THE STATE AGRICULTURAL CREDIT CORPORATIONS ACT, 1968
THE STATE AGRICULTURAL CREDIT CORPORATIONS ACT, 1968
Title : THE STATE AGRICULTURAL CREDIT CORPORATIONS ACT, 1968
Year : 1968
Every director, member of a committee, auditor,officer or other employee of the Corporation shall before entering upon duties, make a declaration of fidelity and secrecy in the form set out in the Schedule.
1*Provided that nothing contained in this section shall apply to the credit information disclosed under the Credit Information Companies(Regulation) Act, 2005
(1) Every director shall be identified by the Corporation against all losses and expenses incurred by him in the discharge of his duties except such as are caused by his own willful act or default.
(2) A director shall not be responsible for anything done or committed to be done by any other director or officer or other employee of the Corporation or for any loss or expenses resulting to the Corporation by the insufficiency or deficiency of value of, or title to, any property or security acquired or taken on behalf of the Corporation in good faith, or by the wrongful act of any auditor or any person under obligation to the Corporation, or by anything done in good faith in the execution of the duties of his office or in relation thereto.
No suit or other legal proceeding shall lie against the Corporation or the Central or State Government or the Reserve Bank or any director or officer of the Corporation or of the Central or State Government or of the Reserve Bank or any other person authorised by the Corporation to discharge any functions under this Act, for any loss or damage caused or likely to be caused by anything which is in good faith done or intended to be done in pursuance of this Act.
(1) No provision of law relating to the winding up of companies or corporations shall apply to the Corporation and the Corporation shall not be placed in liquidation save by order of the Central Government made in consultation with the State Government and in such manner as it may direct.
(2) Without prejudice to the provisions of sub-section (1), any order made by the Central Government for the liquidation of a Corporation may provide for all matters for effectively winding up the affairs of the Corporation, including the repayment of capital disposal of any fund established under this Act, the transfer of the business, property, assets and liabilities, rights, interests, privileges and obligations of whatever nature of the Corporation to such institution or institutions as the Central Government may direct and payment, receipt or disposal of compensation arising out of such transfer.
The Reserve Bank shall, on the expiry of a period of three years, from the date of established of the Agricultural Credit Corporation in a State or Union territory and thereafter at an interval of three years and within such time as the Central Government may specify, submit a report to that Government as to the working of the Corporation and forward a copy thereof to the State Government concerned.
(1) The Corporation may appoint such officers, advisers and employees as it considers necessary for the efficient performances of its function and determine, by regulations or otherwise, their conditions of appointment and service and the remuneration payable to them.
(2) The Board may, by general or special order, delegate to the Managing Director or to any other officer of the Corporation, subject to such conditions and limitations, if any, as may be specified, such of its powers and duties under this Act, as it may deem necessary
(1) The Central Government may, by notification in the Official Gazette, make rules for carrying out the purposes 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) Functions which shall be discharged by the Executive Committee
(b) Rules of procedure with regard to the transaction of business at a meeting of the Board.
(c) Rules of procedure with regard to the transaction of business at a meeting of any committee constituted by the Board.
(d) The procedure to be followed by the appropriate Government or the authority specified by the appropriate Government for issuing the certificate under section 28.
(e) The manner in which the general meeting shall be convened, the quorum therefore, the procedure to be followed thereat and the manner in which voting rights may be exercised.
(f) Form and manner in which accounts shall be maintained the balance-sheet and profit and loss account shall be prepared.
(g) Form in which statement of assets and liabilities shall be furnished;
(h) Any other matter which is required to be, or may be prescribed;
3. Every rule made under this section shall be laid as soon as may be after it is made, before each House of Parliament while it is in session for a total period of thirty days, which may be comprised in one session or1[in two or more successive sessions, and if, before the expiry of the session immediately following the session or the successive sessions aforesaid], both Houses agree in making any modification in the rule or both Houses agree that the rule should not be made, the rule shall thereafter have effect only in such modified form or be of no effect as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule.
1. Substituted for "in two successive sessions, and if before the expiry of the session in which it is so laid or the session immediately following" by Delegated Legislation Provision (Amendment) Act, 1986 w.e.f. 15-05-1986.
(1) The Board 1*[after consultation with the Reserve Bank may]make regulations not inconsistent with the provisions of this Act, and the rules made thereafter, to provide for all matters for which provision is necessary or expedient for the purpose of giving effect to the provisions of this Act.
(2) In particular and without prejudice to the generality of the foregoing provisions, such regulations may provide for all or any of the following matters, namely;-
(a) Duties which the managing director shall perform;
(b) Fees and allowances which may be paid to every director for attending any meeting of the Board or any committee thereof or for attending to any other work of the Corporation;
(c) Duties, conduct, salaries and allowances and conditions of service of officers and other employees of the Corporation;
(d) Establishment and maintenance of provident and other benefit funds for the employees of the Corporation;
(e) The delegation of powers and functions to the officers and employees of the Corporation;
(f) The purposes connected with agricultural purposes for which the Corporation may grant loans and advances;
(g) The conditions subject to which the amount in the Stabilisation Fund may be utilised;
(h) The manner in which the amount in the Reserve Fund may be utilised;
(i) Conditions which the Corporation may impose on any loan or advance made by it;
(j) Any other matter which is, or may be, necessary for the efficient conduct of the affairs of the Corporation.
(3) Notwithstanding any thing contained in sub-section (1), the Reserve Bank may at any time within three months from the commencement of this Act make regulations with regard to any of the matters specified in sub-section (2) but the regulations so made may be rescinded or modified by the Board in exercise of the powers conferred on it by sub-section (1).
2*[(4) Every regulation made under this Act shall be laid, as soon as may be after it is made, before each House of Parliament, while it is in session, for a total period of thirty days which may be comprised in one session or in two or more successive sessions, and if, before the expiry of the session immediately following the session or the successive sessions aforesaid, both Houses agree in making any modification in the regulation, or both Houses agree that the regulation should not be made, the regulation shall thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that regulation]
In clause (f) of section (2) of the Agricultural Refinance Corporation Act, 1963, after sub-clause (ii) the following sub-clause shall be inserted, namely;
"(iii) An Agricultural Credit Corporation established under section 3 of the State Agricultural Credit Corporation Act, 1968".
THE SCHEDULE (See section 40)
I............., do hereby declare that I will faithfully, truly and to the best of my of my judgement, skill and ability execute and perform the duties required of me as a director, officer, employee or auditor (as the case may be) of the Agricultural Credit Corporation and within and which properly relate to any office or position in the said Corporation held by me.
I further declare that I will not communicate or allow to be communicated to any person not legally entitled thereto any information relating to the affairs of the Corporation not will I allow such person to inspect or have access to, any books or documents belonging to, or in the possession of, the Corporation and relating to the business of the Corporation.
This web site is designed for general information only. The information presented at this site should not be construed to be formal legal advice nor the formation of a lawyer/client relationship. Persons accessing this site are encouraged to seek independent counsel for advice in India abroad regarding their individual legal, civil criminal issues or consult one of the experts online.