S.1 Short title and commencement

       (1) This Act may be called, The Coal Mines (Taking Over of Management) Act, 1973.
       (2) It shall be deemed to have come into force on the 30th day of January, 1973, except sub-section (2) of section 8 which shall come into force at once.

S.2 Definitions

       In this Act, unless the context otherwise requires,--
       (a) "appointed day" means the 31st day of January, 1973;
       (b) "coal mine" means a mine in which there exists one or more seams of coal;
       (c) "company" means a company as defined in section 3 of the Companies Act, 1956, and includes a foreign company within the meaning of section 591 of that Act;
       (d) "Custodian", in relation to a coal mine means the person appointed under section 6 to take over, or carry on, the management of the coal mine;
       (e) "Government company" has the meaning assigned to it by section 617 of the Companies Act, 1956;
       (f) "managing contractor" means the person, or body of persons, who, with

S.3 Management of coal mines to vest in the Central Government on the appointed day

       (1) On and from the appointed day, the management of all coal mines shall vest in the Central Government.
       (2) Without prejudice to the generality of the provisions of sub-section (1), the coal mines specified in the Schedule shall be deemed, for the purposes of this Act, to be the coal mines the management of which shall vest, under sub-section (1), in the Central Government:
       Provided that if, after the appointed day, the existence of any other coal mine comes to the knowledge of the Central Government, whether after an investigation or in pursuance of an intimation given to it under sub-section (5), or otherwise, the Central Government shall, by a notified order, make a declaration about the existence of such mine, and on and from the date of such declaration--
       (i) the management of such c

S.4 Contract regarding management of coal mines to be deemed to have terminated on the appointed day

Any contract, whether express or implied, providing for the management of any coal mine, made before the appointed day between the owner of such mine and any person in charge of the management of such mine immediately before the appointed day shall be deemed to have terminated on the appointed day.

S.5 Management of coal mines pending the appointment of Custodian

       (1) Pending the appointment of a Custodian under section 6 for any coal mine, the person in charge of the management of such mine immediately before the appointed day shall, on and from the appointed day, be in charge of the management of such mine for and on behalf of the Central Government; and the management of such mine shall be carried on by such person subject to the provisions contained in sub-sections (2) and (4) and such directions, if any, as the Central Government may give to him and no other person, including the owner, shall, so long as such management continues, exercise any powers of management in relation to the coal mine or give any direction with regard to such management.
       (2) No person in charge of the management of a coal mine shall, without the previous approval of the person specified by the Central Government in this behalf in respect of that mine (hereinafte

S.6 Power of Central Government to appoint Custodian

       (1) The Central Government may, as soon as it is convenient administratively so to do, appoint any person (including a Government company, whether in existence at the commencement of this Act or incorporated thereafter) as the Custodian for the purpose of taking over the management of one or more coal mines and the person so appointed shall carry on the management of such mines for and on behalf of the Central Government.
       (2) (a) The Central Government may also appoint a person (including a Government company, whether in existence at the commencement of this Act or incorporated thereafter) as the Custodian General for exercising supervision and control over all the coal mine the management of which is taken over under this Act and on such appointment, every Custodian, appointed under sub-section (1), shall act under the guidance, control and supervision of the Custodian-General. <

S.7 Payment of amount

       (1) Every owner of a coal mine shall be given by the Central Government an amount, in cash, for the vesting in it, under section 3, of the management of such mine.
       (2) For every month during which the management of a coal mine remains vested in the Central Government, the amount referred to in sub-section (I) shall be computed at the rate of twenty paise per tonne of coal on the highest monthly production of coal from such mine during any month in the years 1969, 1970, 1971 and 1972:
       Provided that if in relation to any such coal mine, there was no production of coal during the said years, the amount referred to in sub-section (1) shall be computed at the rate of four paise per tonne of such highest monthly coal producing capacity of the coal mine, before the appointed day as may be assessed and declared by the Coal Board :
 &n

S.8 Penalties

       (1) If any person--
       (a) fails to deliver to the Custodian any assets, books of account, registers or any other document in his custody relating to the coal mine in respect of the management of which the Custodian has been appointed, or
       (b) retains any property of such coal mine or removes or destroys it, or
       (c) fails to comply with the provisions contained in sub-section (2) or sub-section (4) or sub-section (5) of section 5, or
       (d) fails to comply, with any directions given under sub-section (1), read with sub-section (6), of section 5,
       he shall be punishable with imprisonment for a term which may extend to two years, or with fine which may extend to ten thousand rupees, or with both,
  &nb

S.9 Offences by companies

       (1) Where an offence under this Act has been committed by a company, every person who at the. time the offence was committed was in charge of, and was responsible to, the company for the conduct of the business of the company, as well as the company, shall be deemed to be guilty of the offence 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, if he proves that the offence was committed without his knowledge or that he had exercised all due diligence to prevent the commission of such offence.
       (2) Notwithstanding anything contained in sub-section (1), where any offence under this Act has been committed by a company and it is proved that the offence has been committed with the consent or connivance of, or is attribu

S.10 Mining companies not to be wound up by Court

       (1) No proceeding for the winding up of a mining company, the management of whose coal mines has vested in the Central Government under this Act, or for the appointment of a Receiver or for any other order in respect of the business of such company, shall lie in any Court except with the consent of the Central Government.
       (2) Notwithstanding anything contained in the Companies Act, 1956, or in any memorandum or articles of association of any mining company or in any instrument, no resolution passed at any meeting of the Board of Directors or of the members of a mining company shall, in so far as relates to the coal mine owned by such company or any business of such mine, be given effect to unless approved by the Central Government.
       (3) Subject to the other provisions contained in this Act and subject to such exceptions, restrictions and

S.11 Exclusion of period of operation of Act in computing period of limitation

In computing the period of limitation prescribed by any law for the time being in force for any suit or application against any person by the owner of any coal mine in respect of any matter arising out of any transaction in relation to the coal mine owned by him, the time during which this Act is in force shall be excluded.

S.12 Effect of Act on other laws

The provisions of this Act shall have effect notwithstanding anything inconsistent therewith contained in any other law for the time being in force or in any instrument having effect by virtue of any law other than this Act, or in any decree or order of any court, tribunal or other authority.

S.13 Delegation of powers

       (1) The Central Government may, by notification order, direct that all or any of the powers exercisable by it under this Act may also be exercised by any person or persons as may be specified in the order.
       (2) Whenever any delegation of power is made under sub-section (I) the person to whom such power has been delegated shall act under the direction, control and supervision of the Central Government.

S.14 Protection of action taken in good faith

       (1) No suit, prosecution or other legal proceeding shall lie against the Custodin-General, Additional Custodian-General, Deputy Custodian-General, any Custodian or authorised person for anything which is in good faith done or intended to be done under this Act.
       (2) No suit or other legal proceeding shall lie against the Central Government or the Custodian-General, Additional Custodian-General, Deputy Custodian-General, any Custodian or authorised person for any damage caused or likely to be; caused by anything which is in good faith done or intended to be done under this Act.

S.15 Contracts, etc., in bad faith or detrimental may be cancelled or varied

       (1) Every person with whom the owner or occupier of any coal mine has, before the appointed day, entered into any contract for any service (other than a contract of employment), sale or supply shall, within fifteen days from the date on which this Act receives the assent of the President; intimate to the Central Government the particulars of such contract and if any default is made in giving such intimation, such contract shall, on the expiry of the said period of fifteen days, be voidable at the option of the Central Government.
       (2) If the Central Government is satisfied, after such inquiry as it may think fit, that any contract or agreement between the owner, agent or manager of a coal mine and any other person, in so far as such contract or agreement relates to the coal mine, has been entered into in bad faith, or is detrimental to the interests of the coal mine, it may make an

S.16 Power to terminate contract of employment

If the Custodian is of opinion that any contract of employment entered into by any owner or agent of a coal mine, at any time before the appointed day, is unduly onerous or if he considers that it is necessary so to do in the interests of the proper management of a coal mine, he may, by giving to the employee concerned one month's notice in writing or the salary or wages for one month in lieu thereof, terminate such contract of employment.

S.17 Power to make rules

       (1) The Central Government may, by notification in the Official Gazette, make rules to carry' out the provisions of this Act.
       (2) In particular, and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, namely:
       (a) the manner in which the coal mines shall be managed by the Custodian;
       (b) the constitution of a Board of management, by whatever name called, for advising the Custodian-General in the management of the coal mines;
       (c) the form and manner in which accounts of the coal mines shall be maintained;
       (d) any other matter in relation to which such rule is required to be, or may be, made.
       (

S.18 Coal mines to which this Act shall not apply

       (1) Nothing contained in this Act shall apply to any coal mine--
       (a) owned, managed or controlled by Government, or by a Government company or by a corporation which is owned, managed or controlled by Government;
       (b) owned or managed by a company engaged in the production of iron and steel:
       Provided that clause (b) shall not extend to such part of the coal mine or production thereof which, in the opinion of the Central Government, is company owning or managing such coal mines:
       Provided further that any coal obtained from any such coal mine as is referred to in the foregoing proviso in excess of the requirements for the production of iron and steel by the company owning or managing such coal mine, shall not be sold, delivered, transferred or otherwi

S.19 Power to remove difficulties

       If any difficulty arises in giving effect to the provisions of this Act, the Central Government may, by notified order, not inconsistent with the provisions of this Act, remove the difficulty:
       Provided that no such order shall be made after the expiry of a period of two years from the appointed day.

S.20 Repeal and saving

       (1) The Coal Mines (Taking Over of Management) Ordinance, 1973, is hereby repealed.
       (2) Notwithstanding such repeal, anything done or any action taken under the Ordinance so repealed (including any appointment, declaration or order made thereunder), shall be deemed to have been done or taken under the corresponding provisions of this Act.

Sch.1 Schedule I

       THE SCHEDULE
       [See Section 3]
       Sl.No.
       (1) Name and address of mine
        (2) Name and address of owner
       (3)
       ASSAM-MEGHALAYA
       Khasi and Jaintia Coalfield
       1. Thangji Nath, P.O. Pynursla, Mehgalaya, Assam Trading and Mining Company (Private Limited, Shillong.
       Makum Coalfield. Lakhimpur
       2. Baragolia, P. O. Margherita. Assam Railways and Trading Coal Company Limited, Margherita, Upper Assam.
       3. Ledo, P. O. Ledo, Lakhimpur.