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Mercantile Laws – II
Notes Self Assessment
State whether the following statements are true or false:
9. Under Section 3, the Appropriate Government shall appoint a person to be the Registrar of
Trade Unions for each State.
10. Every application for registration of a Trade Union shall not be made to the Registrar and
shall be accompanied by a copy of the rules of the Trade Union.
11. The duties of the Registrar were to examine the application and to look at the objects for
which the Union was formed.
12. The Registrar is a quasi-judicial authority and cannot, therefore, decide any disputed
question of fact or law; O.N.G.C.
11.4 Amalgamation, Dissolution and Penalties in Trade Union
Following perspective explain the amalgamation and dissolution of trade union:
11.4.1 Amalgamation of Trade Union
Any two or more registered Trade Unions may become amalgamated together as one Trade
Union with or without dissolution or division of the funds of such Trade Unions or either or any
of them, provided that the votes of at least one-half of the members of each or every such Trade
Union entitled to vote are recorded, and that at least sixty per cent. of the votes recorded are in
favour of the proposal.
Did u know? Merger of Trade Union
On merger the Trade Union and its office-bearers do not lose their identity; Rattan Kumar
Dey v. Union of India, (1991) 63 FLR 463 (Gau).
11.4.2 Dissolution of Trade Union
When a registered Trade Union is dissolved, notice of the dissolution signed by seven members
and by the Secretary of the Trade Union shall, within fourteen days of the dissolution be sent to
the Registrar, and shall be registered by him if he is satisfied that the dissolution has been
effected in accordance with the rules of the Trade Union, and the dissolution shall have effect
from the date of such registration.
Where the dissolution of a registered Trade Union has been registered and the rules of the Trade
Union do not provide for the distribution of funds of the Trade Union on dissolution, the
Registrar shall divide the funds amongst the members in such manner as may be prescribed.
11.4.3 Penalties in Trade Union
The Act provides penalty of fine up to 500 for making any willful false entry in or any
omission from the general statement to be submitted to the Registrar, and up to 200 for giving
incorrect copy of the rule or any other document with the intent to deceive a member or a person
intending to be a member. If any registered trade union defaults in giving any notice or sending
any statement or other document as required under this Act, every officer or other person bound
by the rules of the trade union to give or send the same, or, if, there is no such officer or person,
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