Section 15 of Madras Race Club (Acquisition and Transfer of Undertaking) Act — Payment by the Government to the Commissioner

Bare section text

Official Legislative Text

Payment by the Government to the Commissioner.—(1) The Government shall, within thirty days from the specified date, pay, in cash, to the Commissioner, for payment to the club an amount equal to the amount determined under section 8.

(2)A deposit account shall be opened by the Government in favour of the Commissioner, in the Public Account of the State, and every amount paid under this Act to the Commissioner shall be deposited by him to the credit of the said deposit account and the said deposit account shall be operated by the Commissioner.
(3)Records shall be maintained by the Commissioner in respect of the undertaking of the club in relation to which payment has been made to him under this Act.
(4)The interest accruing on the amount standing to the credit of the deposit account referred to in sub-section
(2)shall enure to the benefit of the club.

Educational Study Layer

Summary

The Government must pay the Commissioner an amount equal to the amount determined under Section 8 within thirty days from the specified date.
This payment by the Government to the Commissioner must be made in cash for payment to the club.
The Government must open a deposit account in favour of the Commissioner in the Public Account of the State.
Every amount paid under this Act to the Commissioner must be credited to this deposit account, which is operated by the Commissioner.
The Commissioner must maintain records regarding the undertaking of the club, and interest on the deposit account enures to the benefit of the club.

Practical examples

1Following the valuation of club assets under Section 8, the Government notifies a specified date. Under Section 15, the Government must pay the full determined sum in cash within thirty days from that specified date into a dedicated deposit account opened in the Public Account of the State in favour of the Commissioner.

2While the Commissioner verifies competing claims filed by suppliers, the compensation funds remain in the Public Account deposit account for four months, generating interest. Under Section 15, that accrued interest does not lapse to the Government, but enures to the benefit of the club.

FAQ

1. What is the deadline for the Government to pay the Commissioner under Section 15?

Under Section 15(1) of this Act, the Government must make the payment within thirty days from the specified date.

2. In what form must the Government make the payment under Section 15?

Under Section 15(1) of this Act, the payment must be made in cash, for payment to the club.

3. Where is the money deposited under Section 15?

Under Section 15(2) of this Act, the money is placed in a deposit account opened in favour of the Commissioner in the Public Account of the State.

4. Who receives the interest that accrues on the deposit account under Section 15?

Under Section 15(4) of this Act, the interest accruing on the amount standing to the credit of the deposit account enures to the benefit of the club.

Practice Quiz

Q1.Under Section 15(1) of this Act, what is the mandatory time limit for the Government to pay the compensation sum to the Commissioner?

Q2.Under Section 15(2) of this Act, where must the Government open the deposit account in favour of the Commissioner?

Q3.Under Section 15(4) of this Act, who is entitled to interest that accrues on the credit balance in the deposit account?

Q4.Connecting Section 8 and Section 15(1) of this Act, what exact figure must the Government pay in cash to the Commissioner?

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