( 1 ) SWADESHI Cotton Mills Company Limited and its six textile undertakings, are engaged in the manufacture and production of different varieties of cloth and yarn. The management of the said textile undertakings was taken over by the Central Government under the Notification dated april 13, 1978 under Section 18-AA of the industries (Development and Regulation) Act, 1951. The Swadeshi Cotton Mills Company Limited (Acquisition and Transfer of Undertakings) Act, 1986 came to be passed in 1986 (for short, the Act of 1986 ). Subsection (1) of Section 3 of the act 1986, states that on the appointed day every textile undertaking and the right, title and interest of the Company in relation to every such textile undertaking shall, by virtue of this Act, stand transferred to and shall vest in the Central Government. Subsection (2) of Section 3 declares that every such textile undertaking which stands vested in the Central Government by virtue of Sub-section (1) shall, immediately after it has so vested, stand transferred to, and vested in the National Textile Corporation. By Notification dated April 13/14, 1978 the National Textile corporation Limited, New Delhi-a Government