Sections Particulars
Chapter I Preliminary
1 Short title, extent and commencement
(1) This Act may be called the Industries (Development and Regulation) Act, 1951. (2) It extends to the whole of India. (3) It shall come into force on such da...
2 Declaration as to expediency of control by the Union
It is hereby declared that it is expedient in the public interest that the Union should take under its control the industries specified in Schedule I. ...
3 Definitions
In this Act, unless the context otherwise requires,- (a) "Advisory Council" means the Central Advisory Council established under section 5; (aa) ‘ancillary ind...
4 Saving
Chapter II Central Advisory Council And Development Councils
5 Establishment and constitution of Central Advisory Council and its functions
(1) For the purpose of advising it on matters concerning the development and regulation of scheduled industries, the Central Government may, by notified order...
6 Establishment and constitution of Development Councils and their functions
(1) The Central Government may by notified order, establish for any scheduled industry or group of scheduled industries, a body of persons to be called a Deve...
7 Reports and accounts of Development Councils
(1) A Development Council shall prepare and transmit to the Central Government and the Advisory Council, annually, a report setting out what has been done in ...
8 Dissolution of Development Councils
(1) The Central Government may if it is satisfied that a Development Council should cease to continue in being, by notified order, dissolve that Development C...
9 Imposition of cess on scheduled industries in certain cases
(1) There may be levied and collected as a cess for the purposes of this Act on all goods manufactured or produced in any such scheduled industry as may be sp...
Chapter III Regulation Of Scheduled Industries
10 Registration of existing industrial undertakings
(1) The owner of every existing industrial undertaking, not being the Central Government, shall, within such period as the Central Government may, by notifica...
10A Revocation of registration in certain cases
If the Central Government is satisfied that the registration of any industrial undertaking has been obtained by misrepresentation as to an essential fact or t...
11 Licensing of new industrial undertakings
(1) No person or authority other than the Central Government, shall, after the commencement of this Act, establish any new industrial undertaking, except unde...
11A License for producing or manufacturing new articles
The owner of an industrial undertaking not being the Central Government which is registered under section 10 or in respect of which a license or permission ha...
11B Power of Central Government to specify the requirements which shall be complied with by small scale industrial undertakings
(1) The Central Government may, with a view to ascertaining which ancillary and small scale industrial undertakings need supportive measures, exemptions or ot...
12 Revocation and amendment of licenses in certain cases
(1) If the Central Government is satisfied, either on a reference made to it in this behalf or otherwise, that any person or authority, to whom or to which a ...
13 Further provision for licensing of industrial undertakings in special cases
(1) No owner of an industrial undertaking, other than the Central Government, shall- (a) in the case of an industrial undertaking required to be registered un...
14 Procedure for the grant of license or permission
Before granting any license or permission under section 11, section 11A, section 13 or section 29B the Central Government may require such officer or authorit...
15 Power to cause investigation to be made into scheduled industries or industrial undertakings
Where the Central Government is of the opinion that- (a) in respect of any scheduled industry or industrial undertaking or undertakings- (i) there has been, or...
15A Power to investigate into the affairs of a company in liquidation
(1) Where a company, owning an industrial undertaking is being wound up by or under the supervision of the High Court, and the business of such company is not...
16 Powers of Central Government on completion of investigation under section 15
(1) If after making or causing to be made any such investigation as is referred to in section 15 the Central Government is satisfied that action under this se...
17 Special provisions for direct control by Central Government in certain cases
18 Power of person or body of persons appointed under section 15 or section 15A to call for assistance in any investigation
(1) The person or body of persons appointed to make any investigation under section 15 or section 15A may choose one or more persons possessing special knowle...
Chapter III A Direct Management Or Control Of Industrial Undertakings By Central Government In Certain Cases
18A Power of Central Government to assume management or control of an industrial undertaking in certain cases
(1) If the Central Government is of opinion that- (a) an industrial undertaking to which directions have been issued in pursuance of section 16 has failed to c...
18AA Power to take over industrial undertakings without investigation under certain circumstances
(1) Without prejudice to any other provision of this Act, if, from the documentary or other evidence in its possession, the Central Government is satisfied, i...
18B Effect of notified order under section 18A
(1) On the issue of a notified order under section l8A authorizing the taking over of the management of an industrial undertaking- (a) all persons in charge of...
18C Contracts in bad faith, etc. may be cancelled or varied
Without prejudice to the provisions contained in section 18B, the person or body of persons authorized under section 18A to take over the management of an ind...
18D No right to compensation for termination of office or contract
Notwithstanding anything contained in any law for the time being in force, no person who ceases to hold any office by reason of the provisions contained in cl...
18E Application of Act 7 of 1913
(1) Where the management of an industrial undertaking being a company as defined in the Indian Companies Act, 19134 (7 of 1913), is taken over by the Central ...
18F Power of Central Government to cancel notified order under section 18 A
If at any time it appears to the Central Government on the application of the owner of the industrial undertaking or otherwise that the purpose of the order m...
Chapter III AA Management Or Control Of Industrial Undertakings Owned By Companies In Liquidation
18FA Power of Central Government to authorize, with the permission of the High Court, persons to take over management or control of industrial undertakings
(1) If the Central Government is of opinion that there are possibilities of running or restarting an industrial undertaking, in relation to which an investiga...
Chapter III AB Power To Provide Relief To Certain Industrial Undertakings
18FB Power of Central Government to make certain declarations in relation to industrial undertakings, the management or control of which has been taken over under section 18A, section 18AA or section 18FA
(1) The Central Government, if it is satisfied, in relation to an industrial undertaking or any part thereof, the management or control of which has been take...
Chapter III AC Liquidation Or Reconstruction Of Companies
18FC Power of Central Government to call for report on the affairs and working of managed company
Where the management or control of an industrial undertaking has been taken over under section 18A, whether before or after commencement of the Industries (De...
18FD Decision of Central Government in relation to managed company
(1) If, on receipt of the report submitted by the authorized person, the Central Government is satisfied-. (a) in relation to the company owning the industrial...
18FE Provisions where government decides to follow the course of action specified in section 18FD(1)
(1) The provisions hereinafter laid down shall apply where the Central Government decides that the course of action specified in sub-section (1) of section 18...
18FF Provisions where government decides to follow the course of action specified in section 18FD(2)
(1) Where in any case the Central Government decides that the course of action specified in sub-section (2) of section 18FD should be followed, it shall, subj...
18FG Preparation of inventory of assets and liabilities and list of members and creditors of managed company
For the purposes of this Act, the authorized person shall, as soon as may be, after taking over the management of the industrial undertaking of a company unde...
18FH Stay of suits and other proceedings
In the case of a company in respect of which an order under section 18FD has been made, no suit or other legal proceeding shall be instituted or continued aga...
Chapter III B Control Of Supply, Distribution, Price, Etc. Of Certain Articles
18G Power to control supply, distribution, price, etc. of certain articles
(1) The Central Government, so far as it appears to it to be necessary or expedient for securing the equitable distribution and availability at fair prices of...
Chapter IV Miscellaneous
19 Powers of inspection
(1) For the purpose of ascertaining the position of working of any industrial undertaking or for any other purpose mentioned in this Act or the rules made t...
20 General prohibition of taking over management or control of industrial undertakings
After the commencement of this Act, it shall not be competent for any State Government or a local authority to take over the management or control of any indu...
21 Certain administrative expenses of Development Councils to be paid from moneys provided by Parliament
Such administrative expenses as relate to the emoluments of officers of a Development Council who are appointed by or with the approval of the Central Governm...
22 Power of the Central Government to issue directions to Development Councils
In the exercise of its function under his act, every development council shall be guided by the such instructions as may be given to it by the Central Governm...
23 Decision of Central Government final respecting in certain matters
If, for the purposes of this Act, any question arises as to whether- (a) there has been a substantial expansion of an industrial undertaking, or (b) an indust...
24 Penalties
(1) If any person contravenes or attempts to contravene or abets the contravention of- (i) the provisions of sub-section (1) or sub-section (4) of section 10,...
24A Penalty for false statements
If any person- (a) when required by this Act or by any order under this Act to make any statement or furnish any information, makes any statement or furnishes ...
25 Delegation of powers
(1) The Central Government may by notified order, direct that any power exercisable by it under this Act (other than the power given to it by sections 16, 18A...
26 Power to issue directions
The Central Government may give directions to any State Government as to the carrying into execution in the State of any of the provisions of this Act or of a...
27 Cognizance of offences
No court shall take cognizance of any offence punishable under this Act except on a report in writing of the facts constituting such offence made by a person ...
28 Burden of proof in certain cases
Where any person is prosecuted for contravening any order made under section 18G which prohibits him from doing an act or being in possession of a thing witho...
29 Jurisdiction of courts
(1) Subject to the provisions of sub-section (2), no court inferior to that of a Presidency Magistrate or a Magistrate of the first class shall try any offen...
29A Special provision regarding fines
Notwithstanding anything contained in section 32 of the Code of Criminal Procedure, 18983 (5 of 1898), it shall be lawful for any Magistrate of the first clas...
29B Power to exempt in special cases
(1) If the Central Government is of opinion, having regard to the smallness of the number of workers employed or to the amount invested in any industrial unde...
29C Protection of action taken under the Act
(1) No suit, prosecution or other legal proceeding shall lie against any person for anything which is in good faith done or intended to be done under this Act...
29D Debts incurred by the authorized person to have priority
Every debt arising out of any loan obtained by the authorized person for carrying on the management of, or exercising functions of control in relation to, an ...
30 Power to make rules
(1) The Central Government may, subject to the condition of previous publication, make rules for carrying out the purposes of this Act. (2) In particular, and ...
31 Application of other laws not barred
The provisions of this Act shall be in addition to and not, save as otherwise expressly provided in this Act, in derogation of any other Central Act for the t...
32 Amendment of section 2, Act 14 of 1947
[Rep. by Repealing and Amending Act, 1957 (3 6 of 1957)] ...
Schedule Schedule I
[Sections 2 and 3(i)] Any industry engaged in the manufacture or production of any of the articles mentioned in each of the following headings or sub-headings,...
Schedule II
[Section 6(4)] Functions which may be assigned to Development Councils: (1) Recommending targets for production, co-coordinating production programmes and revi...
Schedule III
[Section 18FB] 1. The Industrial Employment (Standing Orders) Act, 1946, (2 of 1946). 2. The Industrial Disputes Act, 1947 (14 of 1947). 3. The Minimum Wages A...
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