Amendment status not verified — confirm the current text below against the official source.
Repeal and savings. SCHEDULE ANNEXURE * * * * 1986: KAR. ACT 29] Co-operative Textiles Mills (Acquisition and transfer) 3 STATEMENT OF OBJECTS AND REASONS Act 29 of 1986.- The Government of India took-over the management of the Karnataka Textile Mills (known as Mahadeva Textile Mills), a sick mill, under section 18AA of the Industrial (Development and Regulation) Act, 1951 and transferred the management of the said mill to the State Government and the State Government is managing these mills since 04.04.1979. The period of limitation in respect of labilities etc., of the sick mill was being extended by the Central Government from time to time and it has been decided that the final extended period shall 29.06.1986. As the Government of India was not in favour of entrusting the management to the National Textile Corporation, the State Government was requested to examine the future course of action . Finally, the State Government decided to entrust the management to the newly constituted company viz., the Karnataka State Textile Corporation, Private Limited, by acquisition and transfer of the sick mills. The acquisition and transfer of the Karnataka Co-operative Textile Mills, Dharwar was in public interest and 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 as well as the continued employment of the approximately three thousand workers serving in the said mills. The buildings, machinery and equipments of the said Mills are very old, out-dated and on account of which, the Mills are sick and not economically viable and it is necessary to acquire the said Mills in public interest and to reduce un-employment. As the Karnataka State Legislative Council was not in session and the matter was very urgent, the Karnataka Co-operative Textile Mills (Acquisition and Transfer) Ordinance, 1986 (Karnataka Ordinance 11 of 1986) was promulgated. This Bill Seeks to replace the said Ordinance. Hence the Bill. (As in the Karnataka Legislative Assembly Bill No. 41 of 1986) (LAW 52 LGN 86). Co-operative Textiles Mills 1986: KAR. ACT 29] (Acquisition and transfer) 4 II Amending Act 20 of 2005: Writ Petition Nos.4227/99, 4590/99 and 4591/99 were filed by Smt.Susheela and others claiming to be the owners of the land leased to the Karnataka State Textile Ltd./Mahadev Textile Mills questioning the KSIIDC’s publication of the advertisement for sale of properties belonging to the mill. The Hon’ble High Court of Karnataka has held that the lessor is not the owner of the said land and issued a Writ of Mandamus, directing the State Government and the respondents not to auction or sell the landed property or land even under the Mill or otherwise, unless and until title of ownership in land is acquired by State Government is established as per law. It is therefore, considered necessary to amend the Karnataka Co- operative Textiles Mills (Acquisition and Transfer) Act, 1986, suitably with effect from 30.6.86 to avoid loosing to Government land, keeping in view the orders passed by the Hon’ble High Court of Karnataka in the writ petitions, referred to above. Hence the Bill. (LC Bill No.5 of 2004) * * * * 1986: KAR. ACT 29] Co-operative Textiles Mills (Acquisition and transfer) 5 KARNATAKA ACT No. 29 OF 1986 (First published in the Karnataka Gazette Extraordinary on the First day of October, 1986) THE KARNATAKA CO-OPERATIVE TEXTILE MILLS (ACQUISITION AND TRANSFER) ACT, 1986. (Received the assent of the President on the Twenty-ninth day of September, 1986) (As amended by Act 20 of 2005) 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 Co-operative Textiles Mills 1986: KAR. ACT 29] (Acquisition and transfer) 6 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:- CHAPTER-I PRELIMINARY