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The National Institute of Design (Amendment) Bill, 2019

SECTION Section 1

Untitled Section

THE NATIONAL INSTITUTE OF DESIGN (AMENDMENT) BILL, 2019
A
BILL
to amend the National Institute of Design Act, 2014.
BE it enacted by Parliament in the Seventieth Year of the Republic of India as follows:—
SECTION Section 10

Untitled Section

7.In section 5 of the principal Act,—
(i)for clause (a), the following clause shall be substituted, namely:—
“(a) any reference to the Society mentioned in column (3) of the Schedule
in any law or in any contract or other instrument shall be deemed as a reference
to the corresponding Institute mentioned in column (4) thereof;”;
(ii) in clause (e), the words “located
at Bengaluru in the State of Karnataka and
at Gandhinagar in the State of Gujarat,” shall be omitted;
(iii) the following Explanations shall be inserted, namely:—
“Explanation I.—The reference in this section to the commencement of
this Act shall, in relation to the National Institute of Design, Ahmedabad, be
deemed to be the 16th day of September, 2014.
Explanation II.—The reference in this section to the commencement of
this Act shall, in relation to the National Institutes of Design in the States of
Madhya Pradesh, Assam, Haryana and Andhra Pradesh, be construed as the
reference to the date on which the provisions of the National Institute of Design
(Amendment) Act, 2019 comes into force.”.
SECTION Section 100

Untitled Section

24.Notwithstanding anything contained in section 23, the Central Government may
direct the Institute to—
(a)set up an Endowment Fund and any other Fund for specified purpose; and
(b)transfer money from its Fund to Endowment Fund or any other Fund.
SECTION Section 101

Untitled Section

25.(1) The Institute shall maintain proper accounts and other relevant records and
prepare an annual statement of accounts, including the balance sheet, in such form as may
be prescribed, in accordance with such general directions as may be issued by the Central
Government in consultation with the Comptroller and Auditor-General of India.
* * * * *
SECTION Section 102

Untitled Section

26.(1) The Institute shall constitute, for the benefit of its employees, including the
Director, such pension, insurance and provident funds as it may deem fit, in such manner
and subject to such conditions as may be laid down in the Statutes.
* * * * *
SECTION Section 103

Untitled Section

27.All appointments of the staff of the Institute, except that of the Director, shall be
made in accordance with the procedure laid down in the Statutes by—
(a)the Governing Council, if the appointment is made on the academic staff in
the post of Senior Designer or Professor or above or if the appointment is made on the
non-academic staff in any cadre, the maximum of the pay-scale for which is the same or
higher than that of Senior Designer or Professor; and
* * * * *
SECTION Section 104

Untitled Section

29.(1) The first Statutes of the Institute shall be framed by the Governing Council with
the previous approval of the Visitor and a copy of the same shall be laid as soon as may be
before each House of Parliament.
* * * * *
SECTION Section 105

Untitled Section

30.Subject to the provisions of this Act and the Statutes, the Ordinances of the
Institute may provide for all or any of the following matters, namely:—
(a)admission of the students to the Institute including Institute campus;
(b)reservation in admission to various courses or programmes of the Institute
for the Scheduled Castes, the Scheduled Tribes and Other Backward Classes;
(c)courses of study to be laid down for all degrees, diplomas and certificates of
the Institute;
(d)conditions under which students shall be admitted to the degree, diploma
and certificate courses and to the examinations of the Institute and award of degrees,
diplomas and certificates;
(e)conditions for award of fellowships, scholarships, exhibitions, medals and
prizes;
(f)conditions and mode of appointment and duties of examining body, examiners
and moderators;
(g)conduct of examinations;
(h)maintenance of discipline among the students of the Institute; and
(i)any other matter which by this Act or the Statutes is to be or may be provided
for by the Ordinances.
* * * * *
Setting up of
Endowment
Fund.
Accounts and
audit.
Pension and
provident
fund.
Appointment
of staff.
Statutes how to
be made.
Ordinances.
17
SECTION Section 106

Untitled Section

32.(1) Any dispute arising out of a contract between the Institute and any of its
employees shall, at the request of the employee concerned or at the instance of the Institute,
be referred to an Arbitral Tribunal consisting of one member appointed by the Institute, one
member nominated by the employee and an umpire appointed by the Visitor.
* * * * *
SECTION Section 107

Untitled Section

CHAPTER III
M
ISCELLANEOUS
SECTION Section 108

Untitled Section

33.No act of the Institute or Governing Council or Senate or any other authority, 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
a member thereof; or
(c)any irregularity in its procedure not affecting the merits of the case.
SECTION Section 109

Untitled Section

34.Notwithstanding anything contained in this Act, whenever the Institute receives
funds from any Government, the University Grants Commission or any other agency including
industry sponsoring a research scheme or a consultancy assignment or a teaching programme
or a Chaired Professorship or a scholarship, etc., 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 that purpose; and
(b)the staff required to execute the same shall be recruited in accordance with
the terms and conditions stipulated by the sponsoring organisations:
Provided that any money remaining unutilised shall be transferred to the Endowment
Fund set up under section 24 of this Act.
SECTION Section 11

Untitled Section

8.In section 6 of the principal Act, in sub-section ( 1), for the words “the Institute
shall”, the words “each Institute shall” shall be substituted.
SECTION Section 110

Untitled Section

35.The Institute shall have the power to grant degrees, diplomas, certificates and
other academic distinctions under this Act, which shall be equivalent to such corresponding
degrees, diplomas, certificates and other academic distinctions granted by any University or
Institute established or incorporated under any other law for the time being in force.
SECTION Section 111

Untitled Section

36.The Central Government may give such directions as it may deem necessary to the
Institute for effective administration of this Act and the Institute shall comply with such
directions.
SECTION Section 112

Untitled Section

37.The provisions of the Right to Information Act, 2005 shall apply to the Institute, as
if it were a public authority as defined in clause (h) of section 2 of the Right to Information
Act, 2005.
* * * * *
SECTION Section 113

Untitled Section

39.Notwithstanding anything contained in this Act—
(a)the Governing Council of the Institute functioning as such, immediately
before the commencement of this Act, shall continue to so function until a new
Governing Council is constituted for the Institute under this Act, but on the constitution
of a new Governing Council under this Act, the members of the Governing Council
holding office before such constitution shall cease to hold office;
* * * * *
(c)until the first Statutes and Ordinances are made under this Act, the rules and
regulations, instructions, guidelines and bye-laws of the Society, in force immediately
before the commencement of this Act, shall continue to apply to the Institute and
Institute campuses located at Bengaluru or Gandhinagar, as the case may be, in so far
as they are not inconsistent with the provisions of this Act.
Power of
Institute to
grant degrees,
etc.
Powers of
Central
Government
to issue
directions.
Institute to be
public
authority
under Right to
Information
Act, 2005.
Transitional
provisions.
Arbitral
Tribunal.
Acts and
proceedings
not to be
invalidated by
vacancies, etc.
Sponsored
schemes.
22 of 2005.
RAJYA SABHA
————————
A
BILL
to amend the National Institute of Design Act, 2014.
————
(Shri Piyush Goyal, Minister of Railways and Commerce and Industry)
MGIPMRND—2140RS(S3)—26-07-2019.
SECTION Section 12

Untitled Section

9.In section 7 of the principal Act, in sub-section (1), for the words “The Institute”,
the words “Every Institute” shall be substituted.
SECTION Section 13

Untitled Section

10.In section 8 of the principal Act, for the words “teaching at the Institute”, the
words “teaching at each of the Institutes” shall be substituted.
SECTION Section 14

Untitled Section

11.In section 9 of the principal Act, in sub-section (1), for the words “the Institute”,
the words “each of the Institutes” shall be substituted.
SECTION Section 15

Untitled Section

12.In section 10 of the principal Act, for the words “The following shall be the
authorities of the Institute”, the words “Each Institute shall have the following authorities”
shall be substituted.
SECTION Section 16

Untitled Section

13.In section 11 of the principal Act, for the words “The Governing Council shall
consist of”, the words “The Governing Council of every Institute shall consist of” shall be
substituted.
Amendment
of section 5.
Amendment
of section 6.
Amendment
of section 7.
Amendment
of section 8.
Amendment
of section 9.
Amendment
of section 10.
Amendment
of section 11.
5
10
15
20
25
30
35
40
45
4
SECTION Section 17

Untitled Section

14.In section 15 of the principal Act, for the words “The Senate of the Institute”, the
words “The Senate of each Institute” shall be substituted.
SECTION Section 18

Untitled Section

15.In section 16 of the principal Act, for the words “the Senate of the Institute”, the
words “the Senate of an Institute” shall be substituted.
SECTION Section 19

Untitled Section

16.In section 18 of the principal Act, in sub-section (1), for the words “the Institute”,
the words “each of the Institutes” shall be substituted.
SECTION Section 2

Untitled Section

1.(1) This Act may be called the National Institute of Design (Amendment) Act, 2019.
(2)It shall come into force on such date as the Central Government may
, by notification
in the Official Gazette, appoint and different dates may be appointed for different provisions
of this Act.
SECTION Section 20

Untitled Section

17.In section 20 of the principal Act, in sub-section (1), for the words “Registrar of
the Institute”, the words “Registrar of each Institute” shall be substituted.
SECTION Section 21

Untitled Section

18.In section 22 of the principal Act, for the words “enabling the Institute”, the words
“enabling an Institute” shall be substituted.
SECTION Section 22

Untitled Section

19.In section 23 of the principal Act, in sub-section (1), for the words “The Institute”,
the words “Every Institute” shall be substituted.
SECTION Section 23

Untitled Section

20.In section 24 of the principal Act, for the words “the Institute”, the words “any
Institute” shall be substituted.
SECTION Section 24

Untitled Section

21.In section 25 of the principal Act, in sub-section (1), for the words “The Institute”,
the words “Every Institute” shall be substituted.
SECTION Section 25

Untitled Section

22.In section 26 of the principal Act, in sub-section (1), for the words “The Institute”,
the words “Every Institute” shall be substituted.
SECTION Section 26

Untitled Section

23.In section 27 of the principal Act,—
(i)in the opening portion, for the words “the Institute”, the words “an Institute”
shall be substituted;
(ii) in clause (a), for the words “Senior Designer”, at both the places where they
occur, the words “Principal Designer” shall be substituted.
SECTION Section 27

Untitled Section

24.In section 29 of the principal Act, in sub-section (1), for the words “the Institute”,
the words “each Institute” shall be substituted.
SECTION Section 28

Untitled Section

25.In section 30 of the principal Act, for the words “Ordinances of the Institute”, the
words “Ordinances of each Institute” shall be substituted.
SECTION Section 29

Untitled Section

26.In section 32 of the principal Act, in sub-section (1), for the words “between the
Institute”, the words “between an Institute” shall be substituted.
SECTION Section 3

Untitled Section

2.In the National Institute of Design Act, 2014 (hereinafter referred to as the principal
Act), in the long title, for the words “the institution known as the National Institute of
Design, Ahmedabad, to be an institution of national importance”, the words “certain
institutions of design to be institutions of national importance” shall be substituted.
Short title and
commencement.
18 of 2014. Amendment
of long title.
AS INTRODUCED IN THE RAJYA SABHA
Bill No. XXVII of 2019
5
2
SECTION Section 30

Untitled Section

27.In section 33 of the principal Act, for the words “the Institute”, the words “any
Institute” shall be substituted.
SECTION Section 31

Untitled Section

28.In section 34 of the principal Act, for the words “the Institute receives”, the words
“an Institute receives” shall be substituted.
SECTION Section 32

Untitled Section

29.In section 35 of the principal Act, for the words “The Institute”, the words “Every
Institute” shall be substituted.
SECTION Section 33

Untitled Section

30.In section 36 of the principal Act, for the words “to the Institute”, the words
“to any Institute” shall be substituted.
SECTION Section 34

Untitled Section

31.In section 37 of the principal Act, for the words “the Institute”, the words “every
Institute” shall be substituted.
SECTION Section 35

Untitled Section

32.In section 39 of the principal Act,—
(i)in clause (a), for the words “Governing Council of the Institute”, the words
“Governing Council of an Institute” shall be substituted;
(ii) in clause (c ), the words “located at Bengaluru or Gandhinagar, as the case
may be” shall be omitted;
Amendment
of section 15.
Amendment
of section 16.
Amendment
of section 18.
Amendment
of section 20.
Amendment
of section 22.
Amendment
of section 23.
Amendment
of section 24.
Amendment
of section 25.
Amendment
of section 26.
Amendment
of section 27.
Amendment
of section 29.
Amendment
of section 30.
Amendment
of section 32.
Amendment
of section 33.
Amendment
of section 34.
Amendment
of section 35.
Amendment
of section 36.
Amendment
of section 37.
Amendment
of section 39.
5
10
15
20
25
30
35
40
5
(iii) the following Explanations shall be inserted, namely:—
“Explanation I.—The reference in this section to the commencement of
this Act shall, in relation to the National Institute of Design, Ahmedabad, be
deemed to be the 16th day of September, 2014.
Explanation II.—The reference in this section to the commencement of
this Act shall, in relation to the National Institutes of Design in the States of
Madhya Pradesh, Assam, Haryana and Andhra Pradesh, be construed as the
reference to the date on which the provisions of the National Institute of Design
(Amendment) Act, 2019 comes into force.”.
33.In section 40 of the principal Act, after sub-section ( 3), the following
Explanations shall be inserted, namely:—
“Explanation I.—The reference in this section to the commencement of
this Act shall, in relation to the National Institute of Design, Ahmedabad, be
deemed to be the 16th day of September, 2014.
Explanation II.—The reference in this section to the commencement of
this Act shall, in relation to the National Institutes of Design in the States of
Madhya Pradesh, Assam, Haryana and Andhra Pradesh, be construed as the
reference to the date on which the provisions of the National Institute of Design
(Amendment) Act, 2019 comes into force.”.
34.After section 41 of the principal Act, the following Schedule shall be inserted,
namely:—
“THE SCHEDULE
Amendment
of section 40.
Insertion of a
new Schedule.
[See sections 2, 3(g), (ka), (m), 4 (1) and 5 (a)]
Sl.Name of Name of the Society Name of the institutions
No.the State incorporated under
this Act
(1)(2) (3) (4)
SECTION Section 36

Untitled Section

1.Gujarat The National Institute of Design, National Institute of
Ahmedabad, a Society registered Design, Ahmedabad
under the Societies Registration
Act, 1860.
SECTION Section 37

Untitled Section

2.Madhya Pradesh The National Institute of Design, National Institute of
Bhopal, a Society registered under Design, Madhya Pradesh
the Societies Registration Act, 1860.
SECTION Section 38

Untitled Section

3.Assam The National Institute of Design, Jorhat, National Institute of
Assam, a Society registered under the Design, Assam
Societies Registration Act, 1860.
SECTION Section 39

Untitled Section

4.Haryana The National Institute of Design, National Institute of
Kurukshetra, a Society registered Design, Haryana
under the Societies Registration
Act, 1860.
SECTION Section 4

Untitled Section

3.In section 1 of the principal Act, in sub-section ( 1), for the word “Institute”, the
word “Institutes” shall be substituted.
SECTION Section 40

Untitled Section

5.Andhra Pradesh The National Institute of Design, National Institute of
Andhra Pradesh, a Society registered Design, Andhra Pradesh.”.
under the Societies Registration
Act, 1860.
5
10
15
20
25
30
35
40
STATEMENT OF OBJECTS AND REASONS
The National Institute of Design Act, 2014 was enacted to declare the National Institute
of Design, Ahmedabad to be an institution of national importance for the promotion of
quality and excellence in education, research and training in all disciplines relating to design.
SECTION Section 41

Untitled Section

2.In pursuance of the National Design Policy and to raise the design education to
global standard of excellence in all regions of India, the Government of India set up four new
National Institutes of Design in the States of Andhra Pradesh, Madhya Pradesh, Assam and
Haryana, as societies under the Societies Registration Act, 1860. Presently, the said Institutes
do not have the authority to grant degree, diploma and other academic distinctions. Therefore,
a need has been felt to give them statutory status so as to ensure the maintenance of similar
standards and quality of education in all areas or disciplines relating to design, as the
National Institute of Design, Ahmedabad. It is proposed to declare the aforesaid Institutes
as institutions of national importance and to confer power on them to grant degree, diploma
and other academic distinctions.
SECTION Section 42

Untitled Section

3.It is, accordingly, proposed to amend the National Institute of Design Act, 2014,
inter alia, to provide for the following:—
(a)to amend section 2 of the said Act, so as to declare the National Institutes of
Design in the States of Andhra Pradesh, Madhya Pradesh, Assam and Haryana, as
institutions of national importance;
(b)to substitute section 4 so as to provide for incorporation of each of the
aforesaid institutes;
(c)to make consequential amendments to various sections of the said Act;
(d)to amend section 27 of the said Act so as to designate the post of Principal
Designer instead of the Senior Designer, as equivalent to a Professor.
4.The Bill seeks to achieve the above objectives.
N
EW DELHI; PIYUSH GOYAL.
The 24th, July, 2019.
6
Notes on clauses
SECTION Section 43

Untitled Section

Clause 2 .—This clause seeks to amend the long title of the Act so as to substitute the
words “the institution known as the National Institute of Design, Ahmedabad, to be an
institution of national importance” with the words “certain institutions of design to be
institutions of national importance” in view of proposed incorporation of new Institutions
such as National Institutes of Design in the States of Andhra Pradesh, Madhya Pradesh,
Assam and Haryana.
SECTION Section 44

Untitled Section

Clause 3.—This clause seeks to amend section 1 of the Act to provide for substitution
of the word “Institute” with the word “Institutes” which are consequential in nature.
SECTION Section 45

Untitled Section

Clause 4.—This clause seeks to substitute section 2 of the Act to provide for
declaration of the institutions mentioned in the Schedule, as institutions of national
importance.
SECTION Section 46

Untitled Section

Clause 5.—This clause seeks to amend section 3 of the Act to amend the definitions
of Director, Fund, Governing Council, Institute, Institute campus, Registrar, Senate, Society,
Statutes and Ordinances and to insert a new definition of Schedule.
SECTION Section 47

Untitled Section

Clause 6.—This clause seeks to substitute section 4 of the Act to provide for the
incorporation of each of the Institutes mentioned in the Schedule. It further provides that
each of the Institutes may establish Institute Campuses within or outside India.
SECTION Section 48

Untitled Section

Clause 7.—This clause seeks to amend section 5 of the Act to provide that any
reference to the Society mentioned in the Schedule shall be deemed as a reference to the
corresponding Institute mentioned therein. It further provides that commencement of the
Act shall, in relation to National Institute of Design, Ahmedabad, be deemed to be 16th day
of September, 2014 and in relation to the National Institutes of Design in the States of
Andhra Pradesh, Madhya Pradesh, Assam and Haryana, be construed as the reference to
the date on which the provisions of the National Institute of Design (Amendment) Act, 2019
comes into force.
SECTION Section 49

Untitled Section

Clause 8.—This clause seeks to amend section 6 of the Act so as to substitute the
words “the Institute” with the words “each Institute”.
SECTION Section 5

Untitled Section

4.For section 2 of the principal Act, the following section shall be substituted,
namely:—
“2. Whereas the objects of the institutions mentioned in the Schedule, are such
as to make them institutions of national importance, it is hereby declared that each
such Institute is an institution of national importance.”.
SECTION Section 50

Untitled Section

Clause 9.—This clause seeks to amend section 7 of the Act so as to substitute the
words “The Institute” with the words “Every Institute”.
SECTION Section 51

Untitled Section

Clause 10.—This clause seeks to amend section 8 of the Act so as to substitute the
words “teaching at the Institute” with the words “teaching at each of the Institutes”.
SECTION Section 52

Untitled Section

Clause 11.—This clause seeks to amend section 9 of the Act so as to substitute the
words “the Institute” with the words “each of the Institutes”.
SECTION Section 53

Untitled Section

Clause 12.—This clause seeks to amend section 10 of the Act so as to substitute the
words “The following shall be the authorities of the Institute” with the words “Each Institute
shall have the following authorities”.
SECTION Section 54

Untitled Section

Clause 13.—This clause seeks to amend section 11 of the Act so as to substitute the
words “The Governing Council shall consist of” with the words “The Governing Council of
every Institute shall consist of”.
SECTION Section 55

Untitled Section

Clause 14.—This clause seeks to amend section 15 of the of the Act so as to substitute
the words “The Senate of the Institute” with the words “The Senate of each Institute”.
SECTION Section 56

Untitled Section

Clause 15.—This clause seeks to amend section 16 of the Act so as to substitute the
words “the Senate of the Institute” with the words “the Senate of an Institute”.
SECTION Section 57

Untitled Section

Clause 16.—This clause seeks to amend section 18 of the Act so as to substitute the
words “the Institute” with the words “each of the Institutes”.
7
8
SECTION Section 58

Untitled Section

Clause 17.—This clause seeks to amend section 20 of the Act so as to substitute the
words “Registrar of the Institute” with the words “Registrar of each Institute”.
SECTION Section 59

Untitled Section

Clause 18.—This clause seeks to amend section 22 of the Act so as to substitute the
words “enabling the Institute” with the words “enabling an Institute”.
SECTION Section 6

Untitled Section

5.In section 3 of the principal Act,—
(i)for clause (d), the following clause shall be substituted, namely:—
‘(d) “Director”, in relation to any Institute, means the Director of such
Institute as appointed under section 18;’;
(ii) for clause (e), the following clause shall be substituted, namely:—
‘(e) “Fund”, in relation to any Institute, means the Fund of such Institute
as maintained under section 23;’;
(iii) for clause (f), the following clause shall be substituted, namely:—
‘(f) “Governing Council”, in relation to any Institute, means the Governing
Council of such Institute as constituted under section 11;’;
(iv) for clause (g), the following clause shall be substituted, namely:—
‘(g) “Institute” means any of the institutions mentioned in column (4) of
the Schedule;’;
(v)for clause (h), the following clause shall be substituted, namely:—
‘(h) “Institute campus” means the campus of an Institute as may be
established by such Institute at any place within India or outside India;’;
(vi) for clause (k), the following clause shall be substituted, namely:—
‘(k) “Registrar”, in relation to any Institute, means the Registrar of such
Institute as appointed under section 20;’;
(vii) after clause (k), the following clause shall be inserted, namely:—
‘(ka) “Schedule” means the Schedule annexed to this Act;’;
(viii) for clause (l), the following clause shall be substituted, namely:—
‘(l) “Senate”, in relation to any Institute, means the Senate of such
Institute;’;
(ix) for clause (m), the following clause shall be substituted, namely:—
‘(m) “Society” means any of the societies registered under the Societies
Registration Act, 1860, and mentioned in column (3) of the Schedule;’;
(x)for clause (n), the following clause shall be substituted, namely:—
‘(n) “Statutes” and “Ordinances”, in relation to any Institute, mean the
Statutes and the Ordinances of such Institute made under this Act.’.
SECTION Section 60

Untitled Section

Clause 19.—This clause seeks to amend section 23 of the Act so as to substitute the
words “The Institute” with the words “Every Institute”.
SECTION Section 61

Untitled Section

Clause 20.—This clause seeks to amend section 24 of the Act so as to substitute the
words “the Institute” with the words “any Institute”.
SECTION Section 62

Untitled Section

Clause 21.—This clause seeks to amend section 25 of the Act so as to substitute the
words “The Institute” with the words “Every Institute”.
SECTION Section 63

Untitled Section

Clause 22.—This clause seeks to amend section 26 of the Act so as to substitute the
words “The Institute” with the words “Every Institute”.
SECTION Section 64

Untitled Section

Clause 23.—This clause seeks to amend section 27 of the Act so as to substitute the
words “the Institute” with the words “an Institute” and the words “Senior Designer” with
the words “Principal Designer”.
SECTION Section 65

Untitled Section

Clause 24.—This clause seeks to amend section 29 of the Act so as to substitute the
words “the Institute” with the words “each Institute”.
SECTION Section 66

Untitled Section

Clause 25.—This clause seeks to amend section 30 of the Act so as to substitute the
words “Ordinances of the Institute” with the words “Ordinances of each Institute.
SECTION Section 67

Untitled Section

Clause 26.—This clause seeks to amend section 32 of the Act so as to substitute the
words “between the Institute” with the words “between an Institute”.
SECTION Section 68

Untitled Section

Clause 27.—This clause seeks to amend section 33 of the Act so as to substitute the
words “the Institute” with the words “any Institute”.
SECTION Section 69

Untitled Section

Clause 28.—This clause seeks to amend section 34 of the Act so as to substitute the
words “the Institute receives” with the words “an Institute receives”.
SECTION Section 7

Untitled Section

6.For section 4 of the principal Act, the following section shall be substituted,
namely:—
“4. (1) Each Institute shall be a body corporate by the same name as mentioned
in column (4) of the Schedule.
Amendment
of section 1.
Substitution of
SECTION Section 70

Untitled Section

Clause 29.—This clause seeks to amend section 35 of the Act so as to substitute the
words “The Institute” with the words “Every Institute”.
SECTION Section 71

Untitled Section

Clause 30.—This clause seeks to amend section 36 of the Act so as to substitute the
words “to the Institute” with the words “to any Institute”.
SECTION Section 72

Untitled Section

Clause 31.—This clause seeks to amend section 37 of the Act so as to substitute the
words “the Institute” with the words “every Institute”.
SECTION Section 73

Untitled Section

Clause 32.—This clause seeks to amend section 39 of the Act so as to substitute the
words “Governing Council of the Institute” with the words “Governing Council of an Institute”
and to omit the words “located at Bengaluru or Gandhinagar, as the case may be”. It further
seeks to insert two Explanations so as to provide that for the purposes of the said section,
the commencement of the Act shall, in relation to the National Institute of Design,
Ahmedabad, be deemed to be the 16th day of September, 2014 and in relation to the National
Institutes of Design in the States of Andhra Pradesh, Madhya Pradesh, Assam and Haryana,
be construed as the reference to the date on which the provisions of the National Institute
of Design (Amendment) Act, 2019 comes into force.
SECTION Section 74

Untitled Section

Clause 33.—This clause seeks to insert two Explanations in section 40 of the Act so
as to provide that for the purposes of the said section, the commencement of the Act shall,
in relation to the National Institute of Design, Ahmedabad, be deemed to be the 16th day of
September, 2014 and in relation to the National Institute of Design in the States of Andhra
Pradesh, Madhya Pradesh, Assam and Haryana, be construed as the reference to the date
on which the provisions of the National Institute of Design (Amendment) Act, 2019 comes
into force.
SECTION Section 75

Untitled Section

Clause 34.—This clause seeks to insert a Schedule after section 41 of the Act
containing the names and particulars of the National Institutes of Design.
FINANCIAL MEMORANDUM
SECTION Section 76

Untitled Section

Clause 4 of the Bill seeks to amend section 2 of the National Institute of Design Act,
2014 so as to declare the National Institutes of Design in the States of Andhra Pradesh,
Madhya Pradesh, Assam and Haryana, as institutions of national importance and clause 6
seeks to substitute section 4, so as to provide for incorporation of each of the said Institutes.
SECTION Section 77

Untitled Section

2.It is estimated that there would be an expenditure of approximately 434 crore rupees
for the establishment of these Institutes. Accordingly, a sum of 434 crore rupees was
sanctioned during the Twelfth Plan. The non-recurring expenditure is estimated to be 336.72
crore rupees and recurring expenditure is estimated to be 97.28 crore rupees. The expenditure
is met through budgetary provision of the Department for Promotion of Industry and Internal
Trade.After the Institutes become fully operational and start generating revenues through
fees, consultancy income, etc., dependence on Government grants for recurring expenditure
will gradually reduce.
SECTION Section 78

Untitled Section

3.The Bill does not involve any other expenditure of recurring or non-recurring nature
from the Consolidated Fund of India.
9
MEMORANDUM REGARDING DELEGATED LEGISLATION
SECTION Section 79

Untitled Section

Clauses 24 of the Bill seeks to amend section 29 of the National Institute of Design
Act, 2014, so as to confer powers on the National Institutes of Design in the States of
Andhra Pradesh, Madhya Pradesh, Assam and Haryana, to frame Statutes and clause 25
seeks to amend section 30 of the said Act, so as to confer powers on these Institutes to frame
Ordinances.
SECTION Section 8

Untitled Section

section 2.
Declaration of
certain
institutions as
institutions of
national
importance.
Amendment
of section 3.
Substitution of
SECTION Section 80

Untitled Section

2.The matters in respect of which the Statutes or Ordinances may be made are matters
of procedure and administrative details, and it is not practicable to provide for them in the
Bill itself. The delegation of legislative power is, therefore, of a normal character.
10
ANNEXURE
EXTRACTS FROM THE NATIONAL INSTITUTE OF DESIGN ACT, 2014
(18 OF 2014)
An Act to declare the institution known as the National Institute of Design, Ahmedabad,
to be an institution of national importance for the promotion of quality and excellence in
education, research and training in all disciplines relating to Design and for matters connected
therewith or incidental thereto.
* * * * *
SECTION Section 81

Untitled Section

CHAPTER I
P
RELIMINARY
SECTION Section 82

Untitled Section

1.(1) This Act may be called the National Institute of Design Act, 2014.
* * * * *
SECTION Section 83

Untitled Section

2.Whereas the objects of the institution known as the National Institute of Design,
Ahmedabad, are such as to make it the institution of national importance, it is hereby declared
that the National Institute of Design, Ahmedabad is an institution of national importance.
SECTION Section 84

Untitled Section

3.In this Act, unless the context otherwise requires,—
* * * * *
(d)"Director'' means Director of the Institute, as appointed under section 18;
(e)"Fund" means the Fund of the Institute maintained under section 23;
(f)"Governing Council" means the Governing Council of the Institute, as
constituted under section 11;
(g)"Institute" means the National Institute of Design, Ahmedabad, incorporated
under section 4;
(h)"Institute campus" means the campus of the Institute located at Bengaluru
in the State of Karnataka and Gandhinagar in the State of Gujarat, or such other
campus as may be established by the Institute at any place within India or outside
India;
* * * * *
(k)"Registrar" means Registrar of the Institute;
(l)"Senate" means the Senate of the Institute;
(m)"Society" means the National Institute of Design, Ahmedabad, registered as
a society under the Societies Registration Act, 1860;
(n)"Statutes" and "Ordinances" mean the Statutes and the Ordinances of the
Institute made under this Act.
SECTION Section 85

Untitled Section

CHAPTER II
T
HE INSTITUTE
SECTION Section 86

Untitled Section

4.(1) The National Institute of Design, Ahmedabad, shall be a body corporate by the
name aforesaid, having perpetual succession and a common seal with power to acquire, hold
and dispose of property and to contract, and shall, by that name, sue or be sued.
Short title and
commencement.
Declaration of
National
Institute of
Design,
Ahmedabad, as
an institution
of national
importance.
Definitions.
21 of 1860.
Incorporation
of Institute.
11
12
(2)The body corporate constituting the Institute shall consist of a Chairperson, a
Director and other members of the Governing Council for the time being of the Institute.
(3)The headquarters of the Institute shall be in the district of Ahmedabad in the State
of Gujarat.
(4)The Institute may establish an Institute campus at such other place within India or
outside India, as it may deem fit:
Provided that each campus of the National Institute of Design, Ahmedabad, established
before the commencement of this Act, at Bengaluru in the State of Karnataka and Gandhinagar
in the State of Gujarat, shall be deemed to be the Institute campus.
SECTION Section 87

Untitled Section

5.On and from the date of commencement of this Act,—
(a)any reference to the Society in any law (other than this Act) or in any
contract or other instrument shall be deemed as a reference to the Institute incorporated
under this Act;
* * * * *
(e)every person employed by the Society, immediately before such
commencement, shall hold his office or service in the Institute including the Institute
campuses, located at Bengaluru in the State of Karnataka and at Gandhinagar in the
State of Gujarat, by the same tenure, at the same remuneration and upon the same
terms and conditions and with the same rights and privileges as to pension, leave,
gratuity, provident fund and other matters as he would have held the same, if this Act
had not been enacted, and shall continue to be so, unless and until his employment is
terminated or until such tenure, remuneration, terms and conditions are duly altered
by the Statutes:
Provided that if the alteration so made is not acceptable to such employee, his
employment may be terminated by the Institute in accordance with the terms of the
contract with the employee or, if no provision is made therein in this behalf, on payment
to him by the Institute of compensation equivalent to three months' remuneration in
the case of permanent employee and one month's remuneration in the case of other
employee.
SECTION Section 88

Untitled Section

6.(1) Subject to the provisions of this Act, the Institute shall exercise the following
powers and perform the following duties, namely:—
(a)to provide for instructions, research and training in the areas or disciplines
relating to design and to nurture and promote quality and excellence thereof in such
areas or disciplines;
(b)to develop courses leading to graduate and post-graduate degrees, doctoral
and post-doctoral distinctions and research in all areas or disciplines relating to design;
(c)to hold examinations and grant degrees, and diplomas and other academic
distinctions or titles in the areas or disciplines relating to design;
(d)to confer honorary degrees, awards or other distinctions in the areas or
disciplines relating to design;
(e)to institute and award fellowships, scholarships, exhibitions, prizes and medals;
(f)to fix, demand and receive fees and other charges;
(g)to establish, maintain and manage halls and hostels for the residence of the
students;
(h)to supervise and control the residence and regulate the discipline of students
of the Institute and to make arrangements for promoting their health, general welfare
and cultural and corporate life;
Effect of the
incorporation
of the
Institute.
Powers of
Institute.
13
(i)to institute academic and other posts and to make appointments thereto
(except in the case of the Director);
(j)to frame Statutes and Ordinances and to alter, modify or rescind the same;
(k)to co-operate with educational or other institutions in any part of the world
having objects wholly or partly similar to those of the Institute by exchange of faculty
members and scholars and generally in such manner as may be conducive to their
common objective;
(l)to act as a nucleus for interaction between academia and industry by
encouraging exchange of designers and other technical staff between the Institute
and the industry and by undertaking sponsored and funded research as well as
consultancy projects by the Institute;
(m)to establish, equip and maintain workshops or laboratories or studios with
modern machinery and equipments in order to undertake scientific and technological
research for creating good designs for the production of goods and services and to
provide funds for such works and for payment to any person or persons engaged in
service, training and research work whether in such workshop or laboratory or studio;
(n)to acquire any patent or licence relating to such invention, improvement or
design or standardisation marks whether for general or specific purposes;
(o)to undertake consultancy in the areas or disciplines relating to design;
(p)to deal with any property belonging to, or vested in, the Institute, in such
manner as the Institute may deem fit for advancing the objects of the Institute;
(q)to receive gifts, grants, donations or benefactions from the Government and
to receive bequests, donations and transfers of movable or immovable properties from
testators, donors or transferors, as the case may be;
(r)to encourage and improve education of persons who are engaged or are
likely to be engaged in the service, training or research activities by grant of loans,
scholarships or other monetary assistance or otherwise;
(s)to prepare, print, publish, issue, acquire and circulate books, papers,
periodicals, exhibits, films, slides, gadgets, circulars and other literary undertakings,
dealing with or having a bearing upon the subject of industrial design and allied fields;
(t)to establish, form and maintain museums, libraries and collections of literature
and films, slides, photographs, prototypes and other information relating to design
and allied subjects;
(u)to nominate designers, engineers (mechanical or electrical or civil), architects,
craftsmen, technicians or investigators to study in India or outside India in regard to
the service, training and research in such fields as the Institute may think fit;
(v)to retain or employ skilled professional, technical advisers, consultants,
workers or craftsmen in connection with the objects of the Institute;
(w)to encourage artisans, technicians and others with inventive skill to work
out details and specifications of processes, appliances and gadgets by giving awards,
financial or technical assistance;
(x)to construct buildings and alter, extend, improve, repair, enlarge or modify
and to provide and equip the same with light, water, drainage, furniture, fittings and all
other accessories;
(y)to borrow and raise moneys, with or without security or on the security of a
mortgage, charge, or hypothecation or pledge of any of the movable or immovable
properties belonging to the Institute or in any other manner;
14
(z)to do all such things as may be necessary, incidental or conducive to the
attainment of all or any of the objects of the Institute.
* * * * *
SECTION Section 89

Untitled Section

7.(1) The Institute shall be open to persons of either sex and of whatever race, creed,
caste or class, and no test or condition shall be imposed as to religious belief or profession
in admitting or appointing members, students, teachers or workers or in any other connection
whatsoever.
* * * * *
SECTION Section 9

Untitled Section

section 4.
Incorporation
of Insitute.
21 of 1860.
5
10
15
20
25
30
35
40
3
(2)Each Institute shall have perpetual succession and a common seal, with
power, subject to the provisions of this Act, to acquire, hold and dispose of property,
both movable and immovable, and to contract and shall, by the said name, sue or be
sued.
(3)The body corporate constituting each Institute shall consist of a Chairperson,
Director and other members of the Governing Council for the time being, of the Institute.
(4)Any Institute may establish an Institute campus at such place within India or
outside India, as it may deem fit:
Provided that each campus of the National Institute of Design, Ahmedabad,
established before the commencement of this
Act, at Bengaluru in the State of Karnataka
and at Gandhinagar in the State of Gujarat, shall be deemed to be the Institute campus
thereof.
Explanation.—The reference in this sub-section to the commencement of this
Act shall, in relation to the National Institute of Design, Ahmedabad, be deemed to be
the 16th day of September, 2014.”.
SECTION Section 90

Untitled Section

8.All teaching at the Institute and the Institute campuses shall be conducted by or in
the name of the Institute in accordance with the Statutes and the Ordinances made in this
behalf.
SECTION Section 91

Untitled Section

9.(1) The President of India shall be the Visitor of the Institute.
* * * * *
SECTION Section 92

Untitled Section

10.The following shall be the authorities of the Institute, namely:—
(a)the Governing Council,
(b)a Senate, and
(c)such other authorities as may be declared by the Statutes to be the authorities
of the Institute.
SECTION Section 93

Untitled Section

11.The Governing Council shall consist of the following members, namely:—
(a)a Chairperson, who shall be an eminent academician, scientist or technologist
or professional or industrialist, to be nominated by the Visitor;
(b)the Director, ex officio;
(c)the Financial Adviser in the Ministry or Department of the Government of
India dealing with the National Institute of Design, ex officio;
(d)the Joint Secretary, in the Ministry or Department in the Government of India
dealing with the National Institute of Design, ex officio;
(e)one representative of the Ministry or Department of the Government of India
not below the rank of Joint Secretary dealing with Higher Education, to be nominated
by the Secretary of that Ministry or Department, ex officio;
(f)one representative of the Ministry or Department of the Government of India
not below the rank of Joint Secretary dealing with Information Technology to be
nominated by the Secretary of that Ministry or Department, ex officio;
(g)one representative from the State in which the Institute campus is located, to
be nominated by that State Government;
(h)five professionals, one each from the fields of architecture, engineering, fine
arts, mass media and technology, to be nominated by the Central Government;
(i)an outstanding Designer, to be nominated by the Visitor in consultation with
the Central Government;
(j)a management expert, to be nominated by the Chairperson;
(k)a representative of the Micro, Small and Medium Enterprises, to be nominated
by the Central Government;
(l)three persons to be nominated by the Senate from amongst persons
recommended by companies, firms or individuals who have provided financial
assistance or contribution to the Institute:
Institute be
open to all
races, creeds
and classes.
Teaching at
Institute.
Visitor.
Authorities of
Institute.
Governing
Council.
15
Provided that the threshold of financial assistance or contribution and other
requirements to qualify for such nomination shall be such as may be provided for in
the Statutes; and
(m)Dean of each Institute campus, ex officio.
* * * * *
SECTION Section 94

Untitled Section

15.The Senate of the Institute shall consist of the following persons, namely:—
(a)the Director, ex officio, who shall be the Chairman of the Senate;
(b)Dean of each Institute campus, ex officio;
(c)Senior Professors of the Institute and of the Institute campuses;
(d)three persons, not being employees of the Institute, to be nominated by the
Chairperson in consultation with the Director, from amongst educationists of repute,
one each from the fields of science, engineering and humanities and at least one of
them shall be a woman;
(e)one alumnus of the Institute to be nominated by the Chairperson in
consultation with the Director; and
(f)such other members of the staff as may be laid down in the Statutes.
SECTION Section 95

Untitled Section

16.Subject to the provisions of this Act, the Statutes and the Ordinances, the Senate
of the Institute shall have the control and general regulation, and be responsible for the
maintenance of standards of instruction, education and examination in the Institute and
shall exercise such other powers and perform such other duties as may be conferred or
imposed upon it by the Statutes.
* * * * *
SECTION Section 96

Untitled Section

18.(1) The Director of the Institute shall be appointed by the Central Government for
a tenure of five years in such manner and on such terms and conditions of service as may be
prescribed.
* * * * *
SECTION Section 97

Untitled Section

20.(1) The Registrar of the Institute shall be appointed on such terms and conditions
as may be laid down by the Statutes and shall be the custodian of records, the common seal,
the funds of the Institute and such other property of the Institute as the Governing Council
shall commit to his charge.
* * * * *
SECTION Section 98

Untitled Section

22.For the purpose of enabling the Institute to discharge its functions efficiently
under this Act, the Central Government may, after due appropriation made by Parliament by
law in this behalf, pay to the Institute in each financial year such sums of money and in such
manner as it may think fit.
SECTION Section 99

Untitled Section

23.(1) The Institute shall maintain a Fund to which shall be credited—
(a)all moneys provided by the Central Government;
(b)all fees and other charges received by the Institute;
(c)all moneys received by the Institute by way of grants, gifts, donations,
benefactions, bequests or transfers; and
(d)all moneys received by the Institute in any other manner or from any other
source.
* * * * *
Senate.
Functions of
Senate.
Director.
Registrar.
Grants by
Central
Government.
Fund of
Institute.
16