The Industries (Development And Regulation) Act, 1951
18E. Application of Act 7 of 1913
1[18E. Application of Act 7 of 1913 (1) Where the management of iii industrial undertaking, being a company as defined in the Indian Companies Act, 191322, is taken over by the Central Government, then, notwithstanding anything contained in the said Act or in the memorandum or articles of association of such undertaking.
(a) It shall not be lawful for the shareholders of such undertaking or any other person to Dominate or appoint any person to be a director of the undertaking-,
(b) No resolution passed at any meeting of the shareholders of such undertaking shall be given effect to unless approved by the Central Government:
(c) No proceeding for the winding tips of such undertaking or for the appointment of a receiver in respect thereof shall lie in any court except with the consent of the Central Government.
(2) Subject to the provisions contained in sub-section (1), and to the other provisions continued in this Act and subject to such other exceptions, restrictions and limitations, if any, as the Central Government by notification in the Official Gazette, specify, in this behalf, the Indian Companies Act, 19131, shall continue to apply to such undertaking in the same manner as it applied thereto before the issue of the notified order under section I8A.]
1. Ins. by Act 36 of 1953, sec. 13 (w.e.f. 01-10-1953).
2. See now the Companies Act, 1956 (1 of 1956).