Section 16 in The Gujarat Sick Textile Undertakings (Nationalisation) Act, 1986
16. Certain powers of the Corporation.
(1)The Corporation shall be entitled to receive to the exclusion of all other persons, any money due to the sick textile undertakings, realised after the appointed day, notwithstanding that the realisation pertain to a period prior to the appointed day.(2)The Corporation may make a claim to the Commissioner with regard to every payment made by the Custodian after the appointed day but before the date on which the Gujarat Sick Textile Undertakings (Nationalisation) Ordinance, 1956 (Gujarat Ordinance 7 of 1986.) was first published in the Official Gazette for discharging any liability of the owner of the sick textile undertaking in relation to any period prior to the appointed day, and every such claim shall have priority, in accordance with the priorities attaching, under this Act to the matter in relation to, which such liability has been discharged by the Custodian.(3)Save as otherwise provided in this Act the liabilities in relation to the sick textile undertaking in respect of any period prior to the appointed day which have not been discharged by the Corporation shall be the liabilities of the owner of that sick textile undertaking.Explanation. - For the purposes of this section the expression "custodian' means,-(a)in the case where the management of a textile undertaking specified in the First Schedule has been taken over by the Central Government under the Industries (Development and Regulation) Act, 1951 (65 of 1951), the body or body of persons authorised by the Central Government to take over the management, and(b)in the case of a textile undertaking specified in the First Schedule which has vested in the Corporation as a lessee, the Corporation.
