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CA Intermediate · Corporate and Other Laws · The General Clauses Act, 1897

A Central Act enacted in 2010 empowers the Central Government to frame rules. Using this power, the Government issues a notification on 1 June 2023 and later wants to withdraw one of the rules it made. Under the General Clauses Act, 1897, which position is correct regarding the power to make rules?

The power to issue rules or notifications under a Central Act includes the power to add to, amend, vary or rescind them. This power is exercised in the same manner and subject to the same conditions, so the Government can withdraw its own rule without Parliament amending the Act.

  1. AThe power to issue includes the power to add to, amend, vary or rescind the rules, exercisable in the same manner and subject to the same conditionsCorrect
  2. BThe power cannot be used again once exercised, so the rule cannot be rescinded
  3. CThe rule can be rescinded only by Parliament amending the Act
  4. DThe rule can be rescinded only with the President's prior sanction in every case

Explanation

The Act provides that a power to issue notifications, orders, rules or bye-laws includes the power, exercisable in the same manner and subject to the same conditions, to add to, amend, vary or rescind them. Hence the Government need not go back to Parliament. The option saying the power is exhausted after one use is wrong.

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