(1) With effect from such date as the Central Government may, by notification in the Official Gazette, fix in this behalf, there shall be established a Commission to be called the Khadi and Village Industries Commission which shall be a body corporate having perpetual succession and a common seal, with power to acquire, hold and dispose of property and to contract, and may by the said name sue and be sued.
 [(2) The Commission shall consist of the following members appointed by the Central Government, namely:-
(a) six non-official members having specialised knowledge and experience of khadi and village industries and representing such six geographical zones of the country, as may be prescribed;
(b) two non-official members having expert knowledge and experience in one or more of the following disciplines, namely:-
Economics, Planning, Rural Development, Science and Technology or Technical Education and Training;
(c) one Financial Adviser, who shall also be the Chief Accounts Officer of the Commission, ex-officio; and
(d) a Chief Executive Officer, ex-officio :
Provided that the ex-officio members shall not have the right to vote in any of the matters discussed at a meeting of the Commission.
(3) The Central Government may appoint one of the members appointed under clause (a) of sub-section (2) to be the chairman who shall be a full-time member.]
1. Substituted by Khadi and Village Industries Commission (Amdt.) Act (12 of 1987), Section 4 (24-7-87).
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