 corrigenda to t hs mon ore mines iabour welfare crss (amendhent) bill 1967 (tq be/as intrqg~ced y! lok sabh&!)1 - page 1 in the narginal heading to olause 2,-t2l "section" rella "section 1 n 2 page 2, line '26,-after "or" ~ ii i' - 3 bage 3 line 11,-after" prescribed" insert "by rules made wlder this act" 4 page 3 line 15,-after "prescribed" insert -"by rules made under this ~ctlf 5 page 4 line 14,-for "compliment" ~ "complement" -net,y delhi __ ~_13 1967 jyaistha 23, 1889 r~aka·}  8111 no 75 of 1967 the iron ore mines labour welfare cess (amendment) bill, 1967a sill further to amend the iron ore mines labour welfare cess act, 1961 be it enacted by parliameilit in the eighteenth year of the republic of india as follows:-1 (1) this act may be called the iron ore mines labour weirare short ti cess (amendment) act, 1967 and col' mencc_ 5 (2) it shall come into force on such date as the central gov~m- ment meilit may, by notification in the offieid gazette, appoint !l8 of 1961 z in section 1 of the iron ore mines labour welfare cess act, amend 1961 (hereinafter referred to as the principal act), for sud-section ment of (2), the following sub-section shall be substituted, namelj:-section· 10 "(2) 1t extends to the whole of india!' :' ~ '1a in tlj~ aot, unless the context otherwise requires,-insertion 3 after section 1 of the principal act, the following section of nt~w 1a shan be inserted, namely:-sec ion - definitions (a) "export" means taking out of india to a place outltide india; s 63 of 1948 (b) "factory" and "occupier" have the meanings respectively assigned to them in clauses (m) and (n) of section 2 of the factories act, 1948; (c) "metallurgical factory" means-(i) a factory in which iron or steel is being pro- 10 ceased or manufactured; (ii) any other factory, being a factory in which iron ore is used for any purpose, which the central government may, by notification in the official gazette, declare to be a metallurgical factory for the purpose~ is of this act; 35 of 1952 (d) "owner" has the meaning assigned to it in clause (1) of section 2 of the mines act, 1952' substitu-4 for section 2 of the principaj act, the following sections shall tion of be substituted, namely: -20 new sec_ tions for section 2 levy and collection of cess on iron ore "2 with effect from such date as the central government may, by notification in the official gazette, appoint, there shall be levied and collected as a cess for the purposes of this act on all iron ore produced in any mine-(a) a duty of customs, where such iron ore is exported; 2s ~ i (b) a duty of excise', where such iron ore is sold or otherwise disposed of to the occupier of any metallurgical factory or is used by the owner of the mine for any purpose, at sich rate not exceeding fifty paise per metric torme of iron 3° ore u·tbecedtral: government may, from time to time, fix by notification in the official gazette 2a (1) every duty of customs leviable under this act on any payment iron ore shad be payable to the central government by the per- of duty of son by whom the iron ore is exported cusdtom d ts , ~ uy (2) every duty of excise leviable under this act on any irod of excise s ore shall be payable-(a) to the oecupier of theblettluurgicai factory, by the person by whom such iron ore is sold or otherwise disposed of to such occupier; (b) to the central government, by the owner of the mine 10 where the iron ore is usl-d by 8ui:h owner for any purpose, within such period as may be prescribed (3) all amounts received by the occupier of any metauurgical factory under' clouse (a) of sub-section (2) jlhau be paid byhim to the central government within such period as may be i s prescribed" 5 in section 8 of the principal act, in sub-scction (2) , after amcndclause (a), the following clauses shall be inserted, namely: _ mcnt of section 8 "(a·a) the period within whieh the person selling or otherwise disposing of the iron arc shall pay the duty of excise to 20 the occupier of the metallurgical factory; (aaa) the period within which the owner of the mine shall pay the duty of excise to' the central government; (aaaa) the period witthin which the occupier of the metallurgical factory shall pay to the central government the duty of 2s excise received by him;"  statement of objects and reasonssection 2 of the iron ore mines labour welfare cess act, 1961, provides for the levy of a cess, on all iron ore produced in any mine, alt such rate not exceeding fifty paise per metric tonne as the central government may from time to time fix by notification in the officia'l gazette at prese'nt, the rate of cess thus levied is twenty-five paise per metric tonne the proceeds of the cess levied and collected, reduced by the cost of collection, are being utilised to promote the welfare of labour employed in the iron ore mining industry for collection of the cess, eight cess commissioners have been appointed in the important iton ore producing states the cost of machinery for collection comes to about four to five per cent of the cess collected this cost of collection is uke'ly to he higher when the full compliment of staff necessary for checkinf!, inspection, supervision and accounting is appointed in order to reduce the expenditure towards the cost of collection, it is propos:'d to amend the act so as to collect the cess as a duty of cust()rr~ i'n respect of iron ore which is exported out of india and as a duty of excise in respect of imn ore which is sold or otherwise disposed of by the owners of mines to steel plants and other units producing- pig iron, etc the cess as duty of customs will be collected through the agency of the customs department (as is being do'nf' in the case of cess on mica) and as duty of excise will be colleded through the agency of the steel plants, etc, at the time of receipt of the despatches by them a saving of approximately two lakhs of rupees is expected from this change in the mode of collection of cess the bill seeks to achieve the above object new delhi; jaisukhlal hath! the 30th may, 1967  financial memorandid4clause 4 of the bin seeks to substitute section 2 of the iron oj mines la·bour welfare cess act, 1961, which provides for the ie, of a cess at such rate not exceeding 50 paise per metric tonne i iron ore produced, as the central (;<)vemment may fix from tin to time the rate of cess in the new section 2 will be the san though there will be change in the mode of its collection 2 th'~ present method of levy of cess is on production t} new section 2 envisages the cess to be levied as duty of custon on exports and as duty of excise on all iron ore despatched to th steel plants and units producing pig iron or otherwise consumir iron ore the ministry of finance (department of revenue) ha~ agreed to charge 112 per cent of the co1lections as administrath charges to cover the cost of collection although no clause of n bill, when enacted" directly involves expenditure from the cor soiidated fund of india, assuming that similar 1/2 per cent ~ "collecting agencies' charges" may become payable to iron an steel factories and other units producing pig iro'n and taking th figures of 10 million tonnes on exports (revised figure of 1964) an 11' 29 million tonnes on domestic consumption, the total amour, payable as collection charges will be rs 12,500 plus rs 14,410 ie rs 26,910 say rs 30,000 in a calendar year or in a financial yeal the change in the mode of cduection will entail a saving of apprc ximately two lakhs of rupees in the cost of machinery of collectio of cess   memorandum regarding delegated legislationclause 5 of the bill which seeks to amend election 8 of the iron ore mines labour welfare cess act, 1961, empowers the central government to make rules with respect to the periods within which the persons liable to pay the duty of excise shall pay the same this is a matter of detail and the delegation of legislative power is thus of a norma1 character  annexure extracts from the iron ore mines labour welfare cess act, 1961 (58 of 1961)1/ (1) '" - - '" '" - '" '" '" '" '" - short title, extent and (2) it extends to the whole of india except the state of jammu com and kashmir menee ment '" '" - '" '" '" 2 with effect from such date as the central government may, levy and by notification in the official gazette, appoint, there shall be levied collection and collected, as a cess for the purposes of this act on all iron ore ~)f cess on produced in any mine, a duty of excise at such rate not exceeding lron ore fifty naye paise per metric tonne of iron ore as the ce'ntral government may, from time to time, fix by notification in the oftlcial gazette power to make rules '" '" '" '" '" '" 8 (1) '" '" '" '" '" '" (2) in particular and without prejudice to the generality of the foregoing power, such rules ~ provide for-(a) the assessment and collection of a cess levied under this act; - - - - '" a bill funher to amend the iron ore mines labour welfare cess act, 1961 (shri jai sukh lal hathi, minister of labour                          (9)> rehabilitation-) 