

exceedin fifteen in

numbei, ^as

may^be

appotnted by ^the

Government^and

they

shall be chosen in such manner ^as

may be

prescnbed' l'i'OVided

thatfifty per cent^ofthenumber^ofDirectors

shall be

from among ^coir

workers 'and

self—employed peisons^andthe

ieinainiifg

shall reprcse ^itthe

Government,

employers, producers

and/or

dealers.

U

6 t

(4) ^Oneofthe

members^ofthe

Board

shall^be

appointed

by ^the Government ^to

be its Chaiiman.

(5) ^TheGovernment shall

publish ^{in the}

Gazette^the

names^of

.

all the

Directors of the Board.

PI

(6) ^The

Board shall administer^{the fund}

vested^init

in.such manner ^as

may be

specified

in the scheme. '

(7) ^TheBoard may,^Withtheprewous

approval ^ofthe

Govern- ment,

delegate ^tothe Chairman ^{or to}

any Director of the Board^orto

the '

Chief Executive

Officer,

such

of its

powers and

functions under

this

Act or the scheme

as it

may consider necessary for the

efficient administration of the

fund,

subject ^tosuch

restrictions and

conditions,

if any,

as it may specxfy.

7

Tcmzof ofliceof Directors—41)

A

Director

appointéd

under sub section

(3).of

section6 shall

hold office

for^a

period

ofthree years.

(2)

NotWithstanding anything

containedⁱⁿ

section ^{8, the}

Govern- ment

may, ^at

any time,

for reasons^to

be recorded in

writing,

remove

from office any Director of ^theBoard after

giving ^hima

reasonable oppor- tunity of

showmg

cause

against

the

prop05ed

removal:

l'rowdcd that ^itshall ^not

be necessary ^to

recordⁱⁿ

writing

the [1.4.5011 fm the removal ^or

to

give ^an

opportunity

of

showmg

cause

against the

proposed

ienioval,

ii the Government^are'uf

the opinion that it is^not mpechem, ^inthe

public

interest, ^to

iecord^thereasonsⁱⁿ

writing ^{or to} give such

opportunity. \

(3) ^AnvDirector^mayreSign^his

membership

by givmg

notice ⁱⁿ wnting ^tothe

Govcmment,

but shall continue moifice until his

resignation is

accepted

by

the Government. '8. Removal

anmz-tyjficzal

Dzreclor5.——(l)

The

Government may, by .ntification ^inthe

Gazette,

remove

any non—otheial

Director of^the

Board from

olfice,——-

(a) ^{ifHe has,}

Without^thepermission^ofthe

Board, ^been

absent {10111 the

ineetings'of

the

Board

for three consecutive

meetings:

PiOVided,

howeva, ^{that such}absence^maybecondoned

by ^the

Board before ^the

publication ^ofthe

notification ^inthe

Gazette; ^.

C

(b) ^{if he, inthe}

opinion ^ofthe

Government, ¹⁸

unsuitable ^{or has} become

incapable

of

acting ^{as a}Director^orhas^so

abused

his

position ^asa Director ^astorender ^hiscontinuance ^assuch Director

detrimental to the public

interest:

Prov1dcd ^thatbefore

removing ^aDirector under this

sub-section,

he shall be

given ^areasonable

opportunity ^toshow cause

why

he

should ^not

be i

emovcd.

O

W

\I-_

Ii if

.

9

(2) ^Anon-official

Director^{of the}

Board removed

under

clause(a) of sub-section

(1),

shall ^be

disqualified ^for

reappointment ^{as a}

Director of^the Board ^fora.

period

of three years from^the

date of

his removal unless otherwise ordered

by ^theGovernment.

(3) ^Anon-official

Director^ofthe

Board

removed under

clause(b) of

sub-section

(1)

shall not be

eligible ^for

reappointment

until he is

declared by ^anorder^oftheGovernment ^robeno

longer

ineligible.

I

9.

Appomtmcnt of ofiicersandstajf—(l)

The

Government may

appoint a Chief Executive Officer and

such number of other officers and

staff as they

cons1der necessary ^to

assust^theBoard ^{in the}

discharge ^ofitsfun- ctions and duties

under thlS

Act.

(2) Subject ^{to the}prov1snons ^of

sub-section

(3), ^the

method^of appointment,

salary ^and

allowances,

discipline ^{and the}other

conditions^of service of the Chief EXCCuthC Oflicer and the

other oflicers

and staff appointed

under sub-section

(1)

,shallbe ^{suchas maybe}

prescribed.

.

(3) ^Inthecaseofposts ^111theservice under^the

Board^to

which appointment ^{is made}

by

direct recruitment,— (a)' fifty

per ^centshall^be

reserved^for

appointment ^fromcan- didates

belonging ^tothe families ^ofcoxr

workers and

self-employed persons; and

(b) fifty^{per cent}shall^be

filledⁱⁿaccordance^withthe procedure ^{laiddownin the}Kcrala State^and

Subordinate Servrde

Rules,

1958.

10.

Power

of ^theBoard^to

banana—«The Board may,^fromtimeto

time, With

the

previous approval

of the

Government and

subject ^tosuchterms and

conditions ^as

may be

specxficd

by ^the

Government,

borrow money^for the

purposes ^ofthe scheme.

11. Determinatzon

of amount

due.——(l)

The

Chief

Executive Officer or any other officer authorised

by

the

Board in

this

behalf, may, after

making such

enquiry ^as

may be

necessary ^andafter givmg

every

person hable to_ pay contribution

under

section

4, ^an

opportunity ^tobe

heard,

by

order determine ^theamount^{due from}every

employer ^ordealer ^or

producer ^of coir

products

under ^the

provrsions

of this^Actorthe scheme.

(2) ^Theofficer

conductmg ^the

enquiry under

sub-scct10n(l),

shall, for the

purposes ^of

such enquiry, ^have

the same

powcts ^asare vested m a civrl

court while

trying ^asuitunder^theCode 01

Civrl

Procedure,

1908

(Central ^{Act 5of}

1908), ^In

respect ^ofthe

followmg

matters,

namely:—

(a) enforcing ^theattendance ^ofany person^andexamining^him on

oath; (b)

requiring ^the

discovery ^and

productinh

ofdocuments ;

33152521MC.

8 ^.

u-

(c)

receiving

evidence ^on

affidavit;

(d) 1s_su1ng commissmns ^{for the}

exanunation ^of

witnesses.

(3) Any enquiry

under

this section shall^be

deemed ^{to be a}

Jud1c1al proceeding

within^the

meaning ^ofsections ¹⁹³

and ^{228of the}

Indian Penal ^Code

(Central ^Act45of

1860)

and for

the

purpose ^of

sec1i0n"196 of the said Code.

,

(4») ^Anyperson

aggrieved^{by an}

order

under sub-section ^(1)may, '

withmthi1 ty days

from

the date of

rece1pt of 'the

order,

prefer ^an

appeal

to the Director of

0011'

Development ^or

to an officer

not

below

the

rank

of a project

officm auth'onsed ^{by h1m1n th1s}

behalfand ^the

D1recto1'^{of Cou'}

Develop— ment 01 the ofiicm authorised

by

him may, after

making

such

enquiry,

pass such,orders

thereon ^ashe

th1nks ^fit.

(5) ^lheGovernment may, either^suo

motu, ^oron

application ^{of- the} aggneved

person, ^callforthe

records^of

any

proceedings. taken

by ^theDirector of Coir

Development ^orthe

officer

aiithorised by

him under sub-section

(4)

andmake ^such

enquiry. ^and.pass

suchiorders,

asetheyideem ^fit:

Prowdcd ^thatan

apphcauon ^for

1evision under this

sub-section

shall be made'withm th1rty

days-^{from the dateon}wh1ch.

theorder ^was

communicated to the-

applicant:

'~. Prov1ded

furthe1 ^thatno

10rd61'

shall ^be

passed

under ^this

sub-section without givmgchenperson

who maybe affected

thereby,

an

opportunity

t01 be heard

12. Provisional assessment^andcollectwn

of,

contribution. —(1)

Every

[emplo- yer ^ordealer ⁰¹

p1oducer

of coir

products

liableto pay

contributionunder sect1on- 4

shall, pending

determmauomunder

section

ll

of the

amodnt

due from

him, pay ^{on or}

before ^the5th

day ^of

every month, ^an

amount

equivalent to one twelfth

of the amount

payable

annually

by

him

according

to the latest determinauon under the^said

section.

(2) ^Thecontribution^foramonth ^{due from a mu}

worker ^orself-em- ployed

person

shall

become

payable ^on

oribeforcthe^{5th day ofthe}

succeeding month.

(3)

Where^the

conmbution ^{15not paid onor}

before ^thedue

date, ^the Chief Executive

Officer ^or

any office1

of the Board

authorised

by ^itin this behalf,

shall

1ssue^a

notice ^tothedefaulter

showmg ^thean'iount of.arrears, and ^1fthe

amount^15not

paid

within

fifteen

days

of^the

receipt

ofsuch

notice, it

may

be

rccove1ed'111

the^same

manner^asarrears of

public

revenue due ^on land.

'

(4) ^The

amount

pa1d

undet Sub-scet1on ^(l)by ^an

employer ^or

dealer"

or

producer

of con

products

for^a

year shall be

adjusted against

the amount determined

undc1 section ¹¹

for ^thatyear. f

r

a

1

n s. ^_ %

13. Made

of recovery of money due

from

coir

workers,

self-emploted

pen—ans, omp'loyerndealer: ^and

producers^{of coir}

product5.——Any

amount^{duefromthe coir} workers,

self-employed persons, employers,

dealers^and

producers ^ofcoir products ⁱⁿpursuance^ofthe

provisrons ^{of thrs'Act or the}

Scheme^may,ifthe amount is in arrears, be

recovered

in

the

same manner ^asanarrcar of. 'public

revenue^direon

land. 14-.

Priority of payment of contribution 0051' other deth—iWhere any employer or

dealer

or

producer

of coir

products

liable

to

pay contributions under se'ctron

4

is

adjudicated

as

insolvent or, in case

such

employer

or dealer or

producer

of coir products ^isa

company, ^anorder^for

winding^upis

inade, ^theamount^due from such

employer

or dealer or

producer

of coir

products

under this Act

or the scheme

shall,

where the

liability

therefor has accrued belhre

the order of adjudication ^or

winding^{up rs}

made,^,'be

deemed^{to be}included among^the debts

which

under section 64 ofthe

Insolvency

Act, ¹⁹⁵⁵

(2 ^of

1956) ^orunder section ⁵³⁰ofthe

Companies

Act, ¹⁹⁵⁶

(Central ^{Act 1}

of1956) ^aretobe

paid in

priority

to all other debts 'in the

distribution

of the

property ofthc insolvent or

the assets of the company being

wound up,

as the

case

may be

15.

Employer

not ^toreduce wages eta—No

employer ^ordealer ^or

producer of coir

products

shall

by

reason

only

of^his

liability ^forthe

payment

of any contribution ^tothe

fund,

reduce whether directl ^or

indirectly. ^the

wages^of any coir worker^towhom the

scheme

applies ^or

the

total

quantum ^ofbenefits to which

the

coir worker is entitled under the terms ofhrs

employment

express or

implied. ^, l

16. Directors

y"

Board etc, ^tobe.

publzc

servants

—-l£vcry

Director^ofthe Board, ^theChief Executive Officer^andother officers ^andmembers ^{01 the} staff ofthe

Board

appointed

under sub-sectrtin

(1)

ofsectron ⁹shall ^bedeemed to be a

public

servant within .the meaning of

section

21 of

the Indian 'Penal Code

(Central ^Act45of

1860).

'

.

l7

Penalty -—(1)

Whoever,

for the

purpose of

avordrng

any

payment to

be

made

by

himself under

this Act^orunder the scheme^orof

enabling'any other person ^toavord^such

payment knowrngly

makes ^orcauses^to

be

made any false statement ^orfalse

representation,

shall be

punishable

with

imprison- ment for ^{a term}which may extend^tothree

months, ^orwrth fine \Vthh may extend ^tofive

hundred rupees, ^orwithboth

,

(2)

Whoever contravenes ^ormakes

default ⁱⁿ

complying ^Withanyof the

provisions

of this'Act ^orofthescheme

shall, ^ifnoother

penalty ^iselse- where

provided

by ^orunder

this^Act

for\Such

contravention ^or

non-compliance, be

punishable

with

imprisonment

for^atermwhich may extend ^totwomonths or with fine which may extend to four hundred rupees,

or with both.^, .(3) ^Nocourt'inferior ^{tothatof a}

Judicial

Magistrate ^{of the}

Fu'st Class shall try any offence

punishable

under^thisAct.

~10

(4) ^Nocourt shall^take

cognizance ^ofany ofi'ence

punishable

under this Act

except

on^a

ieport ⁱⁿ

writing

of the facts

constituting

such

ofl'ence made ^Withprev1ous sanction^oftheChief

Executive

Oflicer. l8.

Offincrr

by

Companion—(l)

Where an

offence

under

this

Act has been committed

by ^a

company, every person who at the time the

offence ^was committed ^wasin

charge

of, ^andwas

responsible

to, the company for the conduct ^{of the}business^ofthe

company ^aswellasthe

company, shall^be deemed to be

guilty ^{of the}

ofl'ence and shall be liable to be

proceeded against ^and

punished

accordingly. Provided ^that

nothing

contained

in this

sub-section shall render any such person liable to

any

punishment, ^ifhe

proves

that the

offence ^was committed

without^his

knowledge ^or

that ^he

had exercised all due

diligence to

prevent

the commission of

such

ofi'encc.

(2) Notw1thstand'mg anything

contained ⁱⁿsub-section

(1),

where any offence under this

Act

has been committed

by ^a

company andit is

proved that the ofl'ence^has

been

committed with ^theconsent^orconnivance

of, ^oris attributable to, any

neglect

on the part of any officer ^ofthecompany, such officer of ^thecompany shall

be deemed ^tobe

guilty

of^thatoffence and shall be

liable

to be

proceeded against

and

punished

accordingly. Explanation.—For ^thepurpOse^ofthis

section,—-

(a) "company"

means ^anybody

corporate ^and

includes ^a

firm, co-opei

alive

soc1ety ⁰¹

other assoc1ation of indwiduals^;

(1))

"office: ^ofthe

company"

means^the

Managing

Director, Director, Managing Agent, Secretary,

Tieasurer ^or

Manager ^ofthecompany^and includes the ollice bearer.^ofa

flim, co-Operative society

or other association of

individuals.

1 9. Power

[1) mover

damages

-—-Where any person makes default in ^the payment ^ofany contribution ^tothefund under^thisActorthe

scheme, ^the Board may

recover from him

damages,

not

exceeding

twentv-five per ^centof the amount of^anemas

they

may think fit to

impose.

20.

Pratechon

Jm ^actsdonein

good faith. ——No^suit01other

legal pro- ceedmg

shall ^lieagainst any Director^oftheBoaid^or

any other personⁱⁿ respect ^of

anything

whichisⁱⁿ

good

faith ^doneor

intended ^{to be done}under this Act ⁰¹

under the scheme.

21. Dzrcclzom

by

Government. —(1)

The Government may, after consulta- tion wnh ^the

Board, give

to^the

Board

general

directions to^be

followed

by he Board.

(2) ^Intheexercise^ofthepoweis^and

performance

ofits

duties

under this

Act,

the'Board

shall not

depart

from any general

directions issued

under sub-section ¹1)

except ^{with the}

previous penmssxon ^of

the

Government.

11

(r, g:

It

22. ?ower to

order

{main-41)

The

Government may,

at

any time, appoint any

person ^to

inquire ^intothe

working ^ofthe

Board ^{and to}submit a

report

to the

Government.

(2) ^The

Board shall

give ^the

person ^so

appointed ^all

facilities^forthe proper conduct of the

inquiry

and furnish ^tohim

such

documents,

accounts and

information in the

possession

of the Board as he may

require. In

23. Power to

supersede

the Board

——(I)

If,

on consideration of the

report under section

22

or

otherwise,

the

Government are of

opini

m that the Board has

persistently

made default in the

performance

of the duties

imposed

on it

by

or

under the

provisions

of'this Act or the scheme

or

has exceeded or abused its powers, the

Government may,

by

notification

in the

Gazette, supersede ^the

Board^forsuch

period ^not

exceeding ^six

months ^as

may^be specified ^{in the}

notification:

Provided that

before

issuing

a

notification

under

this

sub-section,

the Government shall

give

a

reasonable

opportunity

to the Board

to

show cause

why

it

should not be

superseded

and

shall consider the

explanations and

objections,

if any, of the Board.

(2) Upon ^the

publication ^{of a}

notification under sub-section

(l),-——.

(a) ^{all the}Directors ^{of the}

Board

shall, ^{asfromthe dateof such} publication,

vacate

their

offices^assuch

Directors;

(b) ^{all the}powers^and

duties

which may^beexercised ^or

performed by ^theBoard

shall,

during ^the

period ^of

supersession ^be

exercised ^or

per- formed

by

such

officer or

officers as

may be

specified

in

the

notification;

(c) ^all

funds ^and

other

properties

vested^intheBoard

shall,

during the

period

of

supersession,

vest

in the Government.

(3) ^Onthe

expiration ^ofthe

period ^of

supersession specified ^{in the} notification issued under

sub-section

(l),the

Government shall reconstitute the

Board in the manner

pIOVldCd

in section

6.

24. Audzt

of

account:

of

the Board and

remuneration

of

audttom—(l)

The Government shall

appomt auditors to

audit

the accounts of ^the

Board.

(2) ^TheBoard shall pay ^{tothe said}

auditors^suchremuneration ^as the Government may

direct.

(3) ^Theaccounts^ofthe

Board

shall^be

examined^andaudited^once in every year by

such auditors. '

25. Annual

report ^andaudzted statement

'Qf

accounts.—(l) ^Theannual re rt oi

the Board shall

be

prepared

under

the

direction of the

Board and a

ter

approval by

the

Board,

a

copy of the report shall

be

submitted

to

(Savoy. went before

the

end

of

July

every

year. ^r.

O