Section 3(1) in The Railway Companies (Emergency Provisions) Act, 1951
(1)Where the Central Government is of opinion that a situation has arisen in the affairs of a railway company which--(a)has prejudicially affected the convenience of persons using the railway administered by the railway company, or(b)has caused serious dislocation in any trade or industry using the railway, or(c)has caused serious unemployment amongst a section of the community, or when, in the opinion of the Central Government, it is necessary in the national interest the Central Government may, by notified order, apply the provisions of this Act to the railway company and appoint as many persons as it thinks fit to be directors of the railway company for the purpose of taking over its management and administration.
