Provision against servants being interested in contract, etc.

§464

Summary

(1) A person who has directly or indirectly, by himself or his partner, a share or interest in a contract with, by, or on behalf of, a 3Corporation or in any employment with, under, by, or on behalf of, a 3Corporation, other than as a 3Corporation servant, shall be disqualified for being a servant of such 3Corporation.\br@s (2) A 3Corporation servant who shall acquire or continue to have, directly or indirectly, by himself or his partner, a share or interest in any such contract or employment as aforesaid shall cease to be a 1Corporation servant, and his office shall become vacant.\br@s (3) A 1Corporation servant who knowingly acquires or continues to have, directly or indirectly, a share or interest in a contract or, except in so far as concerns his employment as a 1Corporation servant, in any employment with, under, by or on behalf of, a 1Corporation of which he is a servant, shall be deemed to have committed an offence under section 168 of the Indian Penal Code.\br@s (4) Nothing in this section shall apply to any such share or interest in a contract or employment with, under by, or on behalf of, the 1Corporation as is referred to in clauses (b), (d), and (g) of proviso to section 463, or to any share or interest acquired or retained with the permission of the Prescribed Authority, in any lease sale or purchase of land or buildings, or in any agreement for the same.\br@s

(1) A person who has directly or indirectly, by himself or his partner, a share or interest in a contract with, by, or on behalf of, a 3Corporation or in any employment with, under, by, or on behalf of, a 3Corporation, other than as a 3Corporation servant, shall be disqualified for being a servant of such 3Corporation.\br@s (2) A 3Corporation servant who shall acquire or continue to have, directly or indirectly, by himself or his partner, a share or interest in any such contract or employment as aforesaid shall cease to be a 1Corporation servant, and his office shall become vacant.\br@s (3) A 1Corporation servant who knowingly acquires or continues to have, directly or indirectly, a share or interest in a contract or, except in so far as concerns his employment as a 1Corporation servant, in any employment with, under, by or on behalf of, a 1Corporation of which he is a servant, shall be deemed to have committed an offence under section 168 of the Indian Penal Code.\br@s (4) Nothing in this section shall apply to any such share or interest in a contract or employment with, under by, or on behalf of, the 1Corporation as is referred to in clauses (b), (d), and (g) of proviso to section 463, or to any share or interest acquired or retained with the permission of the Prescribed Authority, in any lease sale or purchase of land or buildings, or in any agreement for the same.\br@s

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