Statutory Provisions






       Whereas In the matter of issue of mechanized fishing boats on hire  purchase system in the Union Territory of Lakshadweep, the following rules are framed and issued by the Administrator, by way of consolidation of all existing executive instruction and rules, 1976.
















   Area of Operation


Priority for Supply .








Allotment of Boats to individual islands



Registration of  application










Tests of eligibility






























Allotment of 

Fishing boat






Financial liability of the allottee



















Rights of the hirer Heritable but not transferable.


















1.      These rules may be   the Lakshadweep Supply of  Mechanised Fishing boats (Hire Purchase) Rules, 1976.

2.      These l1)les shall come into force on the day of their Publication in the Lakshadweep Gazette.

3.(a) "Administrator" mea11S the Administrator of the Union Territory of Lakshadweep. .

(b) "Director of Fisheries" means the Officer who is the head of the    Department of Fisheries in the Union Territory of Laksh4dweep .

(c) "Scrutinizing Authority" means and includes the Assistant Director of Fisheries or any other Regional Officer stationed at different parts of the Union Territory of Lakshadweep, in the Department of Fisheries.

(d) "Reporting Authority"' is the officer in the Fisheries department stationed in each of the individual islands, which constitute the Union Territory  impawned to represent the Department of Fisheries in the said island.

(e) "Fishing Boat" means a boat fitted with mechanized means of propulsion intended to be used or engaged exclusively in sea fishing for profit and include Pablo Boat.

(f) "Person" shall means and include a person permanently inhabiting and carrying on his business in any part of the Union Territory of Lakshadweep at least one of whose parents is an islander born in anyone of the islands forming the Union Territory .

(g) "Owner" means in relation to the Fishing boat is the person to whom it has been supplied under these rules or under any of the pre-existing n1les relating to the supply of boats and includes one having a share in the same boat.

(h) 'Crow' in relation to fishing boat means all persons in charge of the boat and would include one having its command at the time being.

4)   The area; of operation of tl1e Fishing boats issued under tl1ese rules shall  be around anyone of the islands of tl1e Union Territory of Lakshadweep and the sea surrounding  the island & and covering submerged reefs.

5) (a) First priority in the supply of fishing boats under these rules   shall be made to group of persons who are member of the co-operative        societies registered and established in the Union Territory for the purpose of fishing. Under this, preference shall be given to groups of persons trained in to the Fisheries Department in mechanized fishing.

  (b) The Second priority in tl1e supply of :fishing boats shall be made to groups   of persons and among groups priority shall be given to tl1ose trained in mechanized fishing by the Department of Fisheries. If there are groups of equal merits t11eir e1igibi1ity shall be tested on the basis of tests prescribed in Rule 8 ( c )

(c) The next priority is for groups of unemployed educated youths who possess educational qualification SSLC / SSC or above and have opted fishing for self employment or group of youth who have studied fishing science as vocational subjects up to X Std. Or group of able bodied Ex- servicemen. In the case of groups of equal merits their eligibility shall be tested on the basis of tests prescribed in 8 (c)


6.            Preference for the allotment of boats to each individual island shall be on tl1e performance in fishing with the boats issued previously to each island which shall be decided on the basis of fishing data available with the Department of Fisheries, Islands which misuse the bats issued and with poor record of fishing shall have only low priority in the allotment of boats.

7.    The Application for fishing boats shall be made to the Director of Fisheries in Form ' A' appended to these rules, in triplicate and handed over to the Reporting Authority to maintain the requisite register recording receipt of each of the applications received by him, noting descriptive particulars of the concerned applicant and the date and the time of receipt of each of them, countersigned by him at the end of each day which is available for inspection and verification.


8  (a) The Reporting Authority shall, ass expeditiously as possible make due enquiries concerning the test qualifications and eligibility as are prescribed in the rules and of such other necessary particulars as are according to him likely to be useful to, reach a correct decision on their rival of competitive claims in the matter of supply of fishing boats. Such repol1s of the repotting authority shall be submitted by him along with the original and duplicate of the application, with a maximum period of 10 days from the date of receipt of application.


(c)   The  Director of Fisheries on receipt of the original and duplicate of the application together with its material papers sent by the    Scrutinizing authority shall, before making recommendations there on, have due regard to all similar pending applications before him also to the number of fishing boats available for supply to each island make appropriate recommendations to the Administrator, following the following tests:

i)   The point of time of the receipt of the applications treating the one received earlier as entitled to priority over that which was received later .


ii)  Comparative Experience of the applicant in each island of the applications in fishery, soundness of health, training in mechanized fishing.


iii)  Honesty and integrity and willingness for repayment of loan.


iv)  If the applicant Owes amount to the Administration and if so in what account and if such amount are in default.


v)  If the applicant owns or holds a fishing boat (no applicant shall eligible for allotment) of a boat if owns or hold a fishing boat on the date of application.


vi)  If the applicant is an ex-serviceman with health and aptitude in fishing.


vii) If the applicant is a criminal who has been convicted and   sentenced to undergo imprisonment for an offence involving moral turpititude.


 viii) If  the  applicant  has  been   concerned  in or  connected with anti- Government  affairs  or activities of  an objectionable type or character.  

   ix)  If the applicant is dependant on fishing for a livelihood.


(d) i)   If on the application of the above prescribed tested it is found that two or more applicants have satisfied all the tests, that which is earliest in point of  time shall be considered for acceptance subject to the priority prescribed under Rule No.7.

ii)   The Director of Fisheries shall submit the applications to a Committee of Official and Non-Official members (head by the Collector-Cum-Development Commissioner/Port Officer as Chairman, Director of Fisheries as Member Secretary. Secretary (Administration), Additional District Magistrate, Asst. Engineer (Shipping) and non-Officials not exceeding six as embers, for its consideration. The committee shall submit its recommendations to the Administrator for a decision on the allotment of boats aVai1able for distribution. The decision of the Administrator in this behalf shall be final. "However, the Administrator may advise the committee to consider cases on priority including those who have given lands for Navy, Cyclone affected persons etc (irrespective of priorities recorded in writing".


9.     (a)      The    applicants   to   whom     the  boats   are   sanctioned

                  shall    take  delivery of  the delivery  of  the boats within the

                  period   specified    the  order  with  liability  for repayments

 executing an  agreement  in the prescribed form in  favour  of the Administrator which shall be attested by at least t\Vo witnesses with a solemn declaration in the presence of a Gazetted. Officer serving the Union Territory Administration that he shall be bound by the several clauses contained in the agreement and also by the rules regulating the allotment of fishing boats.


(b)    Financial liability of the allottee shall be the net amount of the cost of the fishing boat after the deduction of the amount of subsidy sanctioned by the Government of India at the time when the boat has been delivered to him, the cost of being the total of the value of the hull and value of the engine installed in the boat together with the cost of all accessories fitted or installed in the fishing boat until delivery of the same to the allottee.


h)     The allottee under the HP agreements has not with standing anything contained in these rules has option to purchase the allotted fishing boats on payment of that amount for which the hire purchase agreement has been executed by him less the amount which he has until such payment has already been credited to his reaming account with the fisheries department.


         i)    On the   closure   of   the   accounts   of   the   boat   hirer clear

               his financial  liability  for which  the  hire  purchase   agreement

               has for which the hire purchase   agreement has been executed,

               he shall  be given by  the  Director of Fisheries  Official receipt

               on his seal  and  signature  to   that   effect   and   conferring

               full  priority rights  over  the boat supplied to him.


10)         The allottee has duty and obligation under these rules to ensure the sea-worthiness and safety of the fishing boat allotted to him until passing of ownership over the boat takes place in the manner provided under these rules. Pursuant to this duty and obligation the allottee after obtaining delivery' of the fishing boat shall take out an Insurance policy at his own cost and expense against all marine risks or loss in any manner in respect of the fishing boat and deliver the Insurance policy so taken to the Director of Fisheries nominating him as the person entitled to claim the benefits under the Insurance and in the event of occurrence when the Insured amount becomes due and payable. The  insurance policy so taken out by the insured in respect of the fishing boat shall be renewed from time to time until the entire liability of the insured has been fully discharged. It shall be lawful for any of the officers in the Fisheries Department to carry out instruction  of the Fishing boat  which power includes the right of entry into the boat.


11   (a)  The allottee  shall   not in any manner effect transfer of the fishing

             boat     to   any   other   person   without   the   knowledge   and

             prior  permission of   the Director of   Fisheries, obtained  in  that

             behalf. It is, however, provided that the rights and liabilities of the

             allottee under these rules and under the agreement of HP  shall

             be heritable and will develop upon hiss legal heirs, successors

             and executors.

(b)   Whoever,  in contravention of these rules effects transfer by gift sale, mortgage lease or license or other wise of the , boat hired out  to body of persons, such transfer shall be hull and void under these rules and the boat so transferred shall be liable to be seized or forfeited by the Director of Fisheries or the Officer authorised by him on tl1is behalf.

       (c)   The   Director   of   Fisheries   has   power   to cancel the HP 

              agreement     in    the    event    of   violation   of  all   or  any  of 

              the  provisions  of' these  rules of the  terms contained in the  HP

              agreement executed by the allottee, in  which   event  the  fishing

              boat, allotted to him shall be liable to be seized by the reporting

               authority with police aid if necessary.


(d) The use of the fishing boat for any purpose other than fish catching without the written authority of the, Assistant Director of Fisheries shall be sufficient ground for cancellation of the HP agreement and for seizure of the fishing boat by the Reporting authority .

12 (a)  In the case of default of 2 consecutive installments, the hirer shall be required to clear the arrears of installments together with the interest accrued till tile date of payment within a stipulated time, and if the amount is not paid before the due date of the third installment the boat shall be seized without further notices and it shall be enforced by the Reporting authority.  On its seizure the hirer shall be bound to clear all the outstanding amount together with interest due and incidental charges if any, incurred in connection with  seizure of the boat, within a specified period not exceeding 15 days of the date of seizure . If within 15 day's from the date of seizure, it is not paid clearing the amount in default, the boat so seized may be supplied under order of the Director of Fisheries to any other eligible applicant awaiting his chance of supply' who has qualified himself by satisfying all the prescribed tests under these rules.

                       Provided that whom boat "vas in repairs for a period not less than 30 days no demand  shall be made for that boat for that period and the different of payment shall be allotted for that period to be payable along with in the event of the boat not being available to be proceeded against the properties of the hirer will be liable to be proceeded against. Further installments.

     (b) In the case of seizure of a boat in violation of any of the conditions aforesaid, the hirer shall have no claim over the amount he has already paid. Further, if the amount paid by the hirer towards the hire charges is less tlkl11 the depreciated value of the  boat at the rate of 10%  per annum for the period  for which the boat was  under his custody, hirer shall have to pay- such amount in short.


   (c) Non-use or misuse by the allottee of the fishing boat for a continuous period of a fortnight other  to be sufficient for cancellation of the Hire purchase agreement entitling the Fisheries Department, to seize the boat from the custody of the allottee and to call upon him to repay the entire outstanding amounts due by him under accounts maintained  by thee Fisheries Department.


   (d)    Any installment not paid within 7 days of the due date shall be and installment in default and all the installment  in arrears shall be payable with a penal interest of 2 l/2 %.





Content Owned, Maintained and Updated By: Department of Fisheries UTL
Software Design & Development Credits : National Informatics Centre [Lakshadweep]
Hosting and Network Services By : NIC Data Centre, New Delhi