Co-operative Textile Mills (Acquisition and Transfer) Act, 1986 Preamble 1 - Bare Act

THE KARNATAKA CO-OPERATIVE TEXTILE MILLS (ACQUISITION AND TRANSFER) ACT, 1986¹

[Act, No. 29 of 1986]

[29th September, 1986]

PREAMBLE

An Act to provide for acquisition and transfer of the Karnataka Co-operative Textile Mills, Dharwar in public interest and in order to secure the proper management of the said Mills, so as to subserve the interest of the general public, by ensuring continued manufacture, production and distribution of yarn and cloth which are essential to the needs of the economy of the country and for matters connected therewith or incidental thereto.

WHEREAS the owners of the Karnataka Co-operative Textile Mills M/s. The Karnataka Co-operative Textile Mills, Ltd., Dharwar had closed down the said Mills in the year 1969 and had subsequently with the permission of the State Government leased out the said Mills in 1970 to M/s. G.Mahadevappa & Sons, Hubli, a partnership firm and the lessee also closed down the Mills in 1979 as it was not able to manage the affairs of the said Mills properly;

WHEREAS the closure of the said Mills was prejudicial to the Scheduled industry, namely the cotton textile industry the Government of India, under section 18AA of the Industries (Development and Regulation) Act, 1951, issued a Notification No. S.O.170(E)18AA/IDRA/79, dated Thirtieth day of March, 1979 and authorised the State Government to take over the management of the said Mills initially for a period not exceeding five years and later for further periods, from time to time;

WHEREAS the officer appointed by the State Government took over the charge of the moveable and immoveable properties of the said Mills which were in possession of the lessee, with effect from the Fourth day of April,1979;

WHEREAS the buildings, machinery and other production equipment of the said mills are very old, out-dated and outmoded, on account of which it is sick and is not economically viable and it is necessary to acquire the said mills for proper management and development of the said mills by making improvement thereof and to ensure that the interests of the general public are served by continuance of the production and distribution of cloth and yarn which are essential to the needs of the economy and providing relief against unemployment and for matters connected therewith or incidental thereto;

BE it enacted by the Karnataka State Legislature in the Thirty-seventh year of the Republic of India, as follows:-

______________________

1. First published in the Karnataka Gazette Extraordinary on the First day of October, 1986.