THIRUVANANTHAPURAM: The Governor has decided to send the Cashew nut Factories Acquisition Amendment Bill, passed by the legislative assembly, to the President for approval. The bill stipulates that if the laborers are not given jobs or if the laborers get unemployed due to the closure of the factory then the government can acquire the factory through an order, in public interest.

According to the Constitution Article 31(a) the President’s approval is needed for laws such as these passed by the states. When the bill was sent to the Raj Bhavan, the law department had pointed this out. A note was written saying that this bill might go against the Central law. This is why the Governor decided to send the bill to the President.

According to the Cashew nut Factory Acquisition Law of 1974 3b, the government has the right to acquire leased factories that are still running or out of use. Under this law twenty factories were acquired and handed over to the Cashew nut Development Corporation. The amendment is brought to take over one factory in Kayamkulam and two in Kollam. Together with that, the land is also to be acquired.

Currently, even if the factories under the Cashew Development Corporation is given back to the owners, the government can take over if it thinks that the laborers are not getting jobs.

One of the main aim in the masterplan to renew public sector institutions in cashew nut sector is to take over factories that are closed down without any specific reasons in three years. It also aims to appoint 3000 laborers and increase the productivity using machines and also increase the quality of the products. Also, it seeks to bring value added products into the market and make these institutions self-sufficient.