The Ministry of Consumer Affairs, Food and Public Distribution (MoCAF&PD) on July 13, 2023, notified the Warehousing (Development and Regulation) Registration of Warehouses (Amendment) Rules, 2023 further to amend the Warehousing (Development and Regulation) Registration of Warehouses Rules, 2017.
The amendment is as follows: -
•In rule 18 various sub-rules have been inserted which state the following namely: -
(6) The Authority may allow any entity, created under the Act of Parliament or State Legislature which does not meet the minimum net worth requirement as specified in the Seventh Schedule, to submit an indemnity bond specified in the form appended in the Ninth Schedule, executed by the concerned State Government and a resolution from its board of directors confirming the furnishing of such indemnity bond, along with its application for registration.
(7) The indemnity bond shall be of the value equal to the sum of negative net worth and the minimum net worth requirement for the warehouseman which shall be subject to review by the Authority.
(8) The validity of the indemnity bond shall be until six months after expiry, cancellation, rejection, or surrender of registration or until after satisfaction of every claim whichever is later.
(9) The Authority shall invoke the indemnity bond when such entity is unable to meet any penalty or fine imposed or is unable to discharge any of its obligations under the Act.
(10) The indemnity bond shall be discharged in respect of the warehouse if, - (a) an application for renewal of registration of the warehouse has been rejected and if the Authority is satisfied that the warehouseman has discharged his obligations as per the requirements of these rules.
They shall come into force on the date of their publication in the Official Gazette.
The detailed amendments are given in the document attached below.
[Notification No. G.S.R. 503(E)]
