Power of Central Government to call for periodical returns or direct inquiries to be made

Section 8 of the Forward Contracts (Regulation) Act, 1952 deals with power of Central Government to call for periodical returns or direct inquiries to be made. Every recognised association and every member thereof shall furnish to the Central Government such periodical returns relating to its affairs, or the affairs of its members, as the case may be, as may be prescribed.] (2) Without prejudice to the provisions contained in sub-section (1), where the Cen The Act came into force on 24 Aug 1953.

¹[(1) Every recognised association and every member thereof shall furnish to the Central Government such periodical returns relating to its affairs, or the affairs of its members, as the case may be, as may be prescribed.]

(2) Without prejudice to the provisions contained in sub-section (1), where the Central Government considers it expedient so to do, it may, by order in writing,--

(a) call upon a recognised association ²[or a member thereof] to furnish in writing such information or explanation relating to its affairs or the affairs of any of its members ²[or his affairs, as the case may be] as the Central Government may require, or

(b) appoint one or more persons to make an inquiry in relation to the affairs of such association or the affairs of any of its members and submit a report of the result of such inquiry to the Central Government within such time as may be specified in the order or, in the alternative, direct the inquiry to be made, and the report to be submitted, by the governing body of such association acting jointly with one or more representatives of the Central Government; and

(c) direct the Commission to inspect the accounts and other documents of any recognised association or of any of its members and submit its report thereon to the Central Government.

(3) Where an inquiry in relation to the affairs of a recognised association or the affairs of any of its members has been undertaken under sub-section (2)--

(a) every director, manager, secretary or other officer of such association,

(b) every member of such association,

(c) if the member of the association is a firm, every partner, manager, secretary or other officer of the firm, and

(d) every other person or body of persons who had dealings in the course of business with any of the persons mentioned in clauses (a), (b) and (c),

shall be bound to produce before the authority making the inquiry, all such books, accounts, correspondence and other documents in his custody or power relating to, or having a bearing on the subject-matter of, such inquiry and also to furnish the authority with any such statement or information relating thereto as may be required of him, within such time as may be specified.

³[(4) Every recognised association and every member thereof shall maintain such books of account and other documents as the Commission may specify and the books of account and other documents so specified shall be preserved for such period not exceeding three years as the Commission may specify and shall be subject to inspection at all reasonable times by the Commission.]

Section 8, The Forward Contracts (Regulation) Act, 1952 (Act 74 of 1952).