Sikkim Industries Licensing Act, 1982
No: 1 Dated: Mar, 17 1993
Sikkim Industries Licensing Act, 1982
(Act No. 1 of 1983)
An Act to provide for licenses for regulation of industries in Sikkim for abolition of exclusive right in industries; for industrial progress of the State and matters connected therewith or incidental thereto.
Be it enacted by the Legislature of Sikkim in the Thirty third year of the Republic of India as follows:
1. Short title, extent and commencement. - (1) This Act may be called the Sikkim Industries Licensing Act, 1982.
(2) It extends to the whole of Sikkim.
(3) Save as otherwise provided in section 8, this Act shall be deemed. to have come into force on the 19th day of June, 1982.
2. Definitions. - In this Act, unless the context otherwise requires,
(a) "government" means the Government of Sikkim;
(b) "industry" means any establishment for manufacture.;
(c) "licensing authority" in relation ,to
(i) a small scale industry means the Department of the Government dealing with Industries; and
(ii) other industries means the Government.
Explanation. - For the purpose of sub-clause (i), a small scale industry shall mean an undertaking having investment in fixed assets in plant and machinery (whether held on ownership terms- or by lease or by hire purchase) not exceeding rupees ten lakhs and that of approved ancillaries upto rupees fifteen lakhs.
(e) "manufacture" means any process for making, fabricating, altering, repairing, ornamenting, finishing, packing, oiling, washing, cleaning, breaking up, demolishing or otherwise treating or adapting any article or substance with a view to its use, sale, transport, delivery or disposal;
(f) "notification" means the notification published in the Official Gazette;
(g) "owner of an industry" includes a person who has ultimate control over the affairs of the industry and where the said affairs are substantially entrusted to or carried on by a person such person shall be deemed to be the owner of such industry;
(h) "prescribed" means prescribed by rules made under this Act.
3. Licence for establishing an industry. - (1) No person or authority other than the Government, shall, after the commencement of this Act, establish or carryon any industry in the State of Sikkim except under and in accordance with a licence issued in that behalf by the licensing authority under this Act.
(2) A licence under sub-section (I) may contain such conditions and in particular,
(a) conditions as to percentage of shares to be offered to persons domiciled in Sikkim for subscription;
(b) appointment of Managing Director or Chairman of an industry;
(c) minimum employment of persons domiciled in Sikkim;
(d) minimum and maximum production;
(e) right of the Government to inspect and control quality of goods produced;
(f) location of the industry, as may be prescribed.
(3) Notwithstanding anything contained in sub-section (2) or the rules made under section 16, the licensing authority may specify on the licence such other conditions as it may deem fit in the interest of development of industries in the State and in the interests of persons domiciled in Sikkim.
4. Procedure for obtaining Licence. - (1) An application for licence shall be made to the Licensing authority in such form as may be prescribed and shall be accompanied by such fees not exceeding rupees ten thousand as may be prescribed.
(2) Where before the commencement of this Act, any person was carrying on any industry, such person shall apply for licence under sub-section (1) and may be entitled to continue to carryon such business without a licence in respect of such industry
(a) for a period of six months from the date of publication of this Act in the Official Gazette; or
(b) if before the expiry of the said six months, such person has made an application, for grant of licence under this Act for such industry, until the final disposal of his application.
(3) On receipt of the application for licence, the licensing authority may either grant or refuse a licence:
Provided that no licence under this Act shall be granted if the licensing authority for reasons to be recorded in writing, is of opinion that granting of such licence shall be against the public interest.
5. Duration and renewal of Licence. - (1) Every licence granted under this Act shall be valid for a period of ten years from the date on which it is granted and may he renewed as provided in this section.
(2) An application for renewal of licence shall be made to the licensing authority not later than three months before the date of its expiry in such form and shall be accompanied by such fees not exceeding rupees five thousand as may be prescribed.