37. Acts and proceedings not to be invalidated by vacancies.—No act of the Institute or Executive
Council or Academic Council or any other body set up under this Act or the Statutes, shall be invalid
merely by reason of—
(a) any vacancy in, or defect in the constitution thereof; or
(b) any defect in the election, nomination or appointment, of a person acting as member thereof;
or
(c) any irregularity in its procedure not affecting the merits of the case.
38. Grant of degrees, etc., by Institute.—Notwithstanding anything contained in the University
Grants Commission Act, 1956 (3 of 1956) or any other law for the time being in force, the Institute shall
have power to grant degrees and other academic distinctions and titles under this Act:
Provided that the nomenclature of any degree to be granted by the Institute shall be notified by the
University Grants Commission with the prior approval of the Central Government.
39. Sponsored schemes.—Notwithstanding anything contained in this Act, whenever the Institute
receives funds from any Government, the University Grants Commission or any other agency including
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industry sponsoring a research scheme, a consultancy assignment, a teaching programme or a chaired
professorship or a scholarship, to be executed or endowed at the Institute,—
(a) the amount received shall be kept by the Institute separately from the fund of the Institute and
utilised only for the purpose of the scheme:
Provided that any money remaining unutilised under this clause shall be transferred to the
endowment fund set up under section 27; and
(b) the staff required to execute the same shall be recruited in accordance with the terms and
conditions stipulated by the sponsoring organisation with prior approval of the Central Government:
Provided that the principles laid down in the General Financial Rules, 2005 shall be followed for
approval of sponsored schemes funded by the Central Government.
40. Meetings of Academic Council and Finance Committee.—The Academic Council and the
Finance Committee shall meet at such times and follow such procedure, in its meetings (including
quorum at such meetings) as may be provided by the Statutes.
41. Power of Central Government to give directions to Institute.—(1) The Central Government
may give such directions, as it may deem necessary, to the Institute for the effective administration of this
Act and the Institute shall comply with such directions.
(2) In case of dispute between the Institute and the Central Government, in connection with the
exercise of its powers and discharge of its functions by the Institute under this Act, the decision of the
Central Government on that dispute, shall be final.
42. Protection of action taken in good faith.—No suit or other legal proceedings shall lie against
any officer or employee of the Institute for anything which is in good faith done or intended to be done in
pursuance of any of the provisions of this Act, the Statutes or the Ordinances.
43. Power to make rules.—(1) The Central Government may, by notification, make rules to carry
out the provisions of this Act.
(2) In particular and without prejudice to the generality of the foregoing power, such rules may
provide for all or any of the following matters, namely:—
(a) the form and manner in which the books of account of the Institute shall be maintained under
sub-section (1) of section 28;
(b) any other matter which is required to be, or may be, prescribed.
44. Statutes, Ordinances and notifications to be published in Official Gazette and to be laid
before Parliament.—(1) Every rule made by the Central Government and every Statute and every
Ordinance made or notification issued under this Act shall be published in the Official Gazette.
(2) Every rule made by the Central Government, every Statute and every Ordinance made or
notification issued under this Act shall be laid, as soon as may be after it is made, before each House of
Parliament, while it is in session, for a total period of thirty days which may be comprised in one session
or in two or more successive sessions, and if, before the expiry of the session immediately following the
session or the successive sessions aforesaid, both Houses agree in making any modification in the Statute,
Ordinance or notification or both Houses agree that the Statute, Ordinance or notification should not be
made or issued, the Statute, Ordinance or notification shall thereafter have effect only in such modified
form or be of no effect, as the case may be; so, however, that any such modification or annulment shall be
without prejudice to the validity of anything previously done under that Statute, Ordinance or notification.
(3) The power to make the Statutes, Ordinances or notifications shall include the power to give
retrospective effect from a date not earlier than the date of commencement of this Act, to the Statutes,
Ordinances, notifications or any of them but no retrospective effect shall be given to any Statute,
Ordinance or notification so as to prejudicially affect the interests of any person to whom such Statute,
Ordinance or notification may be applicable.
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45. Power to remove difficulties.—(1) If any difficulty arises in giving effect to the provisions of
this Act, the Central Government may, by order published in the Official Gazette, make such provisions
or give such directions not inconsistent with the provisions of this Act, as appears it to be necessary or
expedient for removing the difficulty:
Provided that no order shall be made under this section after the expiry of two years from the date of
commencement of this Act.
(2) Every order made under this section shall be laid, as soon as may be after it is made, before each
House of Parliament.
46. Transitional provisions.—Notwithstanding anything contained in this Act,—
(a) the Advisory Board and the Executive Council of the existing Institute functioning as such
immediately before the commencement of this Act shall continue to so function until an Executive
Council is constituted for the Institute under this Act, but on the constitution of a new Executive
Council under this Act, the members of the Advisory Board and Executive Council holding office
before such constitution shall cease to hold office; and
(b) until the first Statutes and the Ordinances are made under this Act, the Statutes and the
Ordinances of the existing Institute, or notification as in force, immediately before the
commencement of this Act, shall continue to apply to the Institute in so far as they are not
inconsistent with the provisions of this Act.