Textile Undertakings (Taking Over of Management) Act : APPLICATION OF ACT 1 OF 1956 Indian Bare Acts :

Textile Undertakings (Taking Over of Management) Act,1983

Act No : 40

Section : APPLICATION OF ACT 1 OF 1956

SECTION 08: APPLICATION OF ACT 1 OF 1956

(1) So long as the management of the textile undertaking of a textile company remains vested in the Central Government under this Act, notwithstanding anything contained in the Companies Act, 1956-or in the memorandum or articles of association of such company.--

(a) it shall not be lawful for the shareholders of the textile company or any other person to nominate or appoint any person to he a Director of such textile company in relation to such undertaking:

(b) no resolution affecting (whether directly or indirectly) such undertaking which is passed at any meeting of a shareholders of the textile company on or after the appointed day shall be given effect to unless approved by the Central Government.

(c) no proceeding for the winding up of the textile company or for the appointment of a liquidator or receiver in respect thereof shall lie in any court except with the consent of the Central Government.

(2) Subject to the provisions contained in sub-section (1), and to the other provisions contained in this Act and subject to such other exceptions, restriction and limitations if any, as the Central Government may, by notification, specify in this behalf, the Companies Act, 1956-, shall continue to apply to the textile companies in the same manner as it applied thereto before the appointed day.