Section 11 of HDE Act, 1984 : Section 11: Duty Of Persons In Charge Of Management Of The Undertakings Of The Company To Deliver All Assets, Etc

Explanation using Example

Imagine that the government has just taken over the management of ABC Docks Ltd., a company that specializes in shipbuilding and repairs. According to Section 11(1) of The Hooghly Docking and Engineering Company Limited (Acquisition and Transfer of Undertakings) Act, 1984, the former managers of ABC Docks Ltd. are now legally required to hand over all company assets, including tools and machinery, financial records, and client contracts to the new government-owned entity that will manage the dockyard operations.

In another scenario, based on Section 11(2), the new government entity managing ABC Docks Ltd. is facing a strategic decision about whether to expand the dry dock facilities. Unsure about the best course of action, the entity seeks guidance from the Central Government. The government, exercising its powers under this section, might direct the entity to proceed with the expansion to increase the dockyard's capacity and meet the growing demands of maritime trade.