Section 5 in The Gujarat Electricity Supply Undertakings (Acquisition) Act, 1969
5. Vesting of the undertaking or its assets.
- Where an ordinary order under subsection (1) of section 4 is made in respect of an undertaking of a licensee, all property belonging to such undertaking including fixed assets, cash securities, investments, documents and the like and all its rights, its assets, liabilities and obligations as on the vesting date shall vest or shall be deemed to have vested in the State Government, free from any debt, mortgage or similar obligations of the licensee or attaching to the undertaking:Provided that any such debt, mortgage or similar obligations shall attach to the amount of compensation payable to the licensee under section 6 in substitution for the undertaking:Provided further that liabilities and obligations not incurred in a bona fide manner shall not vest in the State Government-(ii)in so far as they are in excess of the value on the vesting date of the corresponding assets, if any, vesting or deemed to have vested in the State Government; or(ii)where there are no corresponding assets which vest or are deemed to have vested in the State Government.Explanation. - For the purposes of this section, "undertaking" includes every business carried on by the licensee, the fluids of which form part of the funds of the licensee
