INDIAN RAILWAY COMPANIES (REPEAL) ACT, 2001

24 of 2001

August 29, 2001

Prefatory Note—Statement of Objects and Reasons.—The Indian Railway Companies Act, 1895 enables a Railway Company to pay interest on its paid-up share capital out of capital and treat the amount so paid as the total cost of the project. A similar provision relating to power of company to pay interest out of capital in certain cases exists in Section 208 of the Companies Act, 1956. The provisions of Section 208 of the companies Act. 1956 are applicable in case of all the companies registered under the Companies Act. 1956 including the Railway Companies. Consequent upon enactment of the Companies Act, 1956 the Indian Railway Companies Act, 1895 has become redundant. 2. The Bill, therefore, seeks to repeal the Indian Railway Companies Act. 1895.

An Act to repeal the Indian Railway Companies Act, 1895.Be it enacted by Parliament in the Fifty-second Year of the Republic of India as follows:—

SECTION 01: SHORT TITLE

This Act may be called the Indian Railway Companies (Repeal) Act, 2001.-1

SECTION 02: REPEAL OF ACT 10 OF 1895

Indian Railway Companies Act, 1895-is hereby repealed.