31. Power of [State] Government to withdraw [recognition and to take over management]. - (1) The [State] Government if dissatisfied with the conditions, rules, management or superintendence of [an Approved Institution or recognised After-care Home or Hostel] may at any time by notice served on the managers of the [Institution or Home or Hostel] declare that the [the recognition thereof] is withdrawn as from a date specified in the notice and on such declaration the withdrawal [of the recognition] shall take effect and [the Institution or Home shall cease to be an Approved Institution or Home.]
(2)The [State] Government may, instead of a withdrawing [the recognition] under sub-section (1), by notice served on the manager of the [institution], prohibit the admission of children or youthful offender to the [institution] for such time as may be specified in the notice or until the notice is revoked.[(3) The State Government, if dissatisfied with the conditions, rules, management or superintendence of an Observation Home, may at any time by notice served on the managers of that institution and after giving the managers a reasonable opportunity of being heard, cancel the declaration of that institution as an Observation Home, and shall by an order in writing take over the management of the institution in the prescribed manner for a temporary period not exceeding five years or for special reasons to be recorded in writing such further period not exceeding two years as may be specified in the order.(4)Whenever the management of any institution is taken over under sub-section (3), every person in charge of the management of such institution immediately before its management is taken over shall deliver possession of the property and fund of the institution to such officer as may be authorised by the State Government in this behalf.(5)During such period as the institution remains under the management of the State Government,-(a)the service conditions applicable to the employees of the institution immediately before the date on which the management was taken over, shall not be varied to their disadvantage;(b)all facilities which the institution had been affording immediately before such management was taken over, shall continue to be afforded;(c)the property and funds of the institution, if any, shall continue to be available to the State Government for being utilised or, as the case may be, spent for the purposes of the institution; and(d)no resolution passed at any meeting of the management of such institution shall be given effect to unless approved by the State Government.(6)After the expiry of the period for which the management of such institution has been taken over, the State Government shall hand over the institution together with the property and the funds of the institution to the management concerned]:Provided that, before the issue of a notice under sub-section (1) [(2) or (3)] a reasonable opportunity shall be given to the managers of the [institution] to show cause why the [recognition] may not be withdrawn or admission to the [institutions] may not be prohibited [or, as the case may be, the declaration of the Institution as the Observation Home may not be cancelled or the management of the Institution may not be taken over].
