Dalmia Dadri Cement Limited (Acquisition and Transfer of Undertakings) Act : CONTRACT TO CEASE TO HAVE EFFECT

Dalmia Dadri Cement Limited (Acquisition and Transfer of Undertakings) Act,1981

Act No : 31

Section : CONTRACT TO CEASE TO HAVE EFFECT UNLESS RATIFIED BY CENTRAL GOVERNMENT OR CEMENT CORPORATION

SECTION 25: CONTRACT TO CEASE TO HAVE EFFECT UNLESS RATIFIED BY CENTRAL GOVERNMENT OR CEMENT CORPORATION

Every contract entered into by the Company in relation to its undertakings which has vested in the Central Government undersection 3-, for any service, sale or supply and in force immediately before the appointed day shall, on and from the expiry of one hundred and eighty days from the appointed day, cease to have effect unless such contract is, before the expiry of that period, ratified, in writing, by the Central Government or the Cement Corporation, wherre such undertakings have been vested in that Corporation under this Act, and in ratifying such contract, the Central Government or the Cement Corporation may make such alteration or modification therein as it may think fit:

Provided that the Central Government or the Cement Corporation shall not omit to ratify a coniraci and shall not make any alteration or modification in contract-

(a) unless it is satisfied that such contract is unduly onerous or has been entered into in bad faith or is detrimental to the interests of the Central Government or the Cement Corporation, and

(b) except after giving to the parlies to the contract a reasonable opportunity of being heard and except after recording in writing its reasons for refusal to ratify the contract or for making any alteration or modification therein.