The Andhra Pradesh Public Sector Undertakings (Reconstitution of Management) Act, 1996.
**THE ANDHRA PRADESH PUBLIC SECTOR UNDERTAKINGS**
**(RECONSTITUTION OF MANAGEMENT) ACT, 1996**

**ACT No. 4 OF 1996**

**ARRANGEMENT OF SECTIONS**

**SECTIONS**

**1. Short title and commencement.**

**2. Definitions.**

**3. Cessation of office of the non-official Chairman and the non-official**
directors.

**4. Action for reconstitution of public sector undertakings.**

**5. Power to amend the Schedule.**

**6. Act to override other laws and bar of jurisdiction of civil courts.**

**7. Power to remove difficulties.**

**8. Repeal of Ordinance 18 of 1995.**

**SCHEDULE**


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**THE ANDHRA PRADESH PUBLIC SECTOR UNDERTAKINGS**
**(RECONSTITUTION OF MANAGEMENT) ACT, 1996**

**ACT No.4 OF 1996**

[20[th] January,1996]

**AN ACT TO PROVIDE FOR EFFECTIVE FUNCTIONING OF PUBLIC SECTOR**
**UNDERTAKINGS BY RECONSTITUTING THEIR MANAGEMENT AND**
**FOR THE MATTERS CONNECTED THEREWITH OR INCIDENTAL**
**THERETO.**

Whereas there are a number of non-trading public sector undertakings
functioning as instrumentalities of the State under various branches of
administration within the State of Andhra Pradesh;

And whereas, immediate action is found to be essential in public interest
to accelerate revamping of management of such bodies to function as bodies
responsive to the aspirations and needs of the people;

And whereas, in the notifications issued in G.S.R.No.906, dated the 30[th]
July, 1981, G.S.R.No.577(E), dated the 16[th] July, 1985, and G.S.R.No.579(E),
dated the 16[th] July, 1985, and also in certain other notifications issued from
time to time, the Government of India have exempted all the Government
companies from various provisions of the Companies Act, 1956 under section
620 of the said Act (Central Act 1 of 1956);

Be it enacted by the Legislative Assembly of the State of Andhra Pradesh
in the Forty-sixth Year of the Republic of India as follows:
**1. Short title and commencement - (1) This Act may be called the Andhra**
Pradesh Public Sector Undertakings (Reconstitution of Management) Act; 1996.

(2) Items 18 and 19 of the Schedule appended to the Act shall be deemed
to have come into force on the 25th November, 1995 and the remaining
provisions shall be deemed to have come into force on the 13[th] November,
1995.

**2. Definitions - In this Act, unless the context otherwise requires,-**

(a) “Government” means the Government of Andhra Pradesh;

(b) “Notification” means a notification published in the Andhra
Pradesh Gazette and the word “notified” shall be construed
accordingly;

(c) “Public Sector Undertaking” means a public sector undertaking
specified in the Schedule to this Act;

(d) “Schedule” means the Schedule appended to this Act;

**3. Cessation of office of the non-official Chairman and the non-official**
**directors -** Notwithstanding anything contained in any rule, order or
notification or bye-laws or Memorandum or Articles of Association or in any
provision of any law for the time being in force, the non-official Chairman and
the non-official Directors by whatever name called of every public sector
undertaking holding office at the commencement of this Act shall cease to hold
such office forthwith.

**4. Action for reconstitution of public sector undertakings –**

Notwithstanding anything contained in any rule, order or notification or
bye-laws or Memorandum or Articles of Association or in any provision of any
law for the time being in force, the Government shall, within such period as
they consider reasonable from the date of commencement of this Act


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reconstitute the Board, or committee or management or the governing body by
whatever name called.

**5. Power to amend the Schedule - (1) The Government may, by notification,**
alter or add to or cancel any item in the Schedule.

(2) Where a notification has been issued under sub-section (1), there
shall, unless the notification is in the meantime rescinded, be introduced in the
Legislative Assembly, as soon as may be, but in any case during the next
session of the Legislative Assembly following the date of the issue of the
notification, a Bill on behalf of the Government to give effect to the alteration,
addition or cancellation as the case may be, of the Schedule specified in the
notification, and the notification shall cease to have effect when such Bill
becomes law, whether with or without modifications but without prejudice to
the validity of anything previously done thereunder:

Provided that if the notification under sub-section (1) is issued when the
Legislative Assembly is in session, such a Bill shall be introduced in the
Legislative Assembly during that session:

Provided further that where for any reason a Bill as aforesaid does not
become law within six months from the date of its introduction in the
Legislative Assembly, the notification shall cease to have effect on the
expiration of the said period of six months.

(3) All references made in this Act to any item in the Schedule shall be
construed as relating to the item in the Schedule as for the time being
amended in exercise of the powers conferred by this section.

**6. Act to override other laws and bar of jurisdiction of civil courts –**

The provisions of this Act shall have effect notwithstanding anything
contained in any other law for the time being in force, and accordingly,-
(a) no suit or other proceeding shall be instituted, maintained or
continued in any Court for the continuance of any non-official
Chairman, or a non-official Director as the case may be, who cease to
hold office under this Act;

(b) no court shall enforce any decree or order directing the
continuance of such Chairman or the Director; and

(c) all proceedings pending in any court claiming his continuance
shall abate.

**7. Power to remove difficulties - (1) If any difficulty arises in giving effect to**
the provisions of this Act, the Government may make such orders not
inconsistent with the provisions of this Act as appear to them to be necessary
or expedient for the purpose of removing the difficulty.

(2) Every order made under this section shall be laid before the
Legislative Assembly of the State, as soon as may be, but in any case during
the next session of the Legislative Assembly following the date of making such
order.

**8. Repeal Ordinance 18 of 1995 - The Andhra Pradesh Public Sector**
Undertakings (Reconstitution of Management) Ordinance, 1995 is hereby
repealed.


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**SCHEDULE**

**(See Section 2 (d))**

**1. A.P. State Agro Industries Development Corporation.**

**2. A.P. Fisheries Development Corporation.**

**3. A.P. Meat and Poultry Development Corporation.**

**4. A.P. Travel and Tourism Development Corporation.**

**5. A.P. Forest Development Corporation.**

**6. A.P. Industrial Infrastructure Corporation.**

**7. A.P. Industrial Development Corporation.**

**8. A.P. Electronics Development Corporation.**

**9. A.P. State Housing Corporation.**

**10. A.P. Urban Development and Housing Corporation.**

**11. A.P. Leather Industries Development Corporation.**

**12. A.P. Mineral Development Corporation.**

**13. A.P. State Minorities Finance Corporation**

**14. A.P. State Irrigation Development Corporation.**

**15. A.P. Textile Development Corporation.**

**16. A.P. Handicrafts Development Corporation.**

**17. A.P. State Trading Corporation.**

**18. A.P. State Civil Supplies Corporation.**

**19.** A.P. State Small Scale Industrial Development Corporation.


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