PGB

PERFORMANCE BANK GUARANTEE


To,
Bank Guarantee No. :
Bank Guarantee Date :
Bank Guarantee Amount :Rs.
Bank Guarantee Expiry Date:

THIS DEED OF GUARANTEE made this _______ day of _________, 2007 by …………………………………………………………………….…… (mention name of the Bank) having head office at………………………….. and a branch office at………………………………… (hereinafter called the “Guarantor” or the “Bank”, which expression shall, unless repugnant to the context or meaning thereof includes its successors and assigns) in favour of ……………………………(name of the Company) having its registered office at __________________ and corporate office at Trade World, B-9, Kamala Mills Compound, Senapati Bapat Marg, Lower Parel, Mumbai – 400 013 (hereinafter called the “Buyer”, which expression shall, unless repugnant to the context or meaning thereof includes its successors and assigns).

WHEREAS M/s ………………………………, a company registered under the Companies Act, 1956 and having its Registered office at ___________________ ____________________________________________ (hereinafter referred to as the “Supplier”, which expression shall, unless repugnant to the context or meaning thereof includes its successors and assigns) was issued a Purchase Order No. / Letter of Intent ………………, dated ……………….. by the Buyer on the terms and conditions setforth in the said purchase order/letter of intent as modified from time to time (hereinafter referred to as the “Contract”), for supply of the goods as mentioned in the Contract for a total consideration of Rs………………..

AND WHEREAS in terms of the said Contract, the Supplier has agreed to furnish to the Buyer, the security by way of Bank Guarantee (hereinafter called the “Performance Guarantee”) by a nationalized bank for a sum of Rs…………….. (Rupees…………………………………………..only) being the amount equivalent to ……% of the value of the Contract, as security for due performance and compliance by the Supplier of its obligations in accordance with the Contract.

AND WHEREAS at the request of the Supplier, the Bank has furnished this Bank Guarantee in the manner hereinafter appearing.

NOW THE DEED WITNESSETH AS FOLLOWS:

1. For the valuable consideration received, the receipt and sufficiency of which is hereby acknowledged, the Guarantor hereby undertake and irrevocably and unconditionally guarantees to pay without any demur to the Buyer, on first demand, an amount not exceeding Rs…………………..(Rupees …………………only), without any protest or proof or satisfaction or without reference to the Contract or without the Buyer needing to prove or to show grounds or reasons for its demand for the sum specified therein, against any losses or damages caused to or suffered or would be caused to or suffered by the Buyer, by reason of non-fulfillment of the obligations of the Contract on the part of Supplier and further agrees to indemnify and keep the Buyer indemnified against all costs, charges and expenses whatsoever, which the Buyer may incur by reason of the Supplier failing to perform the obligations under the Contract.

2. The Guarantor hereby gives guarantee and declares that its liability under this Guarantee shall extend to the payment of the whole of and every part of the guarantee amount viz. Rs. ………………/- (Rupees …………………………only) paid by the Buyer to the Supplier as provided for in the said Contract.

3. Any demand so made on the Guarantor by the Buyer shall be conclusive as regards the amount due and payable by the Guarantor under the Guarantee. The Guarantor neither shall be entitled to any recourse to the Supplier nor shall be entitled to any defense or plea for any reason whatsoever to give effect to this Guarantee. To give effect to this Guarantee, the Buyer may act as though the Guarantor were principal debtors.

4. The Guarantor further agrees that the Buyer shall be the sole judge of whether the Supplier has committed any breach of any of the terms and conditions of the Contract and the extent of losses, damages, costs, charges and expenses suffered or incurred or would be suffered or incurred by the Buyer on account thereof.

5. Should it be necessary to extend the Guarantee beyond the date of expiry of this Guarantee on account of extension of the time being granted by the Buyer to the Supplier for the due fulfillment of the obligations under the Contract by the Supplier, the Bank undertakes to extend the period of this Guarantee until such time as may be reasonably required.

6. The Bank shall not revoke this guarantee during the currency except with the previous consent of Buyer and also agree that any change in the constitution of the Supplier or the Bank’s constitution shall not discharge the Bank’s liability hereunder.

7. This Guarantee shall not in any way be affected by the Buyer taking or varying or giving up any securities from the Supplier or any other person, firm or company on the Supplier’s behalf or by the winding up of the Supplier.

8. The Bank shall not be released from its obligations under these presents by any exercise by the Buyer of its liberty with reference to the matter aforesaid or any indulgence shown by the Buyer or by any other matter or thing whatsoever under the law would, but for this provision have the effect of releasing the Bank.

9. The Bank further agrees that no changes or addition to or other modification of the terms of the Contract or of the equipments to be supplied thereunder or any of the Contract documents, which may be made between the Buyer and the Supplier shall in any way release the Bank from any liability under this Guarantee and the Bank hereby waives notice of any such change addition or modification.

10. Buyer’s right to recover the said amount of Rupees ………………/- (Rupees ………………………………………….Only) from the Bank as aforesaid will not be affected or suspended by reason of the fact that any dispute or disputes have been raised by the Supplier and / or that any disputes or disputed matters are pending before any officer, tribunal or court or arbitration and any such demand made by Buyer shall be final and binding on the Bank.

11. Subject to the maximum limit of the Guarantor’s liability as aforesaid, this Guarantee will cover all the Buyer’s claim or claims against the Supplier from time to time arising out of or in relation to the Contract and in respect of which the Buyer’s demand or notice in writing be received by the Guarantor.

12. The Bank confirms that it has the power to issue this Guarantee in favor of Buyer and the issuance of this Guarantee has been duly authorised by the Bank and the undersigned has full power and authority to act for and on behalf of the Bank in respect of this Guarantee.

13. All cost and expenses incurred by Buyer in connection with this Bank Guarantee or the Bank’s obligation to pay hereunder, shall be borne by the Bank and shall be paid to Buyer promptly and not later than two business days of the date of demand made by Buyer.

14. This Guarantee shall remain in full force and effect during the period of currency of the Contract until Buyer discharges this Guarantee and shall remain in force upto____________ unless a demand is made on the Guarantor on or before the date of expiry of this Guarantee.

15. This Guarantee shall be governed by the laws of India and the Court in Mumbai shall have exclusive jurisdiction.

Notwithstanding anything contained herein :

(i) Our liability under this guarantee shall not exceed Rs. …………. (Rupees ……………………only). This bank guarantee shall be valid upto _________________.
(ii) The Guarantor shall be liable to pay the guaranteed amount or the reduced guarantee amount or any part thereof under this guarantee only and only if Buyer serves upon us a written claim or demand on or before __________________.

In witness whereof the Guarantor has executed these presents on the date and place above written.

Signed and delivered by the within named ……………….(name of the Bank) represented by its authorized representative (name and designation of manager executing the guarantee) in the presence of (witness).


Dated this _________ day of ____________

Indian Statutes/ Bare Acts

INDIAN STATUTES/BARE ACTS

--------------------------------------------------------------------------------

| A |B | C | D | E |F | G | H |I | J |K | L | M | N | O | P | Q | R | S | T | U |V |W |X | Y | Z |
THE ADMINISTRATION OF EVACUEE PROPERTY ACT, 1950
Additional Duties of Excise (Goods of Special Importance) Act
Additional Duties of Excise (Textiles and Textile Articles) Act
Additional Emoluments (Compulsory Deposit) Act
Administrative Tribunals Act
Administrative Tribunal (Amendment) Act
Administrators-General Act
Advocates Act
Advocates’ Welfare Fund Act
African Development Bank Act
African Development Fund Act
Agricultural and Processed Food Products Export Development Authority Act, 1985
Agricultural Produce (Grading and Marking) Act
Agriculturists' Loans Act
Aircraft Act
Airports Authority of India Act
Air Corporations (Transfer of Undertakings and Repeal) Act
Air Force Act
Air (Prevention and Control of Pollution) Act
Air (Prevention and Control of Pollution) Amendment Act
Ajmer Tenancy and Land Records Act
Aligarh Muslim University Act
All-India Council for Technical Education Act
All-India Institute of Medical Sciences Act
All-India Services Act
All-India Services Regulations (Indemnity) Act
Aluminium Corporation of India Limited (Acquisition and Transfer of Aluminium) Undertaking Act
Amritsar Oil Works (Acquisition and Transfer of Undertakings) Act
Anand Marriage Act
Ancient Monuments and Archaeological Sites and Remains Act
Ancient Monuments Preservation Act
Andhra Pradesh and Madras (Alteration of Boundaries) Act
Andhra Pradesh and Mysore (Transfer of Territory) Act
Andhra Pradesh Legislative Council Act, 2005
Andhra Scientific Company Limited (Acquisition and Transfer of Undertakings) Act
Andhra State Act
Anti-Apartheid (United Nations Convention) Act
Anti-Corruption Laws (Amendment) Act
Anti-Hijacking Act
Antiquities and Art Treasures Act
Apprentices Act
Arbitration and Conciliation Act
Architects Act
Armed Forces (Emergency Duties) Act
Armed Forces (Jammu and Kashmir) Special Powers Act
Armed Forces (Punjab and Chandigarh) Special Powers Act
Armed Forces (Special Powers) Act
Armed Forces Tribunal Act
Arms Act
Army and Air Force (Disposal of Private Property) Act
Arya Marriage Validation Act
Asian Development Bank Act
Asian Refractories Limited (Acquisition of Undertakings) Act
Asiatic Society Act
Assam (Alteration of Boundaries) Act
Assam Criminal Law Amendment (Supplementary) Act
Assam Municipal (Manipur Amendment) Act
Assam Reorganisation (Meghalaya) Act
Assam Rifles Act
Assam Rifle Act
Assam Sillimanite Limited (Acquisition and Transfer of Refractory Plant) Act
Assam University Act
Atomic Energy Act
Actquaries Act

consumer awareness

Important Information


CONSUMER PROTECTION ACT, 1986

INFORMATION RELATED TO MINISTRY OF CONSUMER AFFAIRS & PUBLIC ISTRIBUTION

PROCEDURE OF FILLING COMPLAINT

MODEL FORMS OF COMPLAINT

MODEL FORM OF APPEAL

INDIAN STANDARDS INSTITUTION (ISI)

MAJOR CONSUMER ORGANISATIONS

NATIONAL CONSUMER HELPLINE

MAJOR VOLUNTARY CONSUMER ORGANISATIONS IN INDIA & ABROAD

PREVENTION OF BLACKMARKETING AND MAINTENANCE OF SUPPLIES OF ESSENTIAL COMMODITIES ACT, 1980

THE CONSUMER PROTECTION RULES 1987

RENT AGREEMENT

RENT AGREEMENT

Note: This format has been prepared as applicable to flats. The word "flat" can be substituted with the type of property for which this document is being executed. Similarly, the name of the concerned authority can also be changed as applicable. For the sake of convenience, we have italicized such words.


This Rent Agreement is made on this __________ day __________ 20__ between Shri/Shrimati/Kumari __________ son/daughter of __________ resident of __________ (hereinafter called the Lessor/landlord of one part) and Shri/Shrimati/Kumari __________ son/daughter of __________ resident of __________ (hereinafter called the Lessee/Tenant of the other part).
The expression Lessor and Lessee will mean and include their heirs, successors, executors, administrators and assigns.
Whereas the Lessor is the owner and in possession of Flat No. __________ situated in the layout plan of the __________ __________ built on plot no. __________ hereinafter referred to as the demised premises and is desirous of letting out the said flat to the lessee and the lessee is ready and willing to take the same on rent from the Lessor on the terms and conditions herein contained.
Now, therefore, it is mutually agreed between the parties as under:
1.
That the Lessor has given on rent to the Lessee Flat no. __________ __________ known as __________ __________.
2.
That the tenant has financed the landlord towards the purchase of the said flat for which he will not be charging any interest and at the same time tenant shall not be paying any rent to the landlord for residing in the flat.
3.
That the lease shall be for _____ years and stand renewed automatically thereafter at the sole discretion of the Lessee and the Lessor shall have no option to cancel the lease.
4.
That the Lessor has handed over the actual and physical possession of the demised premises to the Lessee and the Lessee shall always enjoy the peaceful and uninterrupted possession of the demised premises.
5.
That the landlord shall have no objection if the tenant makes any additions or alterations in the existing flat. All maintenance and repair charges would be borne by the tenant. The lessee is authorized/not authorized to sub-let the demised premises to any person of his/her choice.
6.
That the Lessee shall be responsible and liable for the water/electricity charges and other dues in respect of the said flat during the tenancy period.
In witnesses whereof the Lessor and the Lessee have put in their respective signatures to this Agreement on the date and year first above written in the presence of the following witnesses:
Witnesses:
1. LESSOR
2. LESSEE

Petition_for_grant_of_Succession_Certificate

http://legalapproach.net/legal.php?nid=353
IN THE COURT OF THE SENIOR SUB JUDGE AT DELHI
IN THE COURT OF THE SENIOR SUB JUDGE AT
DELHI
……………………………………………………..…………
Applicant
Vs.
…………………………………………………………………
Respondent
In the matter of the grant of a Succession Certificate in respect of the
debts &
securities etc. of ………deceased under Section 372 of the Indian
Succession Act.
Sir,
The applicant begs to submit as under:
1. The place, date & time of the death of deceased :
2. Ordinary place of residence of the deceased and
if the ordinary place of residence of the deceased
is not situated within the jurisdiction of this Court;
the details of the properties of the deceased
situated within the jurisdiction of the Court. :
3. The names and full addresses of
near relatives of the deceased :
4. The right under which the applicant claims
for the grant of succession certificate. :




IN THE COURT OF THE SENIOR SUB JUDGE AT DELHI
5. Any impediment to the grant of succession
certificate or any other impediment under
Section 370 of Act 59 of 1929. :
6. Particulars and details of debts & securities etc. in
respect of which the certificate is to be granted. :
Verification:
Verified at…………………..on this …………………..day of
…………….….
the contents of para…………to…………..are true to my knowledge
and belief.
Signature of Applicant
and address

legal format

http://legalapproach.net/legal.php?nid=6

Building Excellence

“Managers are people who do things right, while leaders are people who do the right thing”
Building Excellence
Leaders do not command excellence, they build excellence. Excellence is "being all you can be" within the bounds of doing what is right for your organization. To reach excellence you must first be a leader of good character. You must do everything you are supposed to do. An organizations will not achieve excellence by figuring out where it wants to go, then having leaders do whatever they have to in order to get the job done, and then hope their leaders acted with good character. This type of thinking is backwards. Pursuing excellence should not be confused with accomplishing a job or task. When you do planning, you do it by backwards planning. But you do not achieve excellence by backwards planning. Excellence starts with leaders of good and strong character who engage in the entire process of leadership. And the first process is being a person of honorable character.
Waste no time arguing what a good man should be. Be one. - Marcus Aurelius
Character develops over time. Many think that much of a person's character is formed early in life. However, we do not know exactly how much or how early character develops. But, it is safe to claim that character does not change quickly. A person's observable behavior is an indication of her character. This behavior can be strong or weak, good or bad. A person with strong character shows drive, energy, determination, self-discipline, willpower, and nerve. She sees what she wants and goes after it. She attracts followers. On the other hand, a person with weak character shows none of these traits. She does not know what she wants. Her traits are disorganized, she vacillates and is inconsistent. She will attract no followers.
A strong person can be good or bad. A gang leader is an example of a strong person with a bad character, while an outstanding community leader is one with both strong and good characteristics. An organization needs leaders with both strong and good characteristics, people who will guide them to the future and show that they can be trusted.
Courage - not complacency - is our need today. Leadership not salesmanship. - John F. Kennedy
To be an effective leader, your followers must have trust in you and they need to be sold on your vision. Korn-Ferry International, an executive search company, performed a survey on what organizations want from their leaders. The respondents said they wanted people who were both ethical and who convey a strong vision of the future. In any organization, a leader's actions set the pace. This behavior wins trust, loyalty, and ensures the organization's continued vitality. One of the ways to build trust is to display a good sense of character composed of beliefs, values, skills, and traits:
Beliefs are what we hold dear to us and are rooted deeply within us. They could be assumptions or convictions that you hold true regarding people, concepts, or things. They could be the beliefs about life, death, religion, what is good, what is bad, what is human nature, etc.
Values are attitudes about the worth of people, concepts, or things. For example, you might value a good car, home, friendship, personal comfort, or relatives. Values are important as they influence a person's behavior to weigh the importance of alternatives. For example, you might value friends more than privacy, while others might be the opposite.
Skills are the knowledge and abilities that a person gains throughout life. The ability to learn a new skill varies with each individual. Some skills come almost naturally, while others come only by complete devotion to study and practice.
Traits are distinguishing qualities or characteristics of a person, while character is the sum total of these traits. There are hundreds of personality traits, far too many to be discussed here. Instead, we will focus on a few that are crucial for a leader. The more of these you display as a leader, the more your followers will believe and trust in you.
Traits of a Good Leader
Compiled by the Santa Clara University and the Tom Peters Group:
Honesty - Display sincerity, integrity, and candor in all your actions. Deceptive behavior will not inspire trust.
Competent - Your actions should be based on reason and moral principles. Do not make decisions based on childlike emotional desires or feelings.
Forward-looking Set goals and have a vision of the future. The vision must be owned throughout the organization. Effective leaders envision what they want and how to get it. They habitually pick priorities stemming from their basic values.
Inspiring - Display confidence in all that you do. By showing endurance in mental, physical, and spiritual stamina, you will inspire others to reach for new heights. Take charge when necessary.
Intelligent - Read, study, and seek challenging assignments.
Fair-minded - Show fair treatment to all people. Prejudice is the enemy of justice. Display empathy by being sensitive to the feelings, values, interests, and well-being of others.
Broad-minded - Seek out diversity.
Courageous - Have the perseverance to accomplish a goal, regardless of the seemingly insurmountable obstacles. Display a confident calmness when under stress.
Straightforward - Use sound judgment to make a good decisions at the right time.
Imaginative - Make timely and appropriate changes in your thinking, plans, and methods. Show creativity by thinking of new and better goals, ideas, and solutions to problems. Be innovative!

Usurious Interest Rates on Credit Cards

http://legalapproach.net/blog/
National Consumer Forum on 07.07.2008, in “Awaz” vs. American Express Bank Ltd. held that the rapid expansion of banking facilities and of access to credit facilities and on the other hand, it has led, as a result of the aggressive marketing practices adopted, especially, by the banks, which induce the unsuspecting customers to take loans, in one form or the other, for purchasing consumer goods and durables even when they are not quite needed. This makes these consumers debtors forever. Such indebtedness results in constant tension to repay the loans and the “EMIs” – at times well beyond the borrowers’ / debtors’ repaying capacity. The ill effects of unaffordable EMIs are now being highlighted in the print and other media almost daily. In the case of motor vehicle loans, for example, the debtor / borrower is under constant tension that if he fails to pay one or two instalments, he would receive threats from the so-called “recovery agents” of the banks. The RBI has permitted the banks to appoint “recovery agents” on contract, without perhaps fully appreciating the implications that these “recovery agents” are usually musclemen, employing whom increases nothing but goondaism—(2)(a) Whether banks can charge the credit card users interest at rates ranging from 36% to 49% per annum if there is any delay or default in payment within the time specified?—-(b) Whether interest at the above-stated rates amounts to charging usurious rates of interest?—HELD THAT—prima facie, charging of interest at rates ranging from 36% to 49% p.a. is exorbitant and amounts to exploitation of the borrowers / debtors and is usurious.

labour laws

CLOSURE
PROVISIONS AND PROCEDURE

Subject is governed by Chapter-V-B for units employing more than 100 workmen on an average during the previous twelve months respectively.

‘Closure’ means permanent closing down of a place of employment or part thereof. [section 2(cc)]. The total physical shut-down on permanent basis is the only requirement. The ‘motive’ or mens-rea is wholly irrelevant so long as shut-down is permanent, final and irrevocable.


PROCEDURE FOR CLOSING DOWN AN UNDERTAKING (Section 25-O)

A. The closure does not by itself bring about termination of services of the employees because the contract of service does not automatically stand terminated just because the company stops its activities. In order to terminate services, it is absolutely necessary that a Notice is given to the employees whose services are desired to be terminated. The Notice of termination may be given individually or collectively but a notice is a must
(1) An employer who intends to close down an undertaking of an industrial establishment to which this Chapter applies shall, in the prescribed manner, apply, for prior permission at least 60 (sixty) days before the date on which the intended closure is to become effective, to the appropriate Government in Form QA or where notice has been given to employees in Form QB (Section 25FFA) (Rule 75-C)
The notice as the case may be, application shall be made in triplicate. The failure to give such Notice attracts penalty of imprisonment for a term upto 6 months or fine upto Rs. 5000/- or both under Section 30 A of the Act.
(2) Notice should clearly state the reasons for the intended closure of the undertaking and a copy of such application shall also be served simultaneously on the representatives of the workmen in the prescribed manner.
(3) Every workman who has been in continuous service for not less than 12 months, immediately before the closure, is entitled to:
a) The prescribed notice, and
b) Compensation as if he had been retrenched.
(4) If the closure is on account of ‘unavoidable circumstances beyond the control of the employer’; The compensation is not to exceed his average pay for 3 months.
(5) The phrase ‘unavoidable circumstances beyond the control of the employer’ does not include:

(a) Financial difficulties including financial
(b) losses, Accumulation of unsold and unutilized stocks,
(c) The expiry of the period of lease or the license granted to it

(6) These special provisions also apply to only those workmen whose names are on the muster-rolls of the industrial establishments.

(7) Where an application for permission has been made, the appropriate Government, after making such enquiry as it thinks fit and after giving a reasonable opportunity of being heard to the employer, the workmen and persons interested in such closure may, having regard to the genuineness and adequacy of the reasons stated by the employer, the interests of the general public and all other relevant factors, by order and for reasons to be recorded in writing, grant or refuse to grant such permission and a copy of such order shall be communicated to the employer and the workmen.
(8) Where the appropriate Government does not communicate the order granting or refusing to grant permission to the employer within a period of 60 (sixty) days from the date on which such application is made, the permission applied for shall be deemed to have been granted on the expiration of the said period of sixty days.
(9) An order of the appropriate Government granting or refusing to grant permission shall, be final and binding on all the parties and shall remain in force for 1 (one) year from the date of such order.
(10) The appropriate Government may, either on its own motion or on the application made by the employer or any workman, review its order granting or refusing to grant permission or refer the matter to a Tribunal for adjudication:
Provided that where a reference has been made to a Tribunal under this sub-section, it shall pass an award within a period of thirty days from the date of such reference.
(11) Where no application for permission is made within the period specified therein or where the permission for closure has been refused, the closure of the undertaking shall be deemed to be illegal from the date of closure and the workmen shall be entitled to all the benefits under any law for the time being in force as if the undertaking had not been closed down.
(12) Notwithstanding anything contained in the foregoing provisions of this section, the appropriate Government may, if it is satisfied that owing to such exceptional circumstances as accident in the undertaking or death of the employer or the like it is necessary so to do, by order, direct that the provisions shall not apply in relation to such undertaking for such period as may be specified in the order.
(13) Where an undertaking is permitted to be closed down or where permission for closure is deemed to be granted, every workman who is employed in that undertaking immediately before the date of application for permission under this section, shall be entitled to receive compensation which shall be equivalent to 15 (fifteen) days' average pay for every completed year of continuous service or any part thereof in excess of six months.

FORM QA
(To be submitted in triplicate)
[SEE RULE 75C (1)]

Form of notice for permission of closure to be given by an employer under sub-section
(1) of Section 25-O of the Industrial Disputes Act, 1947 (Act 14 of 1947).

Date__________

To
The Secretary to Government, Punjab,
Labour Department, Chandigarh

Sir,

1. Under Section 25-O of the Industrial Disputes Act, 1947 (Act 14 of 1947), I/We hereby inform you that I/we propose to close down the undertaking specified below of (Name of the Industrial establishment) (Give details of the undertaking).

2. with effect form________________ for the reasons explained in the Annexure.

3. The number of workmen whose services will be terminated on account of the closure of the undertaking is ______________ (number of workmen).

4. Permission is solicited for the proposed closure.

5. I/we hereby declare that in the event of approval for the closure being granted, every workmen in the undertaking to whom sub-section (7) of the said Section 25-O applies will be given notice and paid compensation as specified in Section 25-N of the Industrial Disputes Act, 1947 (Act 14 of 1947), as if workman had been retrenched under that section.
Yours Faithfully,
For …………………………..



ANNEXURE
(Please give replies against each item)
Item No.
1. Name of the undertaking with complete
postal address, including telegraphic
address and telephone number.
2. Status of undertaking :-
(i) Whether Central public sector/ State public sector /foreign majority company/ joint sector, etc.
(ii) If belongs to large industrial house, please indicate the controlling group; and if a foreign majority company, indicate the extent of foreign holdings.
(iii) Whether the undertaking is licensed /registered and if so, name of licensing / registration authority and licence/ registration certificate numbers.
3. The total number and categories of workmen affected by the proposed closure, along with addresses of the workmen and the details of wages drawn by them.
4. Product/products of the undertaking
5. Details relating to installed capacity, licensed capacity and utilised capacity.
6. (i) Annual production, item-wise for preceding three years.
(ii) Production figures, month-wise, for the preceding twelve months.
7. Work in progress-item-wise and value-wise.
8. Any arrangement regarding off-loading or sub-contracting of products or any components thereof.
9. Details of persons or the organization to whom the job(s) is (are) being entrusted Relationship / interest of the persons / organizations with the director(s) for the officer(s) of the company.
10. Position of the order book item wise and value-wise for a period of six months, and one year next following, and for the period after the expiry of the said one year.
11. Number of working days in a week with number of shifts per day and strength of workmen per each shift
12. Balance sheets, profit and loss accounts and audit reports for the last three years.
13. Financial position of the company.
14. (i) Names of the inter-connected companies or companies under the same management.
(ii) Details about inter corporate investments and changes during the last one year
(iii) Interest of any of the directors / officers of the undertaking producing same or similar type of product.
15. Percentage of wages of workmen to the total cost of production
16. Administrative, general and selling cost in absolute terms per year in the last three years and percentage thereof to the total cost.
17. Inventory position item-wise and value-wise for the preceding twelve months (Inventories to be shown in respect of finished products, components and raw materials to be shown separately item-wise and values-wise)
18. Selling arrangement for the last three years and any change in the selling arrangement in the preceding twelve months
19. Full details of the interest of the directors and officer of the company in the organization/persons involved in selling products of the undertaking.
20. Buying arrangements for raw materials and components.
21. Interests of the directors and officers with the organization/persons involved in buying raw materials and components for the undertaking
22. Annual sales figures for the last three years and month-wise sales figures for the preceding twelve months both item-wise and value-wise
23. Reasons for the proposed closure thereof
24. Any specific attempts made so far to avoid the closure.
25. Any other relevant factors with details thereof
*Strike out whatever is inapplicable.]
Yours Faithfully,
For ………………………………

Labour Laws

LAY-OFF PROVISIONS AND PROCEDURE

Provisions:

What are Chapter-V-A and Chapter-V-B?

Subject is governed by Chapter-V-B for units employing more than 100 workmen on an average during the previous twelve months respectively.

Notwithstanding these stipulations, we proceed as under:
1. WHO CAN BE LAID OFF: “workman” within the meaning of the term workman under the Act. Farther, as provided in the Explanation to Section 2 (kkk), the workman whose name is born on the muster roll of the Employer and presents himself in the prescribed manner for the work, can be laid off.
2. Lay-off Definition Section 2 (kkk)
The definition of lay-off as given in Section 2 (kkk) makes it abundantly clear that the unemployment must have resulted on account of a cause which is independent of any action or inaction on the part of the workman.
Refusal to Give Work :The Employer’s refusal to give work must be for:

a. shortage of coal
b. shortage of power (Electricity)
c. shortage of raw material
d. accumulation of stocks
e. break down of machinery
f. Natural calamity - Force-Major and any other connected reason

3. Sec. 25 (2) states that the State decides as to which industries are “seasonal” in nature. Since we are not concerned with this aspect, we let that be!

4. Sec. 25-B defines the concept of “continuous service” and stipulates the way in which it should be counted.

5. Sec. 25-C states that the “laid-off” workmen are entitled to receive 50% of their Basic + DA as “Lay-Off Compensation” during the period of lay-off. It further states that if the “lay-off” continues for more than 45 days in any period of twelve months, then the Employer will be eligible to stop payment of lay-off compensation to the laid-off workmen (if there is an agreement to that effect between the workmen and the Employer) OR RETRENCH such workmen following provisions of Sec 25F and other provisions (if applicable). Workman who is Badli or Casual will not be entitled to the lay-off compensation.

6. Sec. 25-D casts a responsibility on the employers to maintain “Muster Roll” for the workmen it employs. This is often done by requirements of other legislation also, hence not critical if it is complied with anyway!

7. Sec. 25-E outlines contingencies when a workman may not be entitled to “compensation”. Sec. 25 E (ii) further empowers the Employer to insist that the laid-off workmen present at the Factory each day at least once at the appointed time to be eligible Lay-Off Compensation. (But this provision is NOT mandatory in as much as the Employer may exempt the workmen from such a requirement at his volition.)

8. Sec. 25-F to Sec. 25-J are not concerned with any “Lay-Off” situation, hence are not commented upon.

9. Sec 25 M Establishments employing 100 or more workmen, as in their case, prior approval of Appropriate Government is necessary u/s 25M(1).

PROCEDURE: (Industrial Disputes (Punjab) Rules 1958)

1. Crystallize the reasons why the Company has to resort to “Lay-Off” and prepare a “statement of reasons” for the lay-off, to be annexed to the “lay-off” notice, unless such layoff is due to shortage of power or to natural calamity, and in the case of a mine, such layoff is due also to fire, flood, excess of inflammable gas or explosion

2. Identify the areas and the number of people who are found to be “surplus” to our requirements in the foreseeable future necessitating “lay-off”.

3. Rule 74-A & B: It is a requirement of law that the employer in this case Application for permission to the State Government of Haryana for permission to lay off shall be made in Form O-3 (Section 25M) either personally or registered post acknowledgement due WITHIN 7 (SEVEN) days of the commencement of “lay-off” and WITHIN SEVEN days of lifting the “lay-off’. The statutory FORMATS of both these NOTICES are enclosed.

4. The application for permission shall be made in triplicate and sufficient number of copies of the application for service on the workmen concerned shall also be submitted along with the application.

5. The employer concerned shall furnish to the authority to whom application for permission has been made such further information as the authority considers necessary for arriving at a decision on the application, as and when called for by such authority.

6. Where an application for permission has been made, the appropriate Government or the specified authority, after making such enquiry as it thinks fit and after giving a reasonable opportunity of being heard to the employer, the workmen concerned and the persons interested in such layoff, may, having regard to the genuineness and adequacy of the reasons for such layoff, the interests of the workmen and all other relevant factors, by order and for reasons to be recorded in writing, grant or refuse to grant such permission and a copy of such order shall be communicated to the employer and the workmen.

7. Where an application for permission has been made and the appropriate Government or the specified authority does not communicate the order granting or refusing to grant permission to the employer within a period of 60 (sixty) days from the date on which such application is made, the permission applied for shall be deemed to have been granted on the expiration of the said period of 60 (sixty) days.

8. Where no application for permission is made within the period specified therein, or where the permission for any layoff has been refused, such layoff shall be deemed to be illegal from the date on which the workmen had been laid off and the workmen shall be entitled to all the benefits under any law for the time being in force as if, they had not been laid off.

9. An order of the appropriate Government or the specified authority granting or refusing to grant permission shall, be final and binding on all the parties concerned and shall remain in force for one year from the date of such order.

10. Where the permission to lay off has been granted by the said authority, the employer concerned shall give to the Labour Commissioner, Haryana, Chandigarh notice of commencement and termination of such layoff in Form O1 and O2 respectively, within the 7 days of such commencement or termination, as the case may be.

11. In the first instance the lay-off can continue upto 45 days from commencement. If the exigencies require the “lay-off” may be converted into “retrenchment” at the end of 45 days by following Sec. 25F and the other applicable provisions (if any) on the subject and the “lay-off” compensation paid so far could be adjusted against the Retrenchment Compensation.

12. In short, we have to prepare following documents to effect the proposed “lay-off”

i. NOTICE of Lay-Off in FORM O-1 complete with the “Statement of Reasons” for the Lay-Off.

ii. NOTICE to be put up on the company NOTICE BOARDS informing employees about the fact of “lay-off” along with the reasons and exigencies etc., the mode of payment of “Lay-Off Compensation”, and whether it would be essential for the affected workmen to attend work to become eligible to receive lay-off compensation.

iii. All notices required to be given under this Standing Order shall be displayed on notice-boards at the time-keeper’s office and at the main entrance to the establishment.

iv. Letters to the Individual Workmen informing that they have been laid-off and the reasons thereof, and the facts of the NOTICE referred above.

v. NOTICE of ending the Lay-Off in FORM O-2.

vi. Application in Form O-3 for seeking prior approval from Haryana Govt.

vii. Appropriate Returns under the “Collection of Statistics Act”

13. Once the lay-off becomes a reality, the company should review the situation from time to time with a view to end the lay-off as early as possible.

14. As per Sec 25D, to maintain the Muster Roll and make facilities available to workmen to make entry when laid off. This is the record that enables the employer to compute the amount of lay-off compensation.

15. As per Section 25C, the “laid-off” workmen shall be paid by the employer for all days during which he is so laid off, except for such weekly holidays as may intervene, compensation which shall be equal to 50% of their Basic + DA as “Lay-Off Compensation that would have been payable to him had he not been so laid off.

16. However, if better terms of payment of lay-off are in the contract of employment then the workmen is entitled to payment in terms of contract of employment or standing orders.

17. If the employer and the workman comes to an agreement to the effect that no lay-off compensation will be payable after 45 days, if the lay-off period goes beyond 45 days.

18. It must remembered that the “Lay-Off” is TEMPORARY SUSPENSION of CONTRACT OF EMPLOYMENT and therefore the Employer-Employee Relationship CONTINUES and the service related benefits will continue to accrue to the affected workmen.

Once the above steps are meticulously implemented, the process of effecting a “Lay-Off” is complete.


19. In a period of 12 months, if lay-off lasts for more than 45 days, no compensation is required to be paid and the employer is free to retrench his workmen. No doubt only after passing retrenchment and complying with the provisions of Section 25F of the act, the employer is given liberty to set-off the lay-off compensation paid during the preceding 12 months against the retrenchment compensation payable to workmen (section 25C).

20. ‘Closure’ means permanent closing down of a place of employment or part thereof. [section 2(cc)]. - - Thus, closure can be of part of establishment also. - - 60 days notice should be given for closure to Government, if number of persons employed are 50 or more [section 25FFA]. Compensation has to be given as if the workman is retrenched. [section 25FFF(1)]. - - If number of workmen employed is 100 or more, prior permission of Government is necessary for closure u/s 25-O.



FORM O-1
(See Rule 74-A)

To

The Commissioner of Labour, Haryana
Chandigarh.

Dear Sir,

1. Under Rules 74-A of the Industrial Disputes (Punjab) Rules, 1958, I / We hereby inform you that I / We laid off___________ out of a total of _____________ workmen employed in the establishment, with effect from ______________ for the reasons explained in the Annexure.

2. Such of the workmen concerned as are entitled to compensation under section 25-C of the Industrial Disputes Act, 1947 will be paid compensation due to them.

Yours Faithfully,
For …………………………



(…………………………………….)


Copy forwarded to:
a.) Deputy Commissioner of Labour/ The Assistant Commissioner of Labour,
b.) Conciliation Officer (here specify the address of the Deputy Commissioner of Labour)
c.) Assistant Commissioner of Labour, (or as the case may be, the Conciliation Officer.)

ANNEXURE
Statement of Reasons.

------------------------






FORM O-2
(See Rules 74-A)

To
The Commissioner of Labour, Haryana
Chandigarh.

Sir,

As required by Rules 74-A of the Industrial Disputes (Punjab) Rules, 1958, and in continuation of my/our notice dated ___________ in Form O-1,

I / We hereby inform you that the lay-off in my/our establishment has ended on ________

Yours Faithfully,
For …………………….



(……………………………..)


Copy forwarded to:
a.) Deputy Commissioner of Labour/ The Assistant Commissioner of Labour,
b.) Conciliation Officer (here specify the address of the Deputy Commissioner of Labour)
c.) Assistant Commissioner of Labour, (or as the case may be, the Conciliation Officer.)














FORM O-3
(To be submitted in triplicate with additional number of copies for service on the workmen concerned)
[See Rule 74-B (1)]
Form of application for permission to lay-off/to continue the lay-off of workmen in Industrial Establishments to which provisions of Chapter V-B of the Industrial Disputes Act, 1947 (14 of 1947) apply
To,
………………………..................
..……………………..................
……………………….................
[The authority specified under sub-section (I) of Section 25-M]
Dear Sir,
Under *sub-section (1)/sub-section [(2)] of Section 25-M of the Industrial Disputes Act. 1947 (14 of 1947) read with sub-rule (1) of Rule 74-B of the Industrial Disputes (Punjab) Rules, 1958. I/we hereby apply for permission to the lay-off/per- mission to continue the lay-off of …………………………………..workmen of a total of…………………….. workmen employed in my/our establishment with effect from…………………for the reasons set out in the Annexure.
Permission is solicited for the lay-off/to continue the lay-off of the said workmen.
Such of the workmen permitted to be laid-off will be paid such compensation , if any , to which they are entitled under sub-section [(6)] of Section 25-M read with Section 25-C of the Industrial Disputes Act, 1947 (14 of 1947).
Yours faithfully
For ……………………………….


(Signature)

*Strike out whatever is inapplicable.


ANNEXURE
(Please give replies against each item)
Item No.
1. Name of the undertaking with complete
postal address, including telegraphic
address and telephone number.

2. Status of undertaking :-
(i) Whether Central public sector/ State public sector /foreign majority company/ joint sector, etc.
(ii) If belongs to large industrial house, please indicate the controlling group; and if a foreign majority company, indicate the extent of foreign holdings.
(iii) Whether the undertaking is licensed /registered and if so, name of licensing / registration authority and licence/ registration certificate numbers.

3. (a) *Names and addresses of the affected workmen proposed to be laid-off/names and addresses of the workmen laid-off before the commencement of the industrial disputes ( Amendment ) Act, 1976 ( 32 of 1976 ) and the Dates from which each of them has been laid-off.
(b) The nature of the duties of the workmen referred to in sub-item (a), the units/ sections / shops where they are or were working and the wages drawn by them.

4. Product/products of the undertaking

5. Details relating to installed capacity, licensed capacity and utilised capacity.

6. (i) Annual production, item-wise for preceding three years.
(ii) Production figures, month-wise, for the preceding twelve months.

7. Work in progress-item-wise and value-wise.

8. Any arrangement regarding off-loading or sub-contracting of products or any components thereof.

9. Position of the order book-item-wise and value-wise for a period of six months, and one year next following, and for the period after the expiry of the said one year.

10. Number of working days in a week with the number of shifts per day and the strength of workmen per each shift.

11. Balance sheets, profit and loss accounts and audit reports for the last three years.

12. Financial position of the company.

13. Names of the inter-connected companies or companies under the same management.

14. The total number of workmen (category-wise), and the number of employees other than workmen as defined under the Industrial Disputes Act, 1947 (14 of 1947), employed in the undertaking.

15. Administrative, general and selling cost in absolute terms per year in the last three years and percentage thereof to the total cost.

16. Details of lay-offs resorted to in the last three) years (other than the lay-off for which permission is sought), including the periods of such lay-offs, the number of workmen Involved in each such lay-off and the reasons thereof.

17. Anticipated savings due to the *proposed layoff / lay-off for the continuance of which permission is sought.

18. Any proposal for effecting savings on account of reduction in -
(i) Managerial remuneration,
(ii) Sales promotion cost, and
(iii) General administration expenses.

19. Position of stocks on last day of each of the months in the preceding twelve months.

20. Annual sales figures for the last three years and month-wise sales figures for the preceding twelve months both item-wise and value-wise.

21. Reasons for the *proposed lay-off / lay-off for the continuance of which permission is sought

22. Any specific attempts made so far to avoid the *proposed lay-off flay-off for the continuance of which permission is sought.

23. Any other relevant factors with details thereof

*Strike out whatever is inapplicable.]
Yours Faithfully,
For …………………………








Draft Notice to be put up on Company Notice Board

The company regrets to inform all concerned that owing to ……… ……… ……… …… ……… …………… ………… ……………… ……………… …………… …………… …………… ……………… …………… ……………… ………… ……………… ………… ……………… ………… …………………… ………… ……….. that it is virtually impossible to continue to employ any number of people on an on going basis.
The Company, in conformity to the legal stipulations under Industrial Disputes Act 1947 and the rules thereunder, has decided to effect Lay-Off at the factory with effect from the first shift of ……….. . The employees/contract labour that will be affected by the said lay-off will be laid off will be eligible to receive “lay-off compensation” @ 50% of monthly wages, as provided under the said law. Presently the lay-off is likely to continue upto ………………. And unless the situation improves satisfactorily, it may have to be extended by such period as may be deemed necessary that the relevant point of time.
To be eligible to receive lay-off compensation each workman will have to report at the factory each day except the weekly off day and sign a register provided at the security gate for the purpose.
Notices of continuance or discontinuance of lay-off will be displayed at the security gate from time to time. The first payment of lay-off compensation to eligible workmen will be made along with the wage for the days worked, on the day of wage disbursement.
Please note that all legal formalities have been duly completed. The company regrets the situation and the necessity to resort to lay-off, but is entirely helpless in the matter. It is in the larger interests of all of us that the company survives and prospers ahead of us. Therefore co-operation of all is earnestly solicited.


Yours sincerely,
For ……………………

HR Forms

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Checklist - Private Limited Company in India

Company Name:

For the Period:

Minutes Prepared By:

Minutes Reviewed By:


FOR THE FINANCIAL YEAR:

Compliance Checklist for Secretarial Audit: Private Company

S.No
Particulars



1.
Status of Company
Complied (Yes/No)
Remarks
Remarks of Supervisor

Private Company
¨ Check whether the company has a minimum paid up capital of Rs. 1.00.000/-
¨ In case of an existing Private company this requirement is to be complied with in a period of two years from the commencement of the Companies (Amendment) Act, 2000.i.e 13/12/2000.
¨ Company’s Articles contain provisions-
· Restricting the right to transfer its shares
· Limiting the number of members to 50
· Prohibiting any invitation to public to subscribe its shares/ debentures and prohibiting any invitation or acceptance of deposits from persons other than its members, directors or their relatives

Holding Company
¨ Check whether one of them controls the composition of Board of Directors.
¨ Check whether one of them controls more than half of the total voting power or holds more than half in nominal value of its equity share capital
¨ Check whether one of them is a subsidiary of the other’s subsidiary.



2
Meetings of Directors and Minutes




¨ Check whether the requisite number of Board meetings as required u/s 285 of the Companies Act, 1956 were held during the year.
¨ Check whether Notice of each Board Meeting in writing was issued to all the Directors.

¨ Check whether Attendance records are maintained and the requirement of Board meeting regarding quorum, Chairman, minutes etc. have been complied with.
¨ Check whether the items required to be transacted at the meeting of the Board were actually transacted at the meeting and not by way of resolution by circulation or otherwise.
¨ Check Whether every Director has disclosed his interest (direct or indirect) at the Board meeting in which transaction is considered.
¨ Notice of disclosure of General Interest u/s 299 have been received from all the directors, before the close of the financial year and placed before and read at the next Board meeting and the entries thereof have been made in the register u/s 301 and noted by the board and renewed every year.
¨ Check whether the Board has constituted any committee and whether requirement regarding quorum, Chairman, minutes etc of committee meeting were duly complied.
¨ Check whether the Minutes of Committee Meeting were regularly placed before the Board for taking note of.
¨ Check whether the draft resolution proposed to be passed by circulation together with necessary papers were circulated to all the Directors in India and their number was not less than the quorum fixed for Board Meeting and to all other directors at their usual address in India.
¨ Check whether the resolution by circulation was approved by requisite number of Director as required u/s 289 of the Companies Act, 1956.
¨ Check whether the resolution passed by circulation were put up at the next Board meeting for taking note of.




3
Minutes Books of Board Meeting




¨ Check Whether Minutes Books for Board and committee Meetings are maintained in accordance with the provisions Section 193
¨ Check whether the proceeding of each meeting are entered within 30 days of the meeting.
¨ Check Whether each page of the Minutes Books is consecutively numbered.
¨ Check Whether each page of Individual Minutes is duly initialed or signed and the last page of each such Minutes is dated and signed by the Chairman of the same meeting or of the next succeeding meeting thereof.
¨ Check whether names of Directors present at the meeting are recorded in the minutes.
¨ Check whether the leave of absence granted is recorded
¨ Check whether the nature of interest of a Director in any transaction is being disclosed to the Board.
¨ Check whether Minutes have not been attached or pasted to the Minutes book.
¨ Check whether Minutes are maintained in loose leaf form if so whether safe guards against manipulation have been taken and the leaves are bound at reasonable intervals, i.e. 6 months/1 Year
¨ Check whether the fact that the documents or drafts placed before the meeting is recorded in the minutes.




4
General Meetings and Minutes




(a) Annual General Meeting
¨ Check whether the first AGM was held within 18 months from the date of Incorporation of the company.
¨ Check whether subsequent AGM have been held in each year (calendar year) and the gap between two successive AGM has not been more than 15 months or the period extended by the ROC.
¨ Check whether the provisions of sec 210 have been complied with.
¨ Check whether meetings have been called during business hours on a day not being a public holiday and held at the registered office of the company or at any place in the same city, town or village.
¨ Check whether the provisions of sec 171 to sec 193 and other requirement e.g. notice, quorum, Chairman etc were complied with. (subject to Section 170)
(b) Sending of Notice etc to members.
¨ Check whether a copy of Balance sheet, auditors report, Board report along with a copy of the Compliance Certificate and other specified documents including notice of meeting were sent to Members, trustees of debentures holders, auditors etc. free of cost at least 21 clear days before the meeting.
¨ If sent less than 21 clear days before the meeting whether such shorter period was agreed to by all the members.




(c) Minutes Books of Proceeding of Extra Ordinary General Meeting.
¨ Check whether Minutes Books are properly maintained.
¨ Check whether the proceedings of each general meeting have been entered within 30 days of the meeting.
¨ Check whether the pages of the minutes book are consecutively numbered. Each page is duly initialed and signed and the last page of the record of the proceeding of each meeting is dated and signed by the chairman of the meeting within 30 days of the meeting.
¨ Check whether in the event of death/ inability of the chairman to sign minutes of the general Meeting, the Board resolution has been passed authorizing any director to sign within that period.
¨ Check whether the Minutes are not attached or pasted. All erasures or alteration are duly authenticated.
¨ Check whether the Minutes are maintained in loose leaf form, If so whether safeguard against manipulation have been taken and the page are bound at reasonable intervals.
¨ Check whether the Minutes Books have been kept at the registered office of the company and kept open during business hours for inspection of members without any charge during business hour subject to such reasonable restriction as the Company may impose through its AOA or in general meeting.
¨ Check whether requirement relating to notice, attendance, Chairman, quorum, proxy, proxy register etc have been complied with.




5
Registers and Records




(a) Register of Investment u/s 49
¨ Check whether all investment of the Company are held in the name of the Company.
¨ Check whether if any investment are not held by the Company in its own name as allowed by sub-section (2),(3),(4) or(5); whether register of investment not held in company’s name has been maintained and the particulars such as nature, value and such other particulars as may be necessary fully to identify the shares or securities in question and the bank or person in whose name or custody the shares or securities are held have been entered therein.
¨ Check whether the register is kept open for inspection be any member or debenture holder without charge, during the business hours, subject to reasonable restrictions as may be imposed by the Articles of Association.




(b) Register of Charges u/s 143
¨ Check whether all charges specifically affecting the property of the company and all floating charges on the undertaking or on any property of the company have been entered in the register giving, in each case, the particulars prescribed in sec 143(1)
(i) A short description of the property charged.
(ii) The amount of charge
(iii) Except in case of security of bearer, the names of the persons entitled to the charge.
¨ Check whether copies of instruments creating charges kept in pursuance of Sec 136 and the register of charge kept in pursuance of sec 143 are kept open for inspection as provided in sec 144 by any member or creditor without fee, and by any other person on payment of Rs 10/- or such other fee as may be prescribed, during business hours on such reasonable restrictions as imposed by the general meeting.





(c) Register of Member u/s 150
¨ Check whether separate register for each class of shares are maintained in the format as prescribed under rule 7 of the companies (Issue of share certificate) Rule, 1960.
¨ Check whether entries in the Register authenticated by the secretary or any other person authorized by the Board for the purpose of sealing and signing share certificate.
¨ Check whether declaration made to accompany u/s 187C (1), (2) or (3) has been noted in its register of member within 30 days from receipt of declaration.
¨ Check whether the index of member is maintained unless the register of member is in such form as in its self constitutes an index, where the company has more than 50 members. The index can be in the form of card index.
¨ Check whether every change made in the register of members has also been recorded in the index within 14 days.
¨ Check whether list of beneficial owners (in case of shares held in depository) is also kept by the company.

(e) Register of Particulars of Contracts in which Directors are interested u/s 301
¨ Check whether the register is being properly maintained by entering separately particulars as prescribed u/s 301(1) of all contracts or arrangements to which sec 297 or 299 applies.
¨ Check whether the names of the directors voting for or against the contract or arrangement and the names of those remaining neutral are recorded.
¨ Check whether the entries have been made within 7 days from the date or contract or arrangement was made. If the Company’s paid-up share capital is Rs one crore or more check whether the previous approval of the central Government has been obtained for entering into contracts.
¨ Check whether the register specifies in relation to each Director the names of firm and bodies corporate of which notice has been given by him u/s 299(3)
¨ Check whether the register has been signed by the Directors present at the Board meeting in which the contracts were considered.
¨ Check whether where the above contracts and / or arrangements have been approved by members in their general meeting, the register is maintained and signed in accordance with the terms of the resolution thereat.
¨ Check whether the register is maintained at the register office of the Company and is kept open for inspection and extracts and copies are permitted to be taken or are given to the members in the same manner and on payment of the same fee as in case of Register of members.

(f) Register of Directors, Managing Director, Manager and Secretary u/s 303
¨ Check Whether the necessary particulars prescribed in Sec 303(1) and changes therein have been entered in respect of every Director, managing director, manager or secretary
¨ Check Whether the names and particulars of Companies nominating directors have been entered in the register.
¨ Check Whether the register is kept at the Registered office of the Company and is kept open for inspection by member free of Charge and by outsiders on payment of fee of Rs. 1/-during business hours subject to such reasonable restriction as the company may by its articles or in general meeting impose.

(g) Register of Director’s Shareholding u/s 307
¨ Check Whether the register was duly kept at the registered office of the Company and contain particulars prescribed in sec 307(1),(2) & (3).It was kept open for inspection of any member or debenture holder during business hours subject to reasonable restrictions as the Company may , by its articles or in general meeting impose during the period beginning 14 days before the date of company’s annual general meeting and ending three days after the date of its conclusion, and it was kept open for inspection by any person acting on behalf of the central Government or Registrar during the said period or any other period.
¨ Check Whether the register was produced at the commencement of the Annual General meeting and was kept open and accessible during the continuation of the meeting to any person having the right to attend the meeting
¨ Check Whether every director and every person deemed to be a director u/s 307(10) has given notice in writing to the Company in conformity with sec 308(1) to enable it to comply with the provisions of sec 307.

(k) Register & Returns u/s 163
¨ Check Whether the register of members. The index of members, the register and index of Debentures holders, Contracts entered into by a Company for the appointment of a manager, managing director and copies of annual returns prepared u/s 159 and 160 together with the copies of certificates and documents required to be annexed u/s 160 and 161 are kept at the registered office of the company.
¨ Check Whether if the above registers and returns instead of being kept at the registered office of the Company, are being kept at any other place within the city, town or village in which the register office of the is situate, whether the other place has been approved by a special resolution and Registrar was given an advance copy of the proposed special resolution.
¨ Check Whether the above register and returns are kept open for inspection by any member or Debenture holder without fee, and by any other person on payment of Rs. 10/- or such other fee as any be prescribed, during business hours subject to such reasonable restrictions as the company may impose.
¨ Check Whether copy of such register etc, or extract thereof is supplied within a period of ten days against any request received on payment of Rs. 1 for every 100 words or fractional part thereof or such other fee as may be prescribed.

(l) Foreign Registers of members or Debentures Holders u/s 157
¨ Check Whether Articles authorise for keeping a foreign register of members or debentures holders. If yes,
¨ Check Whether notice of the situation of the office where registers are kept has been filed with the Registrar within 30 days from the date of the opening of any foreign register.
¨ Check Whether notice of the change , if any in the situation of such office or of its discontinuance was filed with the Registrar within 30 days from the date of such change or discontinuance
¨ Check Whether a duplicate of every foreign register has been kept at the registered office and changes in the register duly entered from time to time.
¨ Check Whether the above registers are kept open for inspection and extracts/ copies thereof are supplied on receipt of requisition with the prescribed fees.

(m) Register of Renewed and Duplicate Certificates under Rule 7 of the Companies (Issue of Share Certificates) Rules, 1960
¨ Check Whether the register has been maintained containing prescribed particulars viz., the name of the person to whom the certificate has been issued, the number and date of issue of share certificate etc,
¨ Check Whether all entries in the register have been authenticated by the secretary or any other person authorised by the Board of Directors.

(n) Register of Destruction of Records / Documents.
¨ Check Whether the records and documents are being kept in the Company at least for the periods stated in the Companies (Preservation and Disposals of Records) Rules, 1966.
¨ Check Whether the company has maintained a register in the prescribed form and has entered particulars of documents destroyed as per rule 4 of the aforesaid Rules.
















(o) Register of Transfer
¨ Check Whether the Company has maintained separate register of transfer for different classes of shares/ debentures, and entered therein the particulars relating to the registration of transfer of shares/debentures.
¨ Check Whether transfer number as per the register of transfer and date of approval has been entered in the Share Transfer Deed in Form 7B.

(p) Additional Records

· Check Whether the company has maintained a separate file of documents like Powers of Attorney, Probate, Letters of Administration and/ or succession certificate, resolution of companies or other body corporate authorising any particulars person(s) to sign on its behalf that are registered with the Company.
¨ Check Whether the details of nomination forms have been noted.

Documents to be filed with Registrar of CompCompaniesf
a) Annual Return
¨ Check Whether the Annual Return has been duly filed with ROC within 60 days of the holding of the annual general meeting
¨ Check Whether where annual general meeting has not been held, the return was filed with in 60 days from the date on which the annual general meeting ought to have been held.
¨Check Whether the return has been duly signed and the requisite certificates have been attached as per sec 161.
¨Check Whether in case of an adjourned annual general meeting whether the annual return incorporates the date of the original meeting.







(b) Balance Sheet etc, u/s 220

¨ Check Whether the balance sheet, etc, were adopted by the annual general meeting.
¨ Check Whether 3 copies of balance sheet etc. were filed with the ROC within 30 days of the date of annual general meeting.
¨ Check Whether where an annual general meeting has not been held, 3 copies of balance sheet etc, were filed within 30 days from the latest day on or before which the meeting should have been held and whether a statement of fact and of the reasons thereof was filed along with the balance sheet etc.
¨ Check Whether where Balance sheet etc, were laid before but not adopted by the annual general meeting or the annual general meeting was adjourned without adopting the balance sheet, whether a statement of fact and reasons thereof was filed along with the balance sheet, etc.






(c) Compliance Certificate u/s 383 A
¨ Check Whether the Company to which proviso to sub- section (1) of section 383A is applicable has filed with the ROC a certificate from a CSP in Form appended to the companies (Compliance Certificate) Rules, 2001 within 30 days from the date of annual general meeting.
¨ Check Whether in case of the annual general meeting of the company is not held for the year, the aforesaid Compliance Certificate has been filed with the ROC within 30 days from the latest day on or before which that meeting should have been held.



7
Other Important Returns to be filed







a) Return of Allotment
¨ Check Whether the Company has made any allotment of its shares. If so, the return of allotment in Form No. 2 was filed with the Registrar within 30 days stating the number and nominal amount of the shares comprised in the allotment, the names, addresses, and occupation of the allottees, and the amount, if any, paid or due and payable on each share.
¨ Check Whether shares were allotted at a discount, if so, copy of the resolution authorised the issue of shares at a discount along with a copy of the order of the company Law Board was filed with the return.
¨ Check Whether shares were issued for consideration other than cash. if so, the original contract, along with a copy thereof, entered into with the persons to whom the shares were allotted for consideration other than cash was filed with the return.
¨ Check Whether the copy of the contract was verified by an affidavit by a director or secretary of the Company.
¨ Check Whether the contract for issue of shares for consideration other than cash was not reduced in writing. If so, whether particulars of the contract were filed in Form No. 3 and the form was duly stamped with stamp duty, which would have been paid, had the contract been reduced to writing.
¨ Check Whether bonus shares were issued. If so, a return stating the number and nominal amount of shares comprised in the allotment, the names, address and occupation of the allottees and a copy of the resolution authorising the issue of such shares was filed.
¨ Check Whether allotment has been made in pursuance of the order of the court u/s 391/394. If so, verify whether shares were allotted in the proportion stated in the order.

(c) Registration of Creation / Modification / Satisfaction of Charge.
¨ Check Whether the charge falls within any one of the categories of the registrable charge as provided in sec 125(1).
¨ Check Whether the prescribed particulars of the charge requiring registration were filed in 3 copies with ROC in Form No. 8 along with Form No. 13 duly signed by the company as well as the charge holder and along with the original/ certified copy of the instrument, if any, within 30 days after the date of its creation or within the time permitted by the ROC under proviso to sub-section (1) of sec 125 of the Companies Act.
¨ Check Whether in case of issue of debentures of a series, if there has been any charge to the benefit of debenture holders of that series, the required particulars have been filed with Registrar in Form No.10 along with Form No. 13 ( in triplicate) within 30 days from the date of execution of the debentures of the series.
¨ Check Whether in case commission, allowance, discount is paid or made in consideration for subscribing, etc, to debentures, whether the form included particulars of such commission, etc.

¨ Check Whether the documents were registered by the ROC and endorsed copies thereof have been obtained.
¨ Check Whether abstract of registration is duly endorsed on every debenture or certificate of debenture stock issued, the payment of which is secured by the charge registered.
¨ Check Whether particulars of modification of charge were filed in 3 copies in from No. 8 along with Form No. 13 duly signed with the ROC within 30 days of the modification or within the extended period.
¨ Check Whether a copy of the instrument creating / modifying charge/ a copy of debenture of the series, if any, required to be registered was kept at the registered office.
¨ Check Whether where payment or satisfaction of charge registered has been effected in full, intimation thereof has been sent to the ROC in three copies form 17 along with Form No. 13 duly signed by the Company as well as the Charge holder within 30 days from the date of such payment or satisfaction (section 138)
¨ Check Whether the satisfaction of charge has been registered by the ROC and endorsed copies of documents have been obtained.
¨ Check Whether in case of delay / omission / misstatement in filing particulars of charge created / modified or issue of debentures of a series or intimation of satisfaction of charge, to the ROC a petition has been made to the Company Law Board in accordance with the Company Law Board Regulation, 1991, and CLB order obtained and certified copy of such order has been furnished to the ROC along with Form No.21
¨ Check Whether instruments creating / modifying charges kept open for inspection as prescribed.



9
Miscellaneous Matters





(a) Board Sanction for a Certain Contract.
¨ Check Whether Board of Director’s consent was obtained by a resolution passed at a meeting for entering into contracts in which directors were interested.
¨ Check Whether Regional Director’s prior approval was obtained if the paid up share capital of the company was not less than rupees one crore.
¨ Check Whether the particulars of contract were entered in the register of contracts in accordance with section 301.

(b) Holding office or place of profit
¨ Check Whether a director of the company and others referred to in clause (b) of sec 314(1) hold any office or place of profit.
¨ Check Whether a necessary declaration was obtained from persons referred to in sec 314(2A).
¨ Check Whether a prior special resolution was duly passed at the general meeting and Form 23 was duly filed with the Registrar.
¨ Check Whether prior approval of the Central Government was obtained where monthly remuneration paid was not less than Rs. 50,000/-or as may be prescribed.
¨ Check Whether the concerned person vacated his office immediately and refunded the remuneration received from the Company if the Central Government’s permission was either not obtained or denied.

(c) Issue of certificates for shares and other securities
¨ Check Whether the company has allotted shares and entered the names of allotees in its register of member.
¨ Check Whether the Company has issued and delivered share certificates as per section 83 and 113 of the Act and the provisions of the companies ( Issue of share certificates) Rules, 1960.
¨ Check Whether .the company has executed Debenture Trust Deed in case of secured debentures
¨ Check Whether the company has delivered debenture- certificates within the prescribed period and in case of delay, CLB order for extension of time has been obtained.
¨ Check Whether the company has registered transfer and transmission of shares as per sections 108 to 113.
¨ Check Whether the Company has kept in abeyance the registration of transfers in cases of court-injunction.

(d) Transfer of shares
¨ Check Whether the requirement contained in the Articles of Association have been complied with.
¨ Check Whether the transfer of shares / debentures and the issue of certificate thereof have been made within the stipulated time u/s 108 to 113 in accordance with the procedure prescribed.
¨ Check Whether in respect of transfer deeds reported lost, the Company has registered transfer of shares based on an application in writing on stamp paper of the required value with indemnity duly executed by the transferee to the satisfaction of the board in accordance with the first proviso to section 108(1A).
¨ Check Whether share transfer application is in from 7B/7BB, as the case may be.
¨ Check Whether a notice had been sent to the transferee in case of partly paid up shares.
¨ Check Whether requisite permission u/s 108A, 108B and 108C has been obtained from the central Government in applicable cases.
¨ Check Whether any directions issued by the central government u/s 108D has been complied with.
¨ Check Whether nomination of shares debentures received u/s 109A has been duly noted on relevant registers by the Company.
¨ Check Whether the shares / debentures have not been registered in the name of firm, HUF, trust (unless registered under societies Registration Act, 1860), in view of the provisions under section 153.
¨ Check Whether certification of transfer was done in accordance with the provisions under sec 112 and the certification on the instrument of transfer to the effect “Certificate lodged” was done by a duly authorised person
¨ Check Whether all transfers have been properly included in the Annual Return.

(e) Transmission of shares
¨ Check Whether the shares have been transmitted to the legal representative of the deceased shareholder in the case of death of a sole shareholder and in the case of joint holdings only to the survivor(s).
¨ Check Whether transmission of shares is effected upon the production of succession certificate or probate or letter of administration or indemnity duly signed by the legal heirs of the deceased or as per procedure stipulated by the Board of directors and / or Articles of Association.

(f) Declaration, Payment and Transfer of Dividend
¨ Check Whether dividends were declared out of profits after providing for depreciation according to the sec 205(2)..
¨ Check Whether specified minimum amount has been transferred to reserve according to the Companies (Transfer of Profits to reserves) Rules, 1975.
¨ Check Whether Board Resolution recommending dividend has been passed.
¨ Check Whether the Board has authorised the opening of a separate Bank Account for payment of dividend.
¨ Check Whether the amount of dividend including interim dividend was deposited in the separate Bank account within 5 days from the date of declaration of such dividend.
¨ Check Whether register of members was closed as per the provisions of sec 154.
¨ Check Whether interim Dividend, if any, declared by the Board of Directors has been confirmed / noted at the annual general meeting.
¨ Check Whether dividend recommended by the Board of Directors was declared at the annual general meeting.
¨ Check Whether Dividend warrants were printed, signed and dispatched to the registered shareholders within 30 days of declaration.
¨ Check Whether permission of Reserve Bank of India, if required was obtained before dividend was remitted to foreign / non resident Indians.
¨ Check Whether stock exchanges were duly intimated, in case of listed Company.
¨ Check Whether voluntary transfer to reserve, if any, was made according to the Companies (Transfer of Profits to Reserves) Rules, 1975.
¨ Check Whether in case of inadequacy of profits, the Companies (Declaration of Dividends out of Reserves) Rules.1975 were complied with or previous approval of the Central Government was obtained, before such declaration.
¨ Check Whether dividend were paid according with the sec 206 only to the registered shareholder or to his order or to his bankers. In case of share warrant, dividend has been paid to the bearer of such warrant or to his bankers.
¨ Check Whether unpaid or unclaimed dividend was transferred to the unpaid dividend account within 7 days after the expiry of 30 days from the date of declaration (sec 205A).
¨ Check Whether amount of dividend remaining unpaid and unclaimed for seven years from the date they became due for payment has been transferred to the Investor Education and Protection Fund, established by the Central Government pursuant to sec 205C and while transferring the amount, the company furnished a statement in the prescribed form under section 205A(6).

(g) Board Report
¨ Check Whether a Board resolution was passed authorising chairman or other directors to sign the report on behalf of the Board.
¨ Check Whether the report was duly signed by persons authorised to sign.
¨ Check Whether the Board’s Report was attached to the balance sheet.
¨ Check Whether the report contained specified particulars viz, state of affairs of the company, proposed transfer to reserve, proposed dividend, material changes affecting the financial position, conservation of energy, technology absorption, etc.
¨ Check Whether the Board’s report includes a statement showing employees particulars in accordance with the Companies (Particulars of employees) Rules 1975.
¨ Check Whether the Board’s report includes a directors’ responsibility Statement, about following applicable accounting standards, consistent application of accounting polices, maintenance of adequate accounting records, preparation of annual accounts on going concern basis.
¨ Check Whether in case of a Non- banking Financial Company, a residuary Non- Banking Company, the board ‘s report includes details required to be furnished under Non- Banking Financial Companies (Reserve Bank) Directions, 1987, as the case may be.
¨ Check Whether in case the company has passed a special resolution authorising it to purchase its own securities (Buy- Back) pursuant to sec 77 a and the Buy- back has not completed within the time specified 912 months from the date of resolution 0, the reason for failure have been specified.
¨ Check Whether a copy of the compliance certificate issued by a CSP was attached to the Board’s Report.
¨ Check Whether changes in the directors of the Company have been reported.

(h) Transfer of the unpaid amount to the Investor Education and Protection Fund.
¨ Check Whether the company has duly transfer the following amount s to the Investor Education and Protection Fund.
1. Amounts in the unpaid accounts of the Company.
2. The application money received by the Company for allotment of any securities and due for refund.
3. Matured deposits with the Company
4. Matured Debentures with the Company.
5. Interest accrued on the amounts referred to in clauses (I) to (iv) above.
If such amounts have remained unclaimed and unpaid for a period of seven years from the date they became due for payment.

(i) Appointment of Directors
¨ Check Whether the appointment conforms to the provisions contained to the Articles.
¨ Check Whether the Company has the minimum number of Directors- three in the case of public Company and two in the case of a Private Company.
¨ Check Whether if the number had fallen below the minimum, whether action was taken to bring the number to the minimum.
¨ If it is a new Company, Check if first Directors were appointed in accordance with the articles.
¨ Check Whether in the case of a Public company whether the provisions of sec 255 and 256 have been duly complied with.
¨ Check Whether persons other than retiring directors who were candidates for directorship at the general meeting had given not less than fourteen days notice and made a deposit of Rs. 500/- per candidate and has also complied with the provisions of section 257.
¨ Check Whether in case of Public Company. if the number of directors has been increased beyond 12, approval of the Central government u/s 259 has been obtained.
¨ Check Whether if the Board has filed up casual vacancy among directors appointed in general meeting, the appointment was in accordance with the articles and was made at a meeting of the Board.
¨ Check Whether if the Board has appointed any alternate / additional director during the year u/s 313 and 260 respectively, the appointment was in accordance with the Articles.
¨ Check Whether if any nominee Director has been appointed during the year, the appointment is in consonance with the provisions of the articles of the company.
¨ Check Whether the Company has complied with the provisions of sec 265 where it has adopted principal of proportional representation for appointment of Director
¨ In case of Public Company, check whether it has secured Central Government approval as required u/s 268 foe an amendment of any provision relating to the appointment or reappointment of managing or Whole-time director or of a director not liable to retire by rotation.
¨ Check Whether directors other than those referred to in sec 264(2) had given consent to act as Director within 30 days of his appointment and the consent was filed with the ROC in form No. 29.
¨ Check Whether none of the directors suffers from any of the disqualification with reference to section 274.
¨ Check Whether none of the directors is holding directorships in more than 15 Companies subject to provisions of section 278 of the Act.
¨ Check Whether the office of any director stands vacated on account of any of the disqualification specified in section 283 or contravention of the provisions of sec 314(1).
¨ Check Whether in case of Private company, the office of any director stands vacated on account of any of the additional grounds specified in Articles of Association.
¨ Check Whether if any director was removed before the expiry of his term of office, in accordance with the provisions of section 284 such director was not appointed afresh by the Board of directors as per proviso to section 284(6).

(j) Sole Selling Agent
¨ Check whether appointment is done for a period not exceeding 5 years at a time
¨ Check whether appointment is approved by the company in the first general meeting held after the date of appointment
¨ Check whether consent of company accorded by special resolution and approval of Central Govt. taken where paid-up capital of company is more than rupees fifty lakhs

(k) Borrowings
¨ In case of Private Company, Check whether there are any restrictions on the amount of borrowings contained in the articles of association of the company. If yes, check whether borrowings are in accordance with the provisions contained in the articles.

(l) Borrowing by way of deposits by NBNFCs
¨ Check Whether the company is not in default in the repayment of any deposit or part thereof and any interest thereupon in accordance with the terms and conditions of such deposits.
¨ Check Whether approval of board in terms of section 292(10 has been obtained to invite deposits and draft advertisement approved.
¨ Check Whether the advertisement has been issued on the authority and in the name of Board.
¨ Check Whether the advertisement contains the particulars specified in rules 4(2) (a) to (k) of the Companies (Acceptance of deposits) Rules, 1975. In case deposits were accepted without invitation check that a statement in lieu of advertisement has been delivered to the ROC, before accepting deposits(rule 4A)
¨ Check Whether a copy of the advertisement duly signed by majority of directors was filed with the ROC, for registration, before publishing the same.
¨ Check Whether advertisement has been published ion a leading English newspaper and one vernacular newspaper circulating in the state where the registered office is situated within the prescribed time.
¨ Check Whether proper scrutiny of the fixed deposit application forms, particularly the names, amount, address and other relevant particulars, has been done.
¨ Check Whether deposits repayable on demand or on notice or after a period of less than six months and more than three years.
¨ Check Whether deposits have been accepted within the limits prescribed in rule 3(2).
¨ Check Whether the rate of interest on deposits is within the prescribed limits.
¨ Check Whether the rate of brokerage is within the prescribed limits.
¨ Check Whether the Company, deposits/ invest on or before 30th April of each year not less than the prescribed limit of the deposits maturing during the year, in specified securities (rule3A).
¨ Check Whether proper receipts were issued to the depositors on the acceptance of deposits.
¨ Check Whether register of deposits has been maintained with particulars specified in rule 7.
¨ Check Whether return of deposits duly certified by the auditor of the Company has been filed with ROC and Reserve Bank of India on or before 30th June giving the position as on 31st March.
¨ Check Whether payment of interest has been made on time.
¨ Check Whether deposits were repaid on time. In case of repayment of deposits before maturity. The Company has complied with the requirements of the Rules in this regard.
¨ Check Whether where the Company has obtained any extension of time or exemption u/s 58A(8), Check Whether the terms thereof have been complied with.
¨ Check Whether in case any order has been made by the Company Law Board u/s 8A(9), it has been complied with.
¨ Check Whether the Company has complied with applicable directions issued by RBI. If any.

The Haryana Tax on Entry of Goods into Local Areas Act, 2008

The Haryana Tax on Entry of Goods into Local Areas Act, 2008
[Haryana Act No. 8 of 2008]

Applicability:
a.) levy and collection of tax on entry of goods into a local area (means jurisdiction of Haryana) for consumption, use or sale therein and for matters connected therewith or incidental thereto.

b.) It extends to whole of the State of Haryana
c.) It shall come into force with immediate effect i.e. 16th April, 2008

Definitions:-
Section 2 (c) “assessee” means a person by whom tax is payable

Section 2 (g) “bring goods into a local area” means causing the entry of goods into a local area by bringing them inside the local area or causing the goods to be brought inside the local area from any place outside the local area

Section 2 (i) “business” includes any trade, commerce, manufacture, works contract, leasing or any adventure or concern in the nature of trade, commerce, manufacture, works contract or leasing, whether or not, such trade, commerce, manufacture, works contract, leasing, adventure or concern is carried on regularly and with a motive to make gain or profit and whether or not any profit accrues from such trade, commerce, manufacture, works contract, leasing, adventure or concern and any transaction in connection with or incidental or ancillary to such trade, commerce, manufacture, works contract, leasing adventure or concern

Section 2 (l) “entry of goods into a local area” means taking or bringing goods into a local area from any place outside the State or from any place inside any other local area in the State;

Section 2 (o) “goods carrier” means any kind of vehicle of transport of goods including pipeline, motor vehicle, boat, riding animal, beast of burden, push cart, animal drawn cart, tractor-trailer and the like

Section 2 (q) “gross turnover” used in relation to an importer with reference to a period of time means the sum of value of goods which the importer brings or receives on the entry of such goods into a local area during the given period

Section 2 (r) "importer" means any person who, in the course of business, whether on his own account or on account of a principal or any other person, brings any goods into or receives or is entitled to receive any goods on their entry into a local area and includes a casual importer

Section 2 (t) “local area” means an area within the limits of a Municipal Corporation established under the Haryana Municipal Corporation Act, 1994 (Haryana Act 16 of 1994), or a municipality established under the Haryana Municipal Act, 1973 (Haryana Act 24 of 1973), or a Town Board or a Cantonment Board established under the Cantonment Act, 1924 (Central Act 2 of 1924), or a Zila Parishad established under the Haryana Panchayati Raj Act, 1994 (Haryana Act No. 11 of 1994), or any other local authority constituted or continued under any law for the time being in force;

Explanation:-Notwithstanding the above definition of local area, the whole State, for the purposes of section 25, shall be treated as one local area.

Section 2 (u) “manufacturer” means a person who carries on business of processing or manufacturing of goods, whether wholly or partly;

Section 2 (y) “old Act” means the Haryana Local Area Development Tax Act, 2000 (13 of 2000)

Section 2 (z) “person” shall include a company, an association or body of individuals, whether incorporated or not, an undertaking of the Government of Haryana, the Central Government or any other State Government or local authority, the Central Government or a State Government;

Section 2 (za) “place of business” means any place where an importer is doing business and includes−
(i) any warehouse, godown, or other place where the importer stores or processes his goods;
(ii) any place where the importer produces or manufactures goods;
(iii) any place where the importer keeps his books of accounts;
(iv) any place where the importer carries on business through an agent by whatever name called, the place of business of such agent;

Section 2 (zd) “quarter” means a period of three calendar months ending on 30th June, 30th September, 31st December or 31st March;

Section 2 (ze) “receive any goods” means to take delivery or possession of any goods, whether actual or constructive, or cause the goods to be received by any other person;

Section 2 (zf) “registered importer” means an importer registered under this Act;

Section 2 (zg) “Sales Tax” means the tax leviable in the State under the Haryana Value Added Tax Act, 2003 (Act 6 of 2003) or under the Central Sales Tax Act, 1956 (Central Act 74 of 1956);

Section 2 (zj) “tax” means the tax leviable under this Act;

Section 2 (zk) “taxable goods” means the goods which are not included in Schedule ‘A’;

Section 2 (zl) “turnover” used in relation to any assessee means the aggregate of the value of goods which the assessee brings or receives in any local area for consumption or use therein during any given period and determined in accordance with the provisions of this Act and the rules made there under

Section 2 (zm) “value of the goods” means the purchase value of such goods, that is to say, the purchase price at which an importer has purchased the goods inclusive of charges borne by him as cost of transportation, packing, forwarding and handling charges, commission, insurance, taxes, duties and the like, or if such goods have not been purchased by him, the prevailing market price of such goods in the local area

Section 2 (zn) “works contract” means any agreement for carrying out for cash, deferred payment or other valuable consideration, the construction, fitting out, improvement, maintenance or repair of any building, road, bridge or any other immovable property, or manufacture, processing, fabrication, erection, installation, fitting out, improvement, modification, repair, conversion or commissioning of any movable property

Levy of Tax (section 3)
(1) There shall be levied and collected a tax on entry of all goods, except goods specified in Schedule ‘A’, into a local area for consumption, use or sale therein, from any place outside that local area, at such rate not exceeding 5% of the value of the goods, as may be specified by the State Government by notification and different rates may be specified in respect of different goods or different classes of goods.

(2) the basis of tax shall be the sum of value of goods which the importer brings or receives on the entry of such goods into a local area during the given period.

(3) The importer shall be liable to pay tax only when the aggregate value of taxable goods he brings into or receives on their entry into any local area in a year exceeds Rs. 10 lacs.

(4) Importer who has once become liable to pay tax under this Act shall continue to be so liable until the expiry of 3 consecutive years during each of which the aggregate value of any taxable goods he brings into or receives on their entry into any local area does not exceed the amount specified in the first proviso to this sub-section.

Explanation.  Where the goods are received on its entry into a local area by a person other than an importer, the importer, if any, who further receives the goods from such person shall be deemed to have received the goods on entry into the local area.

(5) The tax shall be levied, assessed and collected in such manner and in such instalments, if any, as may be prescribed.

Registration (section 4)
(1) Every importer who is liable to pay tax shall get himself registered under this Act in such manner, on payment of such fee and within such period as may be prescribed

Provided further that an importer who held a registration certificate granted under section 4 of the old Act need not apply afresh for registration under this section and the certificate granted earlier shall be deemed to have been granted under this Act.

COMPUTATION OF VALUE OF GOODS (SECTION 8)



(Amt. in lacs)

GROSS TURNOVER


(Sum of value of goods, importer brings or receives on the entry of such goods).
NOTE: Paddy, Rice, Packaging Materials, Machinery, Machinery Parts and other items used in manufacturing of goods.





DEDUCT:-

A.
Value of goods specified in Schedule A:-

1
Bajra, Jowar and Maize

2
Cattle feed and poultry feed

3
Celery seeds

4
Common Salt

5
Electric Energy
NOTE: Captive Power Plant- Energy used in manufacturing process to be deducted. (Diesel, Furnace oil etc)

6
Flowers

7
Fresh vegetables, sugarcane, fruits, milk, meat including meat on hoof, poultry, fish and eggs.

8
Hand spun yarn.

9
Kikar bark.

10
Newsprint and other materials used in the printing of newspapers, periodicals, magazines etc.

11
Textiles and tobacco on which additional excise duty in lieu of sales tax is leviable notwithstanding that the rate of such duty is NIL.

12
Tyres, tubes and flaps of animal drawn vehicles.




B.
Value of sugar received from another local area

C.
Value of goods which have, without use or consumption, been delivered outside the local area.
NOTE: Goods traded as it is.

D.
Value of goods which have been subjected to tax once under this Act, either as such or in some other form.

E.
Value of goods on which sales tax has been paid or has become payable to the State.

1.
Purchase in the Course of Export [Section 5 of CST Act]

2.


F.
Value of plant, machinery, equipment and tools, brought or received on lease for use in manufacture or processing of goods.

G.
Value of goods brought or received in a local area for resale or for use or consumption therein in the manufacture or processing of goods, left in stock whether as such or in different form, lying with him in the local area, except when the certificate of registration issued under this Act is cancelled.







H.
Value of such other goods as may be prescribed


Returns and Assessment (section 9)
Every importer registered under this Act and every importer whose application for the registration under this Act is pending with the assessing authority shall every year or at such shorter intervals as may be prescribed, submit a return to the assessing authority within such period and in such manner containing such particulars as may be prescribed. The proforma of return, the interval of period at which and the time period within which a return is required to be filed may be prescribed differently for different class of importers, inter alia, depending upon the extent of business, annual tax liability and the class of goods usually dealt in.

Payment and Recovery of tax (section 12)
(1) The amount of any tax, interest and penalty imposed under this Act, which remains unpaid after the due date shall be recoverable as arrears of land revenue.

(2) Where the tax, interest assessed or penalty imposed not paid within the time, the importer shall be liable to pay simple interest on such amount for the period beginning with the day following the last date for making payment and ending with the date of payment (inclusive), calculated at the rate of 2% per month for the first 12 months and at the rate of 3% per month for the remaining period. The period during which recovery of any amount remained stayed by order of any competent authority or court, shall not be excluded for the purpose of calculation of interest.

(3) the unpaid amount shall be recoverable as arrears of land revenue.

Maintenance of accounts by importers, issue of sale bills or cash memorandum (sec 16)
Every importer shall maintain and keep true and complete accounts relating to his business as well as such other registers or records, as may be prescribed in this regard. All such accounts, registers or records shall be retained by the importer in his safe custody till his assessment or re-assessment for the relevant year is completed or in cases where any appeal, revision, reference or other proceedings in respect of such year has been filed and is pending, the same is disposed of, or for a period of at least six years from the end of the year to which these relates, whichever is later.

In respect of Goods
Type of Document
Sold
Bill of sale or cash memorandum
Delivered or dispatched, otherwise sale
Delivery note
Purchased and has not issued any bill of sale or Cash memorandum
Purchase Invoice

Checking of goods in transit (section 18)
The owner or person incharge of the goods and, when the goods are carried by a goods carrier, the driver or any other person in-charge of the goods carrier, shall carry with him in.

In respect of Goods carrier
In respect of Goods being carried
(i) record of ownership of the goods carrier
(i) goods receipt

(ii) trip sheet or log-book, containing such particulars, as may be prescribed
(ii) delivery-note or cash-memorandum or bill of sale/purchase, as the case may be

(iii) declaration duly filed and signed by the consignor or consignee obtained from such authority on payment of such fee and containing such particulars, as may be prescribed, and produce the same before any officer of the department not below the rank of an Assistant Excise and Taxation Officer or such other officer, as the State Government may, by notification, appoint, checking the goods carrier at any place.


Repeal and saving (section 34)
(1) The Haryana Local Area Development Tax Act, 2000 (Haryana Act 13 of 2000), is hereby repealed.