The Industrial Finance Corporation Act, 1948

30B. Effect of notified order appointing Directors.

On the issue of a notified order under section 30A,-

1. 4*[all persons holding, immediately before the issue of the notified order, office as Directors of the industrial concern or any other offices entitling them to exercise powers of superintendence, direction and control of the industrial concern, shall be deemed to have vacated their offices as such;
2. any contract of management between the industrial concern and 5*** any Director thereof holding office as such immediately before the issue of the notified order shall be deemed to have terminated;
3. 4*[the Manager, if any, appointed under section 30A, shall be deemed to have been appointed in pursuance of the provisions of the Companies Act, 1956 (1 of 1956), and the memorandum and articles of association of the industrial concern or, as the case may be, of any law for the time being in force relating to co-operative societies and the memorandum or other instrument of the industrial concern, and the provisions of the said Act or law, and of the memorandum and articles of association or, as the case may be, memorandum or other instrument shall, subject to the other provisions contained in this Act, apply accordingly; but no such Manager shall be removed from office except with the previous consent of the Corporation;]
4. the 4*[Directors or, as the case may be, Administrator] appointed under section 30A shall take such steps as may be necessary to take into their custody or under their control all the property, effects and actionable claims to which the industrial concern is, or appears to be, entitled, and all the property and effects of the

1. 1. Subs. 30A to 30E ins. by Act 78 of 1952, s. 20.2. Subs. by Act 50 of 1986, s. 15 (w.e.f. 2.2.1987).
2. 3. Ins. by Act 43 of 1957, s. 11.
3. 4. Subs. by Act 50 of 1986 s. 15 (w.e.f. 2.2.1987).
4. 5. Omitted by s. 16, ibid. (w.e.f. 2-2-1987).62.industrial concern shall be deemed to be in the custody of the 1*[Directors or, as the case may be, Administrator] as from the date of the notified order;

5. 1*[ the Directors appointed under section 30A shall, for all purposes, be the Directors of the industrial concern duly constituted under the Companies Act, 1956 (1 of 1956) or under any law for the time being in force relating to co-operative societies, and such Directors or, as the case may be, the Administrator appointed under section 30A, shall alone be entitled to exercise all the powers of the Directors (by whatever name called) of the industrial concern, whether such powers are derived from the said Act or law or the memorandum or articles of association or, as the case may be, the memorandum or other instrument of the industrial concern;]

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