Khadi and Village Industries Commission Act, 1956
No: 61 Dated: Sep, 25 1956
THE KHADI AND VILLAGE INDUSTRIES COMMISSION ACT, 1956
ACT NO. 61 OF 1956
An Act to provide for the establishment of a Commission for the development of Khadi and Village Industries and for matters connected therewith.
BE it enacted by Parliament in the Seventh Year of the Republic of India as follows:—
CHAPTER I
PRELIMINARY
1. Short title and extent.—(1) This Act may be called The Khadi and Village Industries Commission Act, 1956.
(2) It extends to the whole of India except the State of Jammu and Kashmir.
2. Definitions.—In this Act, unless the context otherwise requires,—
(a) “the Board” means the Board constituted under section 10;
(b) “chairman” means the chairman of the Commission;
(c) “Commission” means the Khadi and Village Industries Commission established under section;
(cc) “fixed capital investment” includes investment in plant and machinery and land and building of an industry;
(d) “khadi” means any cloth woven on handlooms in India from cotton, silk or woolen yarn handspun in India or from a mixture of any two or all of such yarns;
(e) “member” means a member of the Commission and includes the chairman ;
(f) “prescribed” means prescribed by rules made under this Act;
(ff) “rural area” means the area comprised in any village, and includes the area comprised in any town, the population of which does not exceed twenty thousand or such other figure as the Central Government may specify from time to time;
(h) “village industry” means,—
(i) any industry located in a rural area which produces any goods or renders any service with or without the use of power and in which the fixed capital investment per head of an artisan or a worker does not exceed one lakh rupees or such other sum as may, by notification in the Official Gazette, be specified from time to time by the Central Government:
Provided that any industry specified in the schedule and located in an area other than a rural area and recognised as a village industry at any time before the commencement of the Khadi and Village Industries Commission (Amendment) Act, 1987 (12 of 1987), shall, notwithstanding anything contained in this sub-clause, continue to be a village industry under this Act:
Provided further that in the case of any industry located in a hilly area, the provisions of this sub-clause shall have effect as if for the words “one lakh rupees”, the words “one lakh and fifty thousand rupees” steal.
(ii) any other non-manufacturing unit established for the sole purpose of promoting, maintaining, assisting, servicing (including mother units) or managing any village industry;