The Madhya Pradesh Adhivakta Kalyan Nidhi Adhiniyam, 1982

THE MADHYA PRADESH ADHIVAKTA KALYAN NIDHI

ADHINIYAM, 1982

[No. IX of1982]

[ 27th March, 1982]
 

CONTENTS

Secs.

D
J

10.

11.

12.

14.

CHAPTER I

PRELIMINARY

. Short title and extent

. Definitions

CHAPTER II

CONSTITUTION OF FUND

. Advocates' Welfare Fund

CHAPTER III

ESTABLISHMENT OF TRUSTEE COMMITTEE, APPLICATION OF FUND AND ITS

MANAGEMENT, ETC.

Establishment of Trustee Committee.

. Disqualification for being amember of Trustee Committee

Resignation by nominated members of Trustee Committee

. Filling up of casual vacancy

. Act of Trustee Committee not to be invalidated by vacancy, defect, etc.

. Vesting an application of fund.

Meetings of Trustee Committee.

Travelling and daily allowance to members of Trustee Committee.

Funds, borrowing and investments.

. Power and duties ofSecretary.

Transfer of certain moneys to the fund



15.

16.

17.

CHAPTER IV

FRAMING OF SCHEMES

Preparation of schemes by the Trustee Committee.

CHAPTER V

BAR ASSOCIATION, ITS REGISTRATION, DUTIES AND FUNCTIONS

Recognition and registration of Bar Association

Duties of Bar Association.

CHAPTER VI

STAMPS AND THEIR DISTRIBUTION

17A. Definitions

18.

19.

20.

21.

22.

24.

25.

26.

27.

Printing of Madhya Pradesh Adhivakta Kalyan Nidhi Stamps

Memo of appearance to bear stamps

Cancellation etc. ofthe stamps.

Contribution to Advocates Welfare Fund

Value of the stamp shall not be chargeable from the clients.

CHAPTER VII

MISCELLANEOUS

. Protection of action taken in good faith

Bar ofjurisdiction of Civil Courts

Power to make rules.

Application of Advocates Act 1961 not barned

Repeal.



THE MADHYA PRADESH ADHIVAKTA KALYAN NIDHI

ADHINIYAM, 1982

[No. IX of1982]

[ 27th March, 1982]

AMENDING ACTS

d) )M.P.Act 48 of 1984 (ii) M.P.Act 24 of1994

(iii) MRAct 35 of 1994 (iV) M.P.Act9of 1998

(V) M. P. Act 16 of 1999. (Vi) M.P.Act 18 of 2004

(Vii) M.P. Act 4 of2013 (Viii) M.P. Act 17 of2019

An Act to provide for the constitution of a Welfare Fund for running

various schemes for the social security and welfare of Advocates in the State of

Madhya Pradesh andfor matters connected therewith or incidental thereto.

Be it enacted by the Madhya Pradesh Legislature in the Thirty -third Year of

the Republic of India as follows :—

CHAPTER I

PRELIMINARY

1. . Short title and extent.—( 1) This Act may be called The Madhya

Pradesh Adhivakta Kalyan Nidhi Adhiniyam, 1982.

(2) )It extends to the Whole ofthe State of Madhya Pradesh.

2 Definitions. - In this Act unless the context otherwise requires, -

(a) " advocate" means a person Whose name has been entered in the State

roll of advocates prepared and maintained by the Bar Council of

Madhya Pradesh under Section 17 of the Advocates Act, 1961 (25 of

1961) and who is amember ofaBar Association;

(b) “ Bar Association" means an association of advocates recognised b ythe

Bar Council under Section16;

(c) "BarCounci1"means the Bar Council of Madhya Pradesh constituted

under Section 3 ofthe Advocates Act, 1961 (25 of 1961);

(d) " cessation of practice" means permanent stoppage or cessation

of practice by an advocate on account of his retirement, death or any

other reason, as the case may be, duly notified to the Bar Council,

and include removal of the name of an advocate from the State roll

maintained by the Bar Council;



(6) " dependants" means wife; husband; father; mother; unmarried children

or widowed daughter of the advocate and actually dependent on him

for maintenance;

’fund” means the Advocates' Welfare Fund constituted under Section

3;

”junior advocate 'means an advocate who was enrolled as an advocate

by the Bar Council not more than five years ago;

”member 0fthefund” means an advocate as defined in clause (a) ;

” retirement” means permanent stoppage of practice as an advocate on

account of advanced age infirmity any t ime after attaining the ag e of

sixty years and communicated to and recorded by the Bar Council;

" suspension of practice” means voluntary suspension of practice as an

advocate or suspension by the Bar Council for misconduct;

”Trustee Committee” means the committee established under Section

4.

CHAPTER II

CONSTITUTION OF FUND

3. Advocates’ Welfare Fund.- ( 1) With effect from the date of establishment

of Trustee Committee under sub-section ( 1) of Section 4; there shall be constituted

afund called the Advocates' Welfare Fund.

(2)

(a)

(b)

(C)

(d)

(6)

There shall be credited to the fund -

agrant of rupees six lakhs that shall initially be made by the State

Government to the fund;

any amount paid by the Bar Council;

any voluntary donation or contribution made to the fund by the Bar

Council of India; a Bar Association; other association or institution;

any advocate or any other person;

any sum borrowed under Section 12;

all moneys credited under Section 18;

all sums received from the Life Insurance Corporation of India on the

death of an advocate under the group insurance of the member of the

fund;

any profit; dividend; or refund received from the Life Insurance

Corporation of India in respect of the policies in group insurance of the

member ofthe fund;

any interest or dividend or other return on any investment made

of any part of the fund;



® any other amount received by the Trustee Committee.

[(2 -a) The amount received by the State Bar Council on account of payment

of Stamp Duty on certificate of enrolmen t ; issued under Section 22 of the

Advocates Act; 1961 (No. 25 of 1961); shall be credited to the fund and such

credits shall discharge the State Bar Council of its liability in respect thereof to

the State Government; under Article 17 -A of Schedule I-A of the Indian Stamp Act;

1899 (No. II of 1899) as applicable to the State ofMadhya Pradesh.]

(5) The sums specified in sub-section (2) shall be paid to; or collected by;

such agencies; at such rate and in such manner; and the account of the fund shall be

maintained in such form; as may be prescribed.

CHAPTER III

ESTABLISHMENT OF TRUSTEE COMMITTEE, APPLICATION OF FUND AND ITS

MANAGEMENT, ETC.

4 Establishment of Trustee C0mmittee.-( 1) With effect from such date as

the State Government may; by notification; ap point in this behalf there shall be

established 'for the purpose of this Act a Trustee Committee to be called the

Madhya Pradesh Advocate's Welfare Fund Committee.

(2) The Trustee Committee 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; both movable and immovable and to contract; and shall by the

said name sue and be sued.

(5) The Trustee Committee shall consist ofthe following; namely: —

A.- EX- OFFICIO MEMBERS

(i) the Minister-in-Charge of Law-Chairman;

(ii) The Minister of State-in-Charge of Law-Vice-Chairman;

(iii) the Chairman; Bar Council -Vice Chairman;

(iV) the Advocate General; Madhya Pradesh;

(V) the Secretary to the Government of Madhya Pradesh; Law and

Legislative Affairs Department-Secretary;

(VI) Secretary; Bar Council-Joint Secretary (having no voting rights);

(Vii) Treasurer; Bar Council-Treasurer;

(ViiD the General Manager of the Local Head Of fice of the State Bank of

India or his nominee not below the rank of Regional Manager;



6X) the Divisional Manager of the Life Insurance Corporation ofIndia;

Indore or his nominee not below the rank of Deputy Divisional

Manager;

(X) the Secretary to the Government of Madhya Pradesh; Finance

Department '[ or his nominee not below the rank of Deputy Secretary];

B. NOMINATED MEMBERS

$3 two members to be nominated by the Bar Council;

(XiD two members to be nominated by the State Government of whom one

shall be amember of Parliament from the State and the other shall be

amember ofthe State Legislative Assembly.

(4) A nominated member shall hold office during the pleasure ofthe

authority nominating him but the term of his office shall not exceed five years

from the date of his nomination.

(5) Whenever any person is nominated or appointed as a member ofthe

Trustee Committee by Virtue of the post or office held by him; he shall forthwith

cease to be amember of the Trustee Committee on his ceasing to hold such post or

office.

5. Disqualification for being a member of Trustee Committee. - A person

shall be disqualified for being nominated or appointed as; and for being a member

of; the Trustee Committee ifhe-

(a) becomes of unsound mind; or

(b) is adjudged insolvent; or

(c) is absent without leave of the Trustee Committee for more than three

consecutive meetings ofthe Trustee Committee; or

(d) is a defaulter to the fund (in case he is a member of the fund) or

has committed breach oftrust; or

(e) is convicted by a criminal Court for an offence involving moral

turpitude or an economic offence unless such conviction has been set

aside;

6 Resignation by nominated Members of Trustee Committee. - A

nominated member may resign his office by a notice in writing to the Chairman of

the Trustee Committee and it shall be deemed to have been accepted as soon as it is

so tendered as to be out of the reach or control ofthe tenderer.

7 Filling up of casual vacancy.- A casual vacancy in the office of a member

may be filled up; as soon as may be and a member so nominated to fill such

vacancy shall hold office for the unexpired portion of the term of office of the

member whose place he fills.



8. Act of Trustee Committee not to be invalidated by vacancy, defect,

etc.- No act done or proceedings taken under this Act or the rules made thereunder

by the Trustee Committee shall be invalidated merely by reasons of-

(a) any vacancy or defect in the constitution of the Trustee Committee; or

(b) any defect or irregularity in the nomination of any person as a

member thereof; or

(c) any defect or i rregularity in such act or proceeding not affecting the

merits ofthe case.

9. Vesting an application of Fund.-( 1) The fund shall vest in; and be held

and applied by the Trustee Committee subject to the provisions; and for the

purposes ofthis Act.

( 2) The Trustee Committee shall administer the fund; through the Secretary.

10. Meetings of Trustee C0mmittee.-( 1) The Trustee Committee shall meet

atleast once in three calendar months or more often if found necessary to transact

business under this Act or the rules made thereunder.

(2) Five members of the Trustee Committee shall form the quorum fora

meeting of the committee.

(3) The Chairman or in his absence; one of the Vice Chairman shall preside

over ameeting ofthe Trustee Committee.

(4) Any matter coming up before a meeting of the Trustee Committee shall

be decided by amajority of the members present and voting at the meeting and; in

the case of an equality of votes the Chairman or Vice -Chairman; as the case may

be; shall preside over the meetings and shall have acasting vote.

11. Travelling and daily allowance to members of Trustee C0mmittee.-

( 1) The non-official members of the Trustee Committee shall be eligible to get

such travelling allowance and daily allowance as may be prescribed.

(2) Official members shall draw their travelling and daily allowance as

admissible to them by Virtue of their office in the Government.

(3) The travelling and daily allowance so payable to the members shall be

paid out of the fund.

12 Funds, borrowing and investments. - ( 1) The Trustee Committee may

borrow; from t ime to t ime; any sum required for carrying out the purposes of this

Act.

(2) The Trustee Committee shall deposit all moneys and receipts forming

part of the Fund in any scheduled bank or invest the same in loans to any

corporation owned or controlled by the Central Government or the State

Government or in loans floated by the Central Government or the State Government or

in any othermanner.



(3) All amounts due and payable under this Act and all expenditures relating

to the management and administration of the fund shall be paid out of the fund.

(4) The accounts of the Trustee Committee shal 1 be audited annually bya

Chartered Accountant appointed by it.

(5) As soon as the accounts of the Trustee Committee have been audited; the

Trustee Committee shall send a copy thereof together with a cop y of the report of

the Chartered Accountant and thereon to the State Government.

(6) The Trustee Committee shall comply with such directions as the State

Government may; after perusal of the audit report of the Chartered Accountant

think fit to issue.

13. Power and duties of Secretary.- The Secretary ofthe Trustee Committee

shall;-

(a) be the chief executive authority of the Trustee Committee and be

-responsible for carrying out its decisions;

(b) represent the Trustee Committee in all suits and proceeding s for and

against the Trustee Committee;

(c) authenticate by his signature all decisions and instructions of

the Trustee Committee;

((1) operate the bank accounts of the Trustee Committee jointly with the

Treasurer;

(e) convene meetings of the Trustee Commi ttee and prepare its minutes;

(i) attend the meetings of the Trustee Committee with all the necessary

records and information;

(g) maintain such forms; registers and other records as may

be prescribed; from t ime to t ime; and do all correspondence relating to

the Trustee Committee;

(11) prepare an annual statement of business transacted by the Trustee

Committee during each financial year ;and

(i) do such other acts; on their behalf; as may be directed by the Trustee

Committee or the Chairman.

14. Transfer of certain moneys t0 the fund. - The Bar Council shall pay to

the fund annually an amount as may be prescribed.

CHAPTER IV

FRAMING OF SCHEMES

15. Preparation of schemes by the Trustee Committee. - ( 1) The Trustee

Committee in consultation with the Bar Council of Madhya Pradesh may prepare

scheme for;-



(i) the group insurance of the advocates;

(ii) granting gratuity and/ or retirement benefits to the advocates enrolled

as participating members of such schemes;

(iii) the financial aid to the junior advocates by way of stipend on nominal

interest repayable in easy instalments or for giving guarantee for

facilitating advance of such loan to the junior ad vocates by a

financing institution;

(iv) medical insurance ofthe advocates;

(V) facilitating house building loans to the advocates; and

(Vi) such other welfare or benefits to the advocates as itdeems fit.

(2) The scheme shall be submitted to the State Go vernment which shall

publish itand thereafter shall lay it on the table of the Legislative Assembly for

ten days.

(3) On such publication; the provisions of the scheme shall form part of this

Act.

CHAPTER V

BAR ASSOCIATION, ITS REGISTRATION, DUTIES AND FU NCTIONS

16. Recognition and registration of Bar Association.-( 1) An association of

advocates; known by any name; functioning in any part of the State may; before a

date to be notified by the Bar Council in this behalf; apply for recognition and

registration; to the Bar Council in such form and on payment of such annual

subscription; or other fees as the Bar Council may; from time totime; determine.

(2) Every such application shall be accompanied by the rules or byelaws of

the association; names and addresses of the office-bearers of the association and an

up-to-date list ofthe members ofthe association showing the name; address; date of

birth; age; date of enrolment and the ordinary place of practice of each member.

(3) The Bar Council may; after such enquiry as it deems necessary;

recognise the association and issue acertificate of registration in such form as itmay

specify.

(4) The decision of the Bar Council regarding the recognition and

registration ofaBar Association shall be final.

( 2) Every Bar Association shall intimate to the Bar Council; -

(a) any change of the office bearers of the association within fifteen days

from the date of such change;

(b) any change in the membership including admissions and readmissions

within thirty days from the date of such change;



(c) the death; retirement; cessation or suspension of practice of any of

its member within thirty days from the date of the happening of the event

or on receiving ofthe intimation thereof; whichever is later; and

((1) such other matters as may be required by the Bar Council; from t

ime to time.

CHAPTER VI

STAMPS AND THEIR DISTRIBUTION

17A. Definitions . -In this chapter;-

(a) ” Court” means [’1< * *] a civil; revenue; criminal; labour or any other

Court or Tribunal or Authority; by what ever name called; acting in the

proceedings ofjudicial or quasi -judicial nature ;

(b) ”memo of appearance " includes Vakalatnama and any authorisation;

under Order 111 of the First Schedule to the Code of Civil Procedure;

1908 (V of 1908); by whatever name called; for acting or pleading

before a Court]

18. Printing of Madhya Pradesh Adhivakta Kalyan Nidhi Stamps. -[ 1] The

State Government shall on the requisition made by the Bar Council of Madhya

Pradesh; print or cause to be printed in such form and in such manner as may be

prescribed in consultation with the Bar Council; adhesive stamps bearing the words

" Madhya Pradesh Adhivakta Kalyan Nidhi Stamp" of the value of twenty rupees and

fifty rupees] for being supplied to the Bar Council for distribution and sale on 10

percent commission basis.

( 2) Any Bar Association or Stamp Vendor who purchases Adhi vakta Kalyan Nidhi Stamps

worth-

(a) one thousand rupees or more from the counter of the Bar Council

shall be entitled for acommission often percent ; and

(b) less than one thousand rupees or through Postal Service shall be

entitled for a commission of five percent]

19. Memo of appearance to bear stamps . -( 1) A memo of appearance filed

in any Court other than the High Courts shall bear the Madhya Pradesh Adhivak ta

Kalyan Nidhi Stamp of the value of [forty rupees].

(2) A memo of appearance filed in the High Court shall bear the Madhya

Pradesh Adhivakta Nidhi Stamp ofthe value of9[ hundred rupees].

(3) It shall be duty of the Advocates to affix on the memo of appearan ce

stamps under sub-sections ( 1) and (2) and no Court including the High Court shall

accept such memo of appearance unless itis so stamped.]

20. Cancellation etc. of the stamps.- Every stamp so affixed on the memo of

appearance shall be cancelled in amanner provided in the Court Fees Act; 1870 (7

of 1870) for cancellation of court fee stamps.

10



21. Contribution to Advocates Welfare Fund. - Net proceeds received from

the distribution and sale of the Madhya Pradesh Adhivakta Kalyan Nidhi Stamps

shall be contributed by the Bar Council to the Madhya Pradesh Adhivakta Kalyan

Nidhi.

22. Value of the stamp shall not be chargeable from the clients. - No

advocate shall charge the value of the Madhya Pradesh Adhivakta Kalyan Nidhi

Stamps from any client and contravention t hereof shall be deemed to be a

misconduct.

CHAPTER VII

MISCELLANEOUS

23. Protection of action taken in good faith. - ( 1) No suit; prosecution or

other legal proceedings shall 1 ie against any person for anything which is in good

faith done or intended to be done in pursuance of this Act or any rule made

thereunder.

( 2) No suit or other legal proceedings shall 1 ie against the Trustee

Committee or the Bar Council for any damage caused or 1 ikely to be caused by

anything which is in good faith done or intended to be done in pursuance of this

Act or any rule made thereunder.

24. Bar of jurisdiction of Civil Courts. - No Civil Court shall have

jurisdiction to settle; decide or deal with any question or to determine any matter

which is by or under this Act required to be settled; decided or dealt with or to be

determined by the Trustee Committee or the Bar Council.

25. Power to make rules.-( 1) The Trustee Committee may; with the

previous approval of the State Government; by notification; make rules for the

purpose of carrying into effect the provisions ofthis Act :

Provided that before giving approval to the rules framed by the Trustee Committee; the State

Government shall consult the Bar Council.

( 2) All rules made under this Act shall be laid on the table of the Legislative Assembly.

26. Application of Advocates Act 1961 not barred — The provisions of this

Act shall be complimentary to and not in derogration of the provisions of the

Advocates Act; 1961 (No. 25 of 1961).

27. Repeal.- The Madhya Pradesh Adhivakta Kalyan Nidhi Adhyadesh; 1981

(No. 14 of 1981) is hereby repealed.

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