35. Division of assets and liabilities.

On the commencement of this Act, the assets and liabilities of the existing University shall stand transferred to, and shall vest in, the Haryana Agricultural University and the Punjab Agricultural University and shall be apportioned between such Universities in accordance with the following principles, namely:

(a) (i) any asset of the existing University which is, immediately before the commencement of this Act, in the State of Haryana, and every right to such property, shall stand transferred to, and shall vest in, the Haryana Agricultural University;

(ii) every other asset and every right thereto shall stand transferred to, and shall vest in, the Punjab Agricultural University;

(b) (i) every liability of the existing University which is relatable to any unit or asset in the State of Haryana shall, if subsisting immediately before the commencement of this Act, be the liability of the Haryana Agricultural University;

(ii) every other liability of the existing University, if subsisting on such commencement, shall be the liability of the Punjab Agricultural University;

(c) the cash balances (whether in the form of cash, bank or security deposits) and reserve funds held by the existing University, immediately before the commencement of this Act, shall, after deducting all the liabilities of the existing University up to such commencement, be apportioned between the Haryana Agricultural University and the Punjab Agricultural University in the ratio of 40:60;

(d) every contract made by the existing University before the commencement of this Act shall, if subsisting at such commencement, be deemed to have been made

(i) in the case of a contract which is relatable to any asset or unit of the existing University in the State of Haryana, by the Haryana Agricultural University;

(ii) in any other case, by the Punjab Agricultural University;

(e) every share, debenture, bond and other investment made by the existing University shall be valued on the basis of average market value thereof during one year immediately before the commencement of this Act, and the value so determined shall be apportioned between the Haryana Agricultural University and the Punjab Agricultural University in the ratio of 40:60;

(f) every borrowing made by the existing University before the commencement of this Act shall, if the liability is subsisting on such commencement, be repaid together with the interest due thereon by the Haryana Agricultural University and the Punjab Agricultural University in the ratio of 40:60;

(g) the Provident Fund and accruals thereto of every officer or other employee of the existing University shall stand transferred to the corresponding University in which he has been posted on the date of the commencement of this Act.

Explanation.

For the purposes of this section, "asset" shall be deemed to include all property, movable and immovable, rights, powers, authorities and privileges, and all other rights and interests arising out of such property as were immediately before the commencement of this Act in the ownership, possession, power or control of the existing University, and all books of accounts, registers, records and all other documents of whatever nature relating thereto and shall also be deemed to include all obligations of whatever kind then subsisting of the existing University.