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COMMENTS

(i) The certificate of registration continues to hold good until it is cancelled; IFFCO, Phulpur Karamchari Sangh v. Registrar of Trade Unions, (1992) II, LLJ 239 (All).

(ii) The registration gives a stamp of due formation of the Trade Union and assures the mind of the employer that the Trade Union is an authenticated body. The names and occupation of whose office-bearers also become known; Food Corporation of India Staff Union v Food Corporation of India, 1995 LLR 309 (SC) 3 JJ.

10. Cancellation of registration.-A certificate of registration of a Trade Union may be withdrawn or cancelled by the Registrar-

(a) on the application of the Trade Union to be verified in such manner as may be prescribed;

(b) if the Registrar; is satisfied that the certificate has been obtained by fraud or mistake or that the Trade Union has ceased to exist or has wilfully and after notice from the Registrar contravened any provision of this Act or allowed any rule to continue in force which is inconsistent with any such provision or has rescinded any rule providing for any matter provision for which is required by section 6:
Provided that not less than two months previous notice in writing specifying the ground on which it is proposed to withdraw or cancel the certificate shall be given by the Registrar to the Trade Union before the certificate is withdrawn or cancelled otherwise than on the application of the Trade Union.

COMMENTS

(i) Registration of a trade union, once registered, cannot be cancelled save and except under section 10; Phillips Workers Union v. Registrar of Trade Unions, (1989) 58 FLR 58 (Cal).

(ii) The Order of cancellation of registration of Trade Union passed by the Registrar without hearing the Union is violative of principles of natural justice and illegal, hence liable to be quashed; Nagda Rashtra Sevak Karamchari Congress v. Industrial Court, 1997 (77) FLR 139.

1[11. Appeal. -(1) Any person aggrieved by any refusal of the Registrar to register a Trade Union or by the withdrawal or cancellation of a certificate of registration may, within such period as may be prescribed, appeal-

(a) where the head office of the Trade Union is situated within the limits of a Presidency town 2[***} to the High Court, or

(b) where the head office is situated in any area, to such Court, not inferior to the Court of an additional or assistant Judge of a principal Civil Court of original jurisdiction as the 3[Appropriate Government] may appoint in this behalf for that area.

(2) The appellate court may dismiss the appeal, or pass an order directing the Registrar to register the Union and to issue a certificate of registration under the provisions of section 9 or setting aside the order or withdrawal or cancellation of the certificate, as the case may be, and the Registrar shall comply with such order.

_____________________________


  1. Subs. by Act 15 of 1928. sec. 2, for the original section 11.

  2. The words “or of Rangoon” omitted by the A.O. 1937.

  3. Subs. by the A.O. 1937, for “L.G.”.

(3) For the purpose of an appeal under sub-section (1) an appellate court shall, so far as may be, follow the same procedure and have the same power as it follows and has when trying a suit under the Code of Civil Procedure, 1908 (5 of 1908), and may direct by whom the whole or any part of the costs of the appeal shall be paid, and such costs shall be recovered as if they had been awarded in a suit under the said Code.

(4) In the event of the dismissal of an appeal by any court appointed under clause (b) of sub-section (1) the person aggrieved shall have a right of appeal to the High Court, and the High Court shall, for the purpose of such appeal, have all the powers of an appellate court under sub-sections (2) and (3), and the provisions of those sub-sections shall apply accordingly.)


COMMENTS

The order of callcellation of the registration of a trade union cannot be withdrawn or revoked by the Registrar. Only remedy is to go in appeal or apply for re-registration: Rashtriya Mukund Employees Union V. Mukund Iron and Steel Works Ltd. (1987) 55 FLR 507 (Bom)



12. Registered office.-AII communications and notices to a registered Trade Union may be addressed to its registered office. Notice of any change in the address of the head office shall be given within fourteen days of such change to the Registrar in writing and the changed address shall be recorded in the register referred to in section 8,
13. lncorporation of registered Trade Union.-Every registered Trade Union shall be a body corporate by the name under which it is registered, and shall have perpetual succession and a common seal with power to acquire and hold both movable and immovable property and to contract, and shall by the said name sue and be sued.

COMMENTS

“Body corporate” means a succession or collection of persons having in the estimation of the law in existence and rights and duties distinct from those of the individual persons who form it from time to time: Saloman V. Saloman & Co. Ltd. 1897 AC 22.



14. Certain Acts not to apply to registered Trade Unions.- The following Acts namely- .

(a) The Societies Registration Act, 1860 (21 of 1860)

(b) The Co-operative Societies Act, 1912 (2 of 1912)

1[(C) The Companies Act. 1956 (1 of 1956))
shall not apply to any registered Trade Union, and the registration of any such Trade Union under any such Act shall be void.
CHAPTER III

RIGHTS AND LIABILITIES OF REGISTERED TRADE UNIONS
15. Objects on which general funds may be spent.- The general funds of a registered Trade Union shall not be spent on any other objects than the following.-namely:--
_________________________


  1. Subs. by Act 42 of 1960. sec, 7. for original clause (e). The original clauses (e) and (d) were repealed by the Act 25 of 1942, sec. 2 and Sch. 1.

(a) the payment of salaries, allowances and expenses to 1[office-bearers] of the Trade Union;

(b) the payment of expenses for the administration of the Trade Union, including audit of the accounts of the general funds of the Trade Union;

(c) the prosecution or defence of any legal proceeding to which the Trade Union or any member thereof is a party, when such prosecution or defence is undertaken for the purpose of securing or protecting any rights of the Trade Union as such or any rights arising out of the relations of any member with his employer or with a person whom the member employ;

(d) the conduct of trade disputes on behalf of the Trade Union or any member thereof;

(e) the compensation of members for loss arising out of trade disputes;

(f) allowances to members or their dependants on account of death, old age, sickness, accidents or unemployment of such members;

(g) the issue of, or the undertaking of liability under, policies of assurance on the lives of members, or (under) policies insuring members against sickness, accident or unemployment;

(h) the provision of education, social or religious benefits for members (including the payment of the expenses of funeral or religious ceremonies for deceased members) or for the dependants of members;

(i) the upkeep of a periodical published mainly for the purpose of discussing questions affecting employers or workmen as such;

j) the payment, in furtherance of any of the objects on which the general funds of the Trade Union may be spent, of contributions to any cause intended to benefit workmen in general provided that the expenditure in respect of such contributions in any financial year shall not at any time during that

year be in excess of one-fourth of the combined total of the gross income which has up to that time accrued to the general funds of the Trade Union during that year and of the balance at the credit of those funds at the commencement of that year; and

(k) subject to any conditions contained in the notification, any other object notified by the 2[appropriate Government] in the Official Gazette.
16. Constitution of a separate fund for political purposes.-(1) A registered Trade Union may constitute a separate fund, from contributions separately levied for or made to that fund, from which payments may be made, for the promotion of the civic and political interests of its members, in furtherance of any of the objects specified in sub-section (2).

(2) The objects referred to in sub-section (1) are:-

(a) the payment of any expenses incurred, either directly or indirectly, by a candidate or prospective candidate for election as a member of any legislative body constituted under 3[***] 4[the Constitution] or of any local authority, before, during, or after the election in connection with his candidature or election; or

____________________________

1. Subs. by Act 38 of 1964, sec.2, for "officers" (w.e.f. 1-4-1965).

2. Subs. by the A.O. 1937, for "G.G. in C".

3. The words and figures "the Government of India Act, or the Government of India Act, 1935, or"

omitted by Act 42 of 1960, sec.8.



  1. Ins. by the A.O. 1950.

(b) the holding of any meeting or the distribution of any literature or documents in support of any such candidate or prospective candidate; or

(c) the maintenance of any person who is a member of any legislative body constituted under 1(***] 2(the Constitution] or for any local authority; or

(d) the registration of electors or the selection of a candidate for any legislative body constituted under 1(***] 2(the Constitution] or for any local authority; or

(e) the holding of political meetings of any kind, or the distribution of political literature or political documents of any kind.

3[(2A) In its application to the State of Jammu and Kashmir, references in sub-section (2) to any legislative body constituted under the Constitution shall be construed as including references to the Legislature of that State.]

(3) No member shall be compelled to contribute to the fund constituted under sub-section (1); and a member who does not contribute to the said fund shall not be excluded from any benefits of the Trade Union, or placed in any respect either directly or indirectly under any disability or at any disadvantage as compared with other members of the Trade Union (except in relation to the control or management of the said fund) by reason of his not contributing to the said fund; and contribution to the said fund shall not be made a condition for admission to the Trade Union.


17. Criminal conspiracy in trade disputes.-No 4(office-bearer] or member of a Registered Trade Union shall be liable to punishment under sub-section (2) of section 120B of the Indian Penal Code, 1860 (45 of 1860) in respect of any agreement made between the members for the purpose of furthering any such object of the Trade Union as is specified in section 15, unless the agreement is an agreement to commit an offence.
18. Immunity from civil suit in certain cases.-(I) No suit or other legal proceeding shall be maintainable in any Civil Court against any registered Trade Union or any 4[office-bearer] or member thereof in respect of any act done in contemplation or furtherance of a trade dispute to which a member of the Trade Union is a party on the ground only that such act induces some other person to break a contract of employment, or that it is in interference with the trade, business or employment of

some other person or with the right of some other person to dispose of his capital or of his labour as he wills.

(2) A registered Trade Union shall not be liable in any suit or other legal proceeding in any civil court in respect of any tortious act done in contemplation or furtherance of a trade dispute by an agent of the Trade Union if it is proved that such person acted without the knowledge of, or contrary to express instructions given by, the executive of the Trade Unions.
___________________________

1. The words and figures "the Government of India Act, or the Government of India Act, 1935, or"

omitted by Act 42 of 1960, sec.8.

2. Ins. by the A.O.1950.

3. Ins. by Act 51 of 1970, sec.2 and Sch.

4. Subs. by Act 38 of 1964, sec.2, for "officer" (w.e.f. 1-4-1965).



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