Shipping Development Fund Committee (Abolition) Act,1986
Act No : 66
Section :
Appointment of receiver without intervention of court.
9. Appointment of receiver without intervention of court. (1)
Where the Central Government issues a notice under section 8 and the
shipowner fails to company with such notice, the Central Government
may, notwithstanding anything contained in any other law for the time
being in force or anything contrary contained in any agreement, deed
or other instrument in the nature of any guarantee or
counterguarantee, appoint, without intervention of the court, a
receiver to detain and take possession of any ship or other assets
belonging to the shipowner whether mortgaged, hypothecated or charged,
with power to--
(i) sell such ship or other assets by public auction
notwithstanding anything to the contrary contained in section 51
of the Act;
(ii) demand and recover all the income in respect of which
he is appointed receiver of any such ship or other assets and to
appropriate the same in the discharge of rents, taxes and other
dues and outgoings affecting the same and in payment of the
liabilities of the shipowner under any mortgage, hypothecation or
charge to the Central Government; or
(iii) use, operate, charter or lease such ship or other
assets to generate incomes, rents or profits to meet the
liabilities of the shipowner to the Central Government under the
mortgage, hypothecation or charge, and pay the residue, if any,
of the money received by him to the person who, but for the
appointment of the
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receiver, would have been entitled to receive the income of which
he is appointed receiver, or who is otherwise entitled to such
property.
(2) A receiver appointed under this section shall be deemed to be
the agent of the shipowner and the shipowner shall be solely
responsible for the receiver's acts or defaults unless such acts or
defaults are due to any improper intervention on the part of the
Central Government.
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