Ministry of Heavy Industries and Public Enterprises
The Dalmia Dadri Cement Limited (Acquisition and Transfer of Undertakings) Act, 1981, provides for the acquisition and transfer of the undertakings of Dalmia Dadri Cement Limited by the Central Government, ensuring the continued production and distribution of cement in the public interest.
1: Act Background and Ministry Under Which This Act Is:
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 Dalmia Dadri Cement Limited by the Central Government. This act aimed to secure the proper management of the company and to ensure the continued production and distribution of cement, an essential commodity for the Indian economy. The act falls under the administrative purview of the Ministry of Industry, which oversees the implementation and management of nationalized industries. The ministry plays a vital role in ensuring the smooth transition and operation of such entities.
2: Enactment Date, Number of Chapters, Number of Sections:
The Dalmia Dadri Cement Limited (Acquisition and Transfer of Undertakings) Act, 1981, was enacted on 15th September, 1981, and is known as Act No. 31 of 1981. The act is structured into seven chapters. It comprises 33 sections, covering various aspects such as definitions, transfer of undertakings, payment of amounts, management of the undertakings, provisions relating to employees, appointment of a Commissioner of Payments, and miscellaneous provisions. The act also includes a schedule defining payments, interest rates, and priorities of liabilities. The act has been amended over time to reflect changing requirements.
3: Act Governed By:
The Dalmia Dadri Cement Limited Act is governed by the Central Government, which has the power to make rules and regulations under the Act. The act also provides for the appointment of a Commissioner of Payments to handle claims. The act is governed by the provisions outlined within it, as well as rules and regulations framed by the Central government. It is therefore a combination of central authority with a judicial process.
4: On Whom It Is Applicable:
The provisions of The Dalmia Dadri Cement Limited Act are applicable to Dalmia Dadri Cement Limited, its members, the Central Government, the Commissioner of Payments, and the Cement Corporation of India. The act ensures that all actions and activities are in accordance with the regulations outlined, as well as the Act’s mandate and guiding principles. The general public are indirect beneficiaries of the Act’s provisions. The act’s focus is to protect public interest.
5: Penalties/Punishments:
The act prescribes penalties for specific offenses:
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Wrongful Withholding of Property: Wrongfully withholding property of the undertaking can lead to imprisonment or fines.
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Failure to Furnish Information: Failure to provide required information or documents attracts penalties.
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False Claims: Making false claims before the Tribunal attracts penalties. The act ensures accountability and proper conduct during the acquisition process.
6: Important Pointers:
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Nationalization: The act nationalizes the undertakings of Dalmia Dadri Cement Limited.
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Transfer to Government: It mandates the transfer of the undertaking to the Central Government and subsequently to the Cement Corporation of India.
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Commissioner of Payments: It establishes the office of a Commissioner of Payments to handle claims and disbursements.
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Fund Application: It specifies how the funds and resources of the company can be applied for the purpose of the act.
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Employee Protection: It safeguards the rights and conditions of service of existing employees.
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Rule-Making: It allows the Central Government to make rules for the management and procedures of the undertakings.
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Public Interest: It emphasizes the need to ensure continuity of production and supply of cement in the public interest. The act outlines clear definitions and procedures to handle the acquisition.
7: Act Copy: