 the khani and village industries commission (amendment) bill, 1961(as introduced in lok sabra on 28m february, 1961)  the khadi and village industries commis- sion (amendment) bill, i¢i (as introdl1ced in lok sabha) a billfurther to amend the khadi and village industries commission act, 1956 be it enacted by parliament in the twelfth year of the republic of india as follows:& 1 this act may be called the khadi and village industries com- short title mission (amendment) act 1961 s z in section 2 of the khadi and village industries commission ameddmcdt 61 of 19,6 act, 1956 (hereinafter referred to as the principal act) ,_ of iectiod 2 (i) in clause (e), for the words "and includes the chairman", the words "and includes the chairman and the vice-chairman" shall be substituted; 10 (ii) after clause (g) the following clause shall be inserted, namely:-'(gg) "vice-chairman" means the vice-chairman of the commission;'  3 in section 3 of the principal act, for sub-section (1), the fo1- adwldment is lowing sub-section shall be substituted, namely:-of section 3· "(1) the central government may, of its own motion or on the recommendation of the commission, by notification in the official gazette, add to, or omit from, the schedule any village industry or alter the description of any village industry and 20 - thereupon the schedule shall be deemed to be amended accordingly" :r:-: 4 in section 4 of the principal act, after sub-section· (2), the following sub-section shall be inserted, namely:-"(3) the central government may appoint from among the members of the commission a vice-chairman who shall exercise such of the powers and perform such of the duties of the chair- s man as may be prescribed or as may be delegated to him by the chairman" amendment 5 in section 5 of the principal act for the words "a member of tectiao s· other than the chairman", the words "a member other than the chairman or the vice-chairman" shall be sl:lbstituted 10 amendment 8 in section 12 of the principal act, for sub-section (2), the foloflecdod 12 lowing sub-section shall be substituted, namely:-"(2) the chairman or, in his absence, the vice-chairman or, in the absence <1f both the chairman and the vice-chairman, any member chosen by the members present from among themselves, is shall preside at a meeting of the commission" a_dmedt~ 7 in section 13 of the principal act, for the words "and the terms ofleetion 13· and conditions of service of the chairman", the· words "arid the terms and conditions of service of the· chairman, the vice-chairman" shall be substitut~ 20 ameaclment 8 in section 15 of the principal act, in sub-section (2), in clause ohection is· (c), after the words ·'village industries", the words "or handicrafts" shall be inserted and shall be deemed always to have been inserted idleruon of 9 after section 17 of the principal act, the following section dewa section shall be inserted, namely: -25 17 - commi,ion "17a the commission may, for the purpose of development to rec:dye of khadi or the development of village industries, receive gifts, lifts lrants, etc grants, donations or benefactions from the government or any other person" 10 in section 18 of the principal act-30 ameodmedt of 1ecti0d ii (i) in sub-section (1), after the words "and all receipts of the commission", the brackets, words, figures and letter" (including all gifts, grants, donations or benefactions received under section 17a) , shall be inserted; (ii) after sub-section (1), the following sub-seetions shall 35 be inserted, namely:-, (la) all receipts of the commission in respect m products of handicrafts shall be credited to the village industries fund and all payments by the ccmmission for or :in respect of such products shall be made from that fund ic (lb) if at any time the amount available in either of the two funds referred to in sub-section (1) is in excess of the requirements of that fund and the amount available in the other fund is insufficient to meet the requirements of that fund, the co'mmission may, with the previous approval of the central government, transfer from the first mentioned fund the excess amount or such part thereof as may be necessary to the other fund explanation-for the purposes of computing the amount available in either of the two funds, the amounts received under section 17a shall not be taken into account" 11 after section 19 of the principal act the tollowing sections ldlertion of 15 shnll be inserted, namely: -new icctiods 19a 8jjd 198 "19a (1) there shall be constituted from among the mem- stading bers of the commission in the prescribed" manner a standing finance finance committee in respect of each of the two funds referred committees to in section 18 20 (2) the standing finance committee shall exercise such of : the powers of the commission under section 19 as are delegated to 1 i it by the commission , ~ 30  ,;r~ 19b (1) any sum payable to the commission under any recovery of agreement, express or implied or otherwise howsoever, may be monies due recovered in the same manner as an arrear of land-revenue :~ ~ arrears of - (2) if any question arises whether a sum is payable to the land-revenue commissjon within the meaning of sub-section (1), it shall be referred to a tribunal constituted by the central government for the purpose which shall, after making such inquiry as it may deem fit and after giving to the person by whom the sum is alleged to be payable an opportunity of being heard, decide the question; and the decision of the tribunal shall be final and shall not be called in question by any court or other authority (3) the tribunal shall consist of one person who is not connected with the commission or with the person by whom the sum is alleged to be payable  35 -  (4) the expenses of thetribunal shall be borne by the commission"  amed~edt 12 in section 20 of the principal act, in sub-section (3), for the of section 20 words "but in no case", the words, brackets, figures and letter "but, subject to the provisions of sub-section (lb) of section 18, in no case" shall be substituted 5 amen4medt of lic:tion 26 13 in section 26 of the principal act,-(i) in sub-section (2) ,-(a) in clause (a), for the words "and the terms and conditions of service of the chairman", the words "and the terms and conditions of service of the chairman, the vicechairman" shall be substituted; 10 (b) after clause (c), the following clause shall be inserted, namely:-" (cc) the powers and duties to be exercised and performed by the chairman and the vice-chairman;"; (c) after clause (d), the following clauses shall be inser- is ted, namely:-"(dd) the constitution of the standing finance committees under sub-section (1) of section 19a; - (ddd) the procedure to be followed by the tribunal in deciding questions referred to it under sub-section 20 (2) of section 19b;"; (ii) for sub-section (3), the following sub-section shall be substituted, namely:-"(3) every rule made under this section shall be laid, as soon as may be after it is made, before each house of 2 5 parliament while it is in session for a total period of thirty  days which may be comprised in one session' or in two successive sessions, and, if, before the expiry of the session in which it is so laid or the session immediately following, both  houses agree in making any modification ~n the 30 rule or both houses agree that the rule should nct be made, the rule shall thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annulment 'shall be' without prejudice to the validity ,cf anything previously 35 done ,~nder that rule" 14 in section 27 of the principal act, in sub-section (2) ,-amtddment oflcction 27 (i) after clause (b) ,the following c~ause shall be inserted, namely:-"(bb) the summoning and holding of meetings, anq the 40 conduct of business of a s'anding finance committee;"; (ii) in clause (h), the words "and the fees chargeable in respect thereof" shall be added at the end  statement of objects and reasonsexperience of the administration of the khadi and village industries commission act, 1956, has disclosed certain difficulties in its working the object of the present bill is to remove such difficulties opportunity has been taken to make certain other minor and fonnal amendments in the act the notes on clauses explain in detail the important provisions of the bill new delhi; manubhai shah the 19th january, 1961 clause 3-this clause amends section 3 of the act and empowers the central government to add to, or omit from, the schedule any village industry or alter the description of any village industry clause 4-this clause provides for the appointment of a vicechairman to give some relief to the chairman the vice-chairman will exercise such of the powers and perform such of the duties of the chairman as may be prescribed by the rules or as may be delegated to him by the chairman clause 8-the amendment mede by this clause will enable the commission to undertake marketing or sale of products of handicrafts in its emporia clause 9-this clause enables the commission to receive gifts, grants, donations and benefactions from the government or any other person for the purpose of development of khadi or the development of village industries clause lo-under sectiq1l 18 (1) of the act, all payments by the commission for or in respect of khadi or village industries shall be made from the khadi fulld or the village industries fund, as the case may be sometimes, it so happens that while the commission has excess money in one fund, the other fund is insufficient to meet the requirements at present in spite o'f there being a surplus amount in one fund, the government has to make grant to the other fund to meet its requirements this clause, therefore, empowers the commission to transfer, with the previous approval of the central government, the necessary amount from the excess fund t'o' the insufficient fund which will obviate the necessity of government making a fresh grant to the latter fund it is made clear that for the purposes of computing the amount available in either of the two funds, the amounts received by way of gifts, grants, donations 'o'r benefactions from the government or any other person which are in the n~ure of a trust shall not be taken into account cl4use ll-the commission has at its disposal very lar funds from which grants are made to' various institutions ~,parf of ~e funds is also spent on some of the activities which  carried{;~ ~~~~:'  , directly by the commission at present only the full commission is empowered to authorise such grants or expenditure in order to ensure the speed and efficiency of this kind of work, this clause prcvides for the constitution of a standing finance committee in respect of each of the khadi fund and village industries fund, from among the members of the commission the standing finance committee will exercise such of the powers of the commission under section 19 as are delegated to it by the commission the clause also makes provision for the recovery of any sum payable to the commission as arrears of land revenue if any question arises whether a sum is payable to the oammilsion, it shall be referred to a tribunal consisting of one person who is not connected with the commission or with the person by whom the sum is alleged to be payable such a procedure will save the commission from being involved in prolonged and expensive litigation in courts of law clause 13-the clause, besides making certain consequential amendments to section 26 of the act, empowers the central government to make rules regarding the powers and duties to be exercised and performed by the chairman and the vice-chairman; the constitution of standing finance committees and the procedure to be followed by the tribunal in deciding questions referred to it sub-section (3) of that section is also being amended to conform to the pattern now adopted clause h-the clause seeks to' enable the commission to make regulations regarding the summoning and holding of meetings and the conduct of business of the standing finance committee and also for levying fees chargeable for certificates of genuineness of khadi and products of village industries granted by the commission  - clause 13 of the bill which seeks to amend section 26 of the khadi and village industries commission act, 1956, eonfers on the central government the power to make rules regarding the terms and conditions of service of the vice-chairman, the powers and duties to be exercised and perfcrmed by the chairman and the vicechairman, the constitution of the standing finance committees and the procedure to be followed by the tribunal in deciding questions referred to it these are matters of detail and the delegation of legislative power with respect to them is of a normal character  ex'nlacts faom the khadi and village industries commission ac:r - 1956 (61 or' 1956) - '" - • •definition  2 in this act, unless the context otherwise requires,-- '" '" - - (e) "member" means a member of the cornmjjsion and ineludes thf> chairman: - - - - - power to add to the schedule 3 (1) the central government may, of its own motion or on the recommendation of the commission, declare, by notification in the official gazette, any other industry to be a village industry to which this act applies, and thereupon the industry so declared shall be deemed to be an industry !;pecified in the schedule for the purposes of this act - '" '" - - i:cq,~~ 5 the central government shall appoint, after consultation with lion the commission, a member other than the chainnan, to be the secretary of the commission - '" - - '" 12 - - - - - (2) the chairman or, in his absence any member chosen by the members present from among thpmselves shall preside at a meeting of the commission - -  - - t!~ old 13 the tenh of oftlce and the terms and conditions of service of o  cad conditiodi of t$~, the secretary and the other members and of the =::~ fii1ancla1 adviser to the commission shall be such u may be lecretary idd p~ribed other racm-!' bera : - - - - - ji54 (b)ls-z (2) in particular and without prejudice to the generality of the foregoing power, the commission may take such steps u it may thijika~ - - ( e) to provide for the sale and marketlu& of khadi or of products of village industries; - - - - 18 (1) the commission shall have two separate funds to be ~ ~ die called the khadi fund and the village industries fund, and all grants dull 011 and advances made to the funds, from time to time, by the central government for the purposes of the development of khadi or the development of village industries, and all receipts of the commissien in respect of khadi or village industries shall  be credited to the kliadi 'fund or village industries fund, as the cue may 'be, and' all payments oy the commission for or in respect of khadi or village industries shall be made from the appropriate fund  (3) the commission may, within the respective limits of the khadi budget and the village industries 'budget, sanction ' any reappropriation from one head of expenditure to another or from a provision made for one scheme to that in respect of another, bui in no·cue shall a reappropriation of fund be made from the thadi budget to 'the village industries budget or from the village industries budget to the khadi budget: provided that no reappropriation from the beed 'loan' to any other head'of ,expenditure and vice uera in either bddget shall be sanetionect by' the commiuton, except with the previous" approval of : the central government, ' '," , ""'" •• - - '" - - (2) in particular, and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, name1y:-(a) the term of oftlce of, and the manner of fl1ling casual vacancies among, the members of the commission, and tile terms and conditions of service of the chairman, the secretary and the other members and of the financial adviser to the commission ibcluding the salaries and allowances to be paid to them and the travelling and daily allowances to be drawn by them when they are on tour; - - - - - (3) all rules made under this section shall be laid for not less than thirty days before both houses of parliament as soon as possible after they are made and shall be subject to such modifications as parliament may make during the session in which thty are 10 laid or the session immediately following  - - - - - -  a billfurther to amend the khadi and village industries commission act, 1956 - (shri mtmubhlli shah, minister of lrr4wtry) 