Section 17 in Karnataka Co-Operative Textile Mills (Acquisition and Transfer) Act, 1986
17. Certain powers of the Government and the Company.
(1)The Government or the Company, as the case may be, shall be entitled to receive upto the specified date, to the exclusion of all other persons any money due in relation to the mills which has vested in the Government or the Company, and realised after the appointed day, notwithstanding that the realisation pertains to a period prior to the appointed day.(2)The Government or the Company, as the case may be, make a claim to the Commissioner with regard to every payment made by the Government or the Company after the appointed day for discharging any liability of the lessor or lessee in relation to the mills in respect of any period prior to the appointed day and every such claim shall have priority in accordance with priorities attaching under this Act to the matters in relation to which such liability has been discharged by the Government or the Company.(3)Save as otherwise provided in this Act, the liabilities of the lessor or lessee in relation to the mills in respect of any transaction prior to the appointed day, which have not been discharged on or before the specified date shall be the liabilities of the lessor or lessee, as the case may be.
