The Factories Act 1948 r/w Andhra Pradesh Factories Rule 1950 was enacted to

regulate the labor in factories and to provide for matters relating to license, health, safety,
welfare, working hours and other similar matters.
Since 10 or more workers are working in the unit and manufacturing process for making
cigarettes is being carried out therefore the unit is a Factory as per Factories Act. The
definition of worker means a person employed directly or by or through any agency
(including a contractor) and includes contract labor.
Compliances
1. License [Section 6(1)(d) r/w Rule 4] : Occupier of a factory has an obligation to
send by personal delivery or by registered post to the Inspector an application for
registration of factory and the grant of license in Form No 2 along with challan of fee
paid as per Schedule 6, at least 15 days before commencing any manufacturing
process in the factory.
2. Spittoons: [ Section 20(1) r/w Rule 51 & 52]: To provide adequate number of
spittoons at convenient places of following type
a. A galvanized iron container with conical funnel shaped cover. A layer of
suitable disinfectant shall be maintained in the spittoons or;
b. Container filed with dry , clean sand and covered with layer of bleaching
powder
The Maternity Benefits Act, 1961 r/w Maternity Benefit Rules.. was enacted to
regulate the employment of women in certain establishments for certain periods before
and after child-birth and to provide for maternity benefit and certain other benefits.
Compliances
1. Nursing breaks [Section 11 r/w.] To allow in addition to interval of a rest to
women after delivery, in course of her daily work two breaks of 15 minutes each
until the child completes 15 months.
2. Payment: To make payment of maternity benefit or other amounts due to the
women concerned or in case of death to the nominee prescribed in Form E and in
case of no nominee to her legal representative.
The Payment of Wages Act 1936 r/w Payment of Wages Rules was enacted
regulate the payment of wages to certain classes of employed person and applied to

workers

of

factory

Compliances:
1. To explain to the person personally on whom a fine is being levied or wages are
being deducted for damages, act or omission or damage or loss, the amount of fine
or damage being imposed or deducted and to hear his explanation in presence of at
least one witness.
2. To reduce in writing the charges in respect of the fine or damage and the
explanation provided along with the thumb impression or signature of person and
the witness
The Payment of Gratuity Act, 1972 and Payment of Gratuity Rules were enacted to
provide for a scheme of payment of gratuity to persons employed in factory and matters
connected therewith
Compliances
1. Payment of Gratuity( Section 4): To pay gratuity to an employee after
termination of employment who has rendered at least 5 years of continuous service
on
a. Superannuation
b. Retirement or resignation
c. Death or disablement due to accident or disease
2. Display of Notice (Rule 4): To display conspicuously a notice at or near the main
gate of the establishment in bold letters in English and in local language understood
by ,majority of the employees specifying the name of the officer and designation to
receive on his behalf notice under the Act
The Minimum Wages Act was enacted to fix the minimum wages in certain
employments
Compliances
1. Overtime rule 6: Not to exceed 50 hours in any quarter as the overtime allowed to
workers
2. Number of Hours which shall constitute a normal working day: The number of hours
that constitute normal working days
a. In case of adult 9 hrs
b. In case of child 4.5 hrs

Air (Prevention and Control Of Pollution) Act,1981

The act was enacted to provide for the prevention, control and abatement of air pollution,
to lay down standard for emission, to prohibit use of appliances, to prohibit burning of any
fuel and incidental matters.
Rule 27 of a.p. air (prevention and control of pollution) rules, 1982 states that this act shall
be applicable to the entire state of andhra pradesh.
Section 21 : Consent establishment
The applications is directly in the Single Window at Commissionerate of Industries, Chirag
Ali Lane, Abids, Hyderabad / Office of the concerned General Manager, District Industries
Centre in the prescribed form i.e. Common Application Form, FORM - I , PART - A and
Application for Consent for Establishment, FORM -I, PART - C5 along with requisite fees
Section 23: he emission of any air pollutant into the atmosphere in excess of the standards
laid down by the State Board occurs or is apprehended to occur due to accident or other
unforeseen act or event, the person in charge of the premises from where which emission
occurs or is apprehended to occur shall forthwith intimate the fact of such occurrence or
the apprehension of such occurrence to the State Board and to such authorities or
agencies as may be prescribed.
Assets
Indian Boilers Act 1923
Registration Section 7: The owner is under an obligation to apply to the Inspector to have
the boiler registered
12. Alterations and renewals to boilers : No structural alteration, addition or renewal shall
be made in or to any boiler registered under this Act unless such alteration, addition or
renewal has been sanctioned in writing by the Chief inspector.

Companies Act 2013

149 (3) To have have at least one director who has stayed in India for a total period of not
less than one hundred and eighty-two days in the previous calendar year
149(1) The Board of Directors to have minimum two director and maximum of 15
directors.

Foreign Exchnge Management Act

FEMA Master Circular on Import and Export of goods and Services
The amount representing the full export value of the goods exported shall be received through an AD Bank in the
in the following manner:
a. Bank draft, pay order, banker's or personal cheques.
b. Foreign currency notes/foreign currency travellers cheques from the buyer during his visit to India.ec
Sec 44ABWhere the total sales, turnover or gross receipts, as the case may be, in business of the assessee exceeds 40 lacs
rupees in any previous year, it shall furnish by the 31st October of the Assessment Year, the report of its statutory audit as an
enclosure to an accountants report in Form 3CB, setting forth such particulars as required in form 3CD.