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State of Uttar Pradesh - Section

Section 3 in The Electricity Laws (Uttar Pradesh Amendment) Act, 1974

3. Amendment of Section 7.

- Section 7 of the principal Act, shall be renumbered as sub-section (1) thereof, and after sub-section (1) as so renumbered, the following sub-section shall be inserted, namely
(2)Where an undertaking is purchased by the State Electricity Board, and-
(i)any amount of wages, bonus, gratuity, provident fund or other payment due on the date of purchase or of the delivery of the undertaking, as the case may be, to persons employed as workmen (within the meaning of the U.P. industrial Disputes Act, 1947) in connection with the undertaking remains unpaid by the licensee to such workmen; or
(ii)the licensee had failed to pay any amount due on the said date in respect of either the licensee's contribution or the employees' contribution realised by the licensee or any other dues recoverable from the licensee under the Employees' Provident Funds Act, 1952. or the Employees' State Insurance Act, 1948, in respect of persons employed in connection with the undertaking;
the Board may pay the said amounts to the employees or to the Board of Trustees under the first mentioned Act. or to the Employees State Insurance Corporation, under the second mentioned Act, as the case may be, and deduct the same from the purchase money to be paid to the licensee and if the amounts so paid exceed the purchase money available, recover the excess from the licensee as arrears of revenue.
(3)All security deposits made by the consumers on the said date shall be transferred by the licensee to the Board, and if they are not so transferred the Board shall deduct the amount of the said deposits from the purchase money to be paid to the licensee, and if the said amount exceeds the purchase money available, recover the excess from the licensee as arrears of revenue.
(4)The liability of the licensee towards his employees or consumers, as the case may be, to the extent of deductions and recoveries made by the Board under sub-sections (2) and (3) shall stand discharged.
(5)The provisions of sub-sections (2), (3) and (4) shall apply in respect of all undertakings purchased before or after the commencement of the Electricity Laws (Uttar Pradesh Amendment) Act, 1974, in respect of which the purchase money remains to be paid to the licensee."