Coal Mines (Nationalisation) Act,1973
Act No : 26
Section :
Priority in relation to other claims.
22. Priority in relation to other claims. (1) Save as otherwise provided in section 21, every secured debt due from the owner of a coal mine or group of coal mines shall ---------------------------------------------------------------------- 1 Ins. by Act 22 of 1978, s. 13 (w.e.f. 1-11-1975). 348 have priority over all other debts and shall be paid in accordance with the rights and interests of the secured creditors. (2) Notwithstanding anything contained in any other law for the time being in force, there shall be paid in priority to all other unsecured debts, not being the amounts advanced by the Central Government or the Custodian appointed under the Coal Mines (Taking Over of Management) Act, 1973 (15 of 1973), for the management of the coal mine,-- (a) all sums due to the State Government including royalty and dead rent; (b) all amounts due in respect of any compensation or liability for compensation under the Workmen's Compensation Act, 1923 (8 of 1923), in respect of the death or disablement of any employee of the coal mine unless such mine has, under such contract with insurers as mentioned in 1*[section 14] of the said Act, rights capable of being transferred to and vested in, the workmen; and (c) all sums deducted by the employer from the salary or wages of any workman or other employee for credit to any provident fund, or any other fund established for the welfare of the employees of the coal mine but not deposited to the credit of the said fund. (3) The debts specified in sub-section (2) shall rank equally among themselves and be paid in full, unless the assets are insufficient to meet them, in which case they shall abate in equal proportions and be paid accordingly.
Read All Comments
