The Tea (Amendment) Act, 1976, 75 of 1976 (Rep., Act 19 of 1988)

Section 16E. (1) Without prejudice to any other provision of this Act, if, from the documentary or other evidence

Repealed or not in force · As amended up to 2026-08

16E. (1) Without prejudice to any other provision of this Act, if, from the documentary or other evidence in its possession, the C'en'tral Government is satisfied, in relation to a tea un=Yerla!iing or tea unit, that- (a) the persons in charge of such tea undertaking or tea unit have, by reckless investments or creation of incumbrances on the assets of the tea undertaltjng or tea 11-nit, or i ~ p rliverslon of funds; bi-ought abol-lt a situatioll nrhich is likely to affect the prod~lrtion. nf ten, ~n~in~lf?ct!:re:! or produccd by the ten ~liltler1 r . . 1 1 . : I j j . to ~ I ~ c \ T ( ~ I I ~ S L I C ~ 8 situation; o r Tea (Amendment) OF a9761 65 of 1951. 65 of 1951. \ (b) it has been closed for a period 05 not less[than three ] months (whether by reason of the voluntary winding up of the company owning the tea undertaking or tea unit or for any other reason) and such closure is przjuclicial 'to the[concerned ] tea undertaking or tea unit and that the financial condition of the company owning the tea undertaking or tea unit and the plant and machinery of such tea undertaking or tea unit are such that it is qossible to restart the tea undertaking or tea unit and such res'tarting is necessary in the interests of the general public, it may, by notified order, authorise any person or body of persons to take over the management of the whole or any part of the tea undertaking or tea unit or to exercise in respect of the whole or any part of 'the tea undertaking or tea unit such functions of control as may be specified in the order. (2) On the issue of a notified order under sub-section (I) in respect of a tea undertaking or tea unit,-- (a) the provisions of sub-sections (2), (3) and (4) of section 16D, and the provisions of section 16G, shall apply to a notified order made under sub-section (1) as they apply to axotiiied order made under sub-section (1) of section 16D; and (b) the provisions of sub-sections (3) and. (4) of section 18AA of the Industries (Development and Regulation) Act, 1951, shall apply 'to the tea undertaking or tea unit, as the case may be, to the same extent as they apply to an industrial underlaking.

Source: India Code