23. Penalties.—Any person who, being required under this Act to furnish any return, fails to furnish
such return or furnishes a return containing any particular which is false and which he knows to be false
or does not believe to be true, shall be punishable with fine which may extend to five hundred rupees.
24. Penalties for obstructing a member, officer or other employee of the Board in the discharge
of his duties and for failure to produce books and records.—Any person who—
(a) obstructs any member or any officer or other employee of the Board or any other person in the
exercise of any power conferred, or in the discharge of any duty imposed, on him by or under this
Act; or
(b) having control over or custody of any account book or other record, fails to produce such
book or record when required to do so by or under this Act,
shall be punishable with imprisonment for a term which may extend to six months, or with fine which
may extend to one thousand rupees, or with both.
25. Other penalties.—Whoever contravenes or attempts to contravene or abets the contravention of
the provisions of this Act 1
[or of any rules or regulations made thereunder] other than the provisions,
punishment for the contravention whereof has been provided for in section 20 or section 23 or section 24,
shall be punishable with imprisonment for a term which may 2
[extend to two years, or with fine which
may extend to five thousand rupees, or with both] and in the case of a continuing contravention with an
additional fine which may extend to fifty rupees for every day during which such contravention continues
after conviction for the first such contravention.
26. Offences by companies.—(1) Where an offence under this Act has been committed by a
company, every person who, at the time the offence was committed, was in charge of, and was
responsible to, the company for the conduct of the business of the company as well as the company shall
be deemed to be guilty of the offence and shall be liable to be proceeded against and punished
accordingly:
Provided that nothing contained in this sub-section shall render any such person liable to any
punishment, if he proves that the offence was committed without his knowledge or that he exercised all
due diligence to prevent the commission of such offence.
(2) Notwithstanding anything contained in sub-section (1), where an offence under this Act has been
committed by a company and it is proved that the offence has been committed with the consent or
connivance of, or is attributable to any neglect on the part of, any director, manager, secretary or other
officer of the company, such director, manager, secretary or other officer shall also be deemed to be
guilty of that offence and shall be liable to be proceeded against and punished accordingly.
Explanation.—For the purposes of this section—
(a) “company” means any body corporate and includes a firm or other association of individuals;
and
(b) “director”, in relation to a firm, means a partner in the firm.
27. Jurisdiction of court.—No court inferior to that of a Metropolitan Magistrate or a Magistrate of
the first class shall try any offence punishable under this Act.
28. Previous sanction of Central Government.—No prosecution for any offence punishable under
this Act shall be instituted except with the previous sanction of the Central Government.
1. Subs. by Act 57 of 1985, s. 11, for “or of any rules made thereunder” (w.e.f. 1-12-1985).
2. Subs. by s. 11, ibid., for “extend to six months, or with fine which may extend to one thousand rupees, or with both”
(w.e.f. 1-12-1985).
12
29. Protection of action taken in good faith.—No suit, prosecution or other legal proceedings shall
lie against the Central Government, or the Board or any committee appointed by it, or any member of the
Board or such committee, or any officer or other employee of the Central Government or of the Board or
any agent of or any other person authorised by the Board, for anything which is in good faith done or
intended to be done under this Act or the rules made thereunder.
30. Suspension of operation of Act.—(1) If the Central Government is satisfied that circumstances
have arisen rendering it necessary that certain of the restrictions imposed by this Act should cease to be
imposed or if it considers it necessary or expedient so to do in the public interest, the Central Government
may, by notification in the Official Gazette, suspend or relax to a specified extent, for such period as may
be specified in the notification, the operation of all or any of the provisions of this Act, in all or any of the
territories to which this Act extends.
(2) Where the operation of any provision of this Act has, under sub-section (1), been suspended or
relaxed, such suspension or relaxation may, at any time while this Act remains in force, be removed by
the Central Government by notification in the Official Gazette.
(3) Every notification issued under this section shall be laid, as soon as may be after it is issued,
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 notification or both Houses agree that the notification should not be issued, the
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 previous operation
of the notification.
31. Application of other laws not barred.—The provisions of this Act shall be in addition to, and
not in derogation of, the provisions of any other law for the time being in force.
32. Power of Central Government to make rules.—(1) The Central Government may, by
notification in the Official Gazette, make rules for carrying out the purposes 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 powers and functions of the Vice-Chairman of the Board;
(b) the term of office and other conditions of service of members, the manner of filling vacancies
among, and the procedure to be followed in the discharge of their functions by, members;
(c) the powers which may be exercised and the duties which shall be performed by the Executive
Director and the Secretary;
(d) the circumstances in which and the authority by which a member may be removed;
(e) the holding of a minimum number of meetings of the Board every year;
(f) the procedure to be followed at the meetings of the Board for the conduct of business and the
number of members which shall form a quorum at a meeting;
(g) the maintenance by the Board of records of business transacted by the Board and the
submission of copies thereof to the Central Government;
1
[(ga) the specifications with regard to grading work referred to in section 11B;]
(h) the matters referred to in section 14;
2
[(hh) the manner of collection of fees under sub-section (2) of section 14A;]
(i) the powers of the Board, its Chairman, the Executive Director and committees of the Board
with respect to the incurring of expenditure;
1. Ins. by Act 57 of 1985, s. 12 (w.e.f. 1-12-1985).
2. Ins. by Act 36 of 1978, s. 6 (w.e.f. 30-8-1978).
13
(j) the conditions subject to which the Board may incur expenditure outside India;
1
[(ja) the amounts for the purposes of the proviso to section 18A;]
(k) the preparation of budget estimates of receipts and expenditure of the Board and the authority
by which the estimates are to be sanctioned;
(l) the form and manner in which the accounts should be maintained by the Board;
(m) the deposit of the funds of the Board in banks and the investment of such funds;
(n) the conditions to be observed by the Board in borrowing money;
(o) the conditions subject to which, and the manner in which, contracts may be entered into by or
on behalf of the Board;
(p) the additional matters in respect of which the Board may undertake measures in the discharge
of its functions;
(q) the remuneration and other allowances payable to the person or persons referred to in
clause (b) of sub-section (2) of section 9;
(r) the form and manner of, and the particulars to be contained in, any returns or reports to be
made to the Board under this Act;
(s) the collection of any information or statistics in respect of tobacco or tobacco products;
(t) any other matter which has to be, or may be, prescribed by, or provided for by rules under, this
Act.
(3) Every rule made under this section 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 rule, or both Houses agree that the rule should not be made, the rule
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 rule.
33. Power to make regulations.—(1) The Board may make regulations not inconsistent with this Act
and the rules made thereunder for enabling it to discharge its functions under this Act.
(2) Without prejudice to the generality of the foregoing power, such regulations may provide for all
or any of the following matters, namely:—
(a) the procedure to be followed at meetings of the committees appointed by the Board and the
number of members which shall form a quorum at a meeting;
(b) the delegation to the Chairman, members, Executive Director, Secretary or other officers of
the Board, of any of the powers and duties of the Board under this Act;
(c) the travelling and other allowances payable to persons associated under sub-section (8) of
section 4 or co-opted under sub-section (2) of section 7;
(d) the pay and allowances and leave and other conditions of service of officers (other than those
appointed by the Central Government) and other employees of the Board;
(e) the maintenance of the accounts of the Board;
(f) the maintenance of the registers and other records of the Board and its various committees;
(g) the appointment by the Board of agents to discharge, on its behalf, any of its functions;
1. Ins. by Act 57 of 1985, s. 12 (w.e.f. 1-12-1985).
14
(h) the persons by whom, and the manner in which, payments, deposits and investments may be
made on behalf of the Board.
1
[(i) the time within which full price for virginia tobacco shall be paid under clause (b), and the
unfair practices for the purpose of clause (c), of section 13B.]
(3) No regulation made by the Board shall have effect until it has been approved by the Central
Government and published in the Official Gazette, and the Central Government, in approving a
regulation, may make any change therein which appears to it to be necessary.
(4) The Central Government may, by notification in the Official Gazette, cancel any regulation which
it has approved and, thereupon, the regulation shall cease to have effect.
1
[(5) Every regulation made under this section 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 regulation or both Houses agree that the regulation should not be made, the regulation 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 regulation.]