7. Functions of the Corporations.—
(1) Subject to the rules, if any, made by the Central Government in this behalf, it shall be the function of each of the Corporations to provide safe, efficient, adequate, economical and properly co-ordinated air transport services, whether internal or international or both, and the Corporations shall so exercise their powers as to secure that the air transport services are developed to the best advantage and, in particular, so exercise those powers as to secure that the services are provided at reasonable charges.
(2) Without prejudice to the generality of the powers conferred by sub-section (1), each of the Corporations shall, in particular, have power—
(a) to operate any air transport service, or any flight by aircraft for a commercial or other purpose, and to carry out all forms of aerial work;
(b) to provide for the instruction and training in matters connected with aircraft or flight by aircraft of persons employed, or desirous of being employed, either by the Corporation or by any other person;
(c) with the previous approval of the Central Government, to promote any organization outside India for the purpose of engaging in any activity of a kind which the Corporation has power to carry on;
(d) to acquire, hold or dispose of any property, whether movable or immovable, or any air transport undertaking;
(e) to repair, overhaul, reconstruct, assemble or recondition aircraft, vehicles or other machines and parts, accessories and instruments thereof or therefore and also to manufacture such parts, accessories and instruments, whether the aircraft, vehicles or other machines are owned by the Corporation or by any other person;
(f) to enter into and perform all such contracts as are calculated to further the efficient performance of its duties and the exercise of its powers under this Act;
(g) to perform any functions as agent or contractor in relation to an air transport service operated by any other person;
(h) with the previous approval of the Central Government, to enter into agreements with any person engaged in air transportation with a view to enabling such person to provide air transport services on behalf of or in association with the Corporation;
(i) with the previous approval of the Central Government, to determine and levy fares and freight rates and other charges for or in respect of the carriage of passengers and goods on air transport services operated by it;
1[(ii) to make such grants as it thinks fit as contribution or donation, in furtherance of the interests of the Corporation, to any fund established for a benevolent or charitable purpose:
Provided that nothing in this clause shall be construed as empowering the Corporation to make any such grant to any political party or for any political purpose to any individual or body;]
(j) to take such steps as are calculated to extend the air transport services provided by the Corporation, whether within or without India, including the development of feeder services and the improvement of the types of aircraft used in air transport services;
(k) to take such steps as are calculated to promote the interests of the Corporation or to improve the services the Corporation may provide, 2[including provisions of catering, hotels, restaurants, rest-rooms], goods-sheds, warehouses and transport by land or water in connection with any air transport service or any other amenity or facility;
3[(kk) to form one or more companies under the Companies Act, 1956 (1 of 1956) to further the efficient performance of its duties and the exercise of its powers under this Act:
Provided that the paid up share capital of every company so formed shall be held exclusively by the Corporation;]
(l) to take all such steps as may be necessary or convenient for, or may be incidental to, the exercise of any power, or the discharge of any function or duty conferred or imposed on it by this Act.
(3) Nothing contained in this section shall be construed as—
(a) authorising the disregard by the Corporation of any law for the time being in force, or
(b) authorising any person to institute any proceeding in respect of a duty or liability to which either of the Corporations or its employees would not otherwise be subject.
Both Corporations have to ensure safe, efficient, adequate, economical and properly co-ordinated Internal and International Air Transport Services to the general public.
1. Ins. by Act 49 of 1971, sec. 4 (w.e.f. 1-2-1972).
2. Subs. by Act 49 of 1971, sec. 4 (w.e.f. 1-2-1972).
3. Ins. by Act 49 of 1971, sec. 4 (w.e.f. 19-5-1971).