The Khadi and Village Industries Commission Act

2Definitions

n this Act, unless the context otherwise requires,--

(a) "the Board" means the Board constituted under ¹ [section 10];

(b) "chairman" means the chairman of the Commission;

² [(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 ³ [and includes the chairman ⁴ ***];

(f) "prescribed" means prescribed by rules made under this Act;

⁵ [(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 ⁶ [twenty thousand] or such other figure as the Central Government may specify from time to time;]

⁷ * * * * *

⁸ * * * * *

⁹ [(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 ¹⁰[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:

¹¹ [Provided further that in the case of any industry located in a hilly area, the provisions of this 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;]

Download our fully-offline, High speed android app.- Click here

1. Subs. by Act 36 of 1957, s. 3 and the Second Schedule, for "section 9" (w.e.f. 17-9-1957).

2. Ins. by Act 12 of 1987, s. 2 (w.e.f. 24-7-1987).

3. Subs. by Act 32 of 1961, s. 2, for "and includes the chairman" (w.e.f. 28-8-1961).

4. The words "and the vice-chairman" omitted by Act 12 of 1987, s. 2 (w.e.f. 24-7-1987).

5. Ins. by s. 2, ibid. (w.e.f. 24-7-1987).

6. Subs. by Act 10 of 2006, s. 2, for "ten thousand" (w.e.f. 15-5-2006).

7. Omitted by Act 12 of 1987, s. 2 (w.e.f. 24-7-1987).

8. Omitted by s. 2, ibid. (w.e.f. 24-7-1987).

9. Subs. by s. 2, ibid., for clause (h) (w.e.f. 24-7-1987).

10. Subs. by Act 10 of 2006, s. 2, for "fifteen thousand rupees" (w.e.f. 15-5-2006).

11. The proviso ins. by Act 10 of 2006, s. 2 (w.e.f. 15-5-2006).

Click here to register yourself as a lawyer in our registry

All sections