THE MICRO, SMALL AND MEDIUM ENTERPRISES DEVELOPMENT ACT, 2006. ACT NO. 27 OF 2006, 16th June, 2006.
An Act to provide for facilitating the promotion and development and enhancing the competitiveness of micro, small and medium enterprises and for matters connected therewith or incidental thereto.
WHEREAS a declaration as to expediency of control of certain industries by the Union was made under section 2 of the Industries (Development and Regulation) Act, 1951;
AND WHEREAS it is expedient to provide for facilitating the promotion and development and enhancing the competitiveness of micro, small and medium enterprises and for matters connected therewith or incidental thereto;
BE it enacted by Parliament in the Fifty-seventh Year of the Republic of India as follows:—
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| Sections | Particulars |
| Chapter I | Preliminary |
| 1 | Short title and commencement |
| 2 | Definitions |
| Chapter II | National Board for Micro, Small and Medium Enterprises |
| 3 | Establishment of Board |
| 4 | Removal of member from Board |
| 5 | Functions of Board |
| 6 | Powers and functions of member-secretary of board |
| Chapter III | Classification of Enterprises, Advisory Committee and Memorandum of Micro, Small and Medium Enterprises |
| 7 | Classification of enterprises |
| 8 | Memorandum of micro, small and medium enterprises |
| Chapter III | Measures For Promotion, Development and Enhancement of Competitiveness of Micro, Small and Medium Enterprises |
| 9 | Measures for promotion and development |
| 10 | Credit facilities |
| 11 | Procurement preference policy |
| 12 | Funds |
| 13 | Grants by Central Government |
| 14 | Administration and utilisation of Fund or Funds |
| Chapter IV | Delayed Payments to Micro and Small Enterprises |
| 15 | Liability of buyer to make payment |
| 16 | Date from which and rate at which interest is payable |
| 17 | Recovery of amount due |
| 18 | Reference to micro and small enterprises facilitation council |
| 19 | Application for setting aside decree, award or order |
| 20 | Establishment of micro and small enterprises facilitation council |
| 21 | Composition of micro and small enterprises facilitation council |
| 22 | Requirement to specify unpaid amount with interest in the annual statement of accounts |
| 23 | Interest not to be allowed as deduction from income |
| 24 | Overriding effect |
| 25 | Scheme for closure of business of micro, small and medium enterprises |
| Chapter VI | Miscellaneous |
| 26 | Appointment of officers and other employees |
| 27 | Penalty for contravention of section 8 or section 22 or section 26 |
| 28 | Jurisdiction of courts |
| 29 | Jurisdiction of courts |
| 30 | Power to make rules by State Government |
| 31 | Power to remove difficulties |
| 32 | Repeal of Act |