(1) If at any time the Central Government is of the opinion—

1. that on account of grave emergency, the Board is unable to discharge the functions and duties imposed on it by or under the provisions of this Code; or
2. that the Board has persistently made default in complying with any direction issued by the Central Government under this Code or in the discharge of the functions and duties imposed on it by or under the provisions of this Code and as a result of which default the financial position of the Board or the administration of the Board has deteriorated; or
3. that circumstances exist which render it necessary in the public interest so to do,

the Central Government may, by notification, supersede the Board for such period, not exceeding six months, as may be specified in the notification.

(2) Upon the publication of a notification under sub-section (1) superseding the Board—

1. all the members shall, as from the date of supersession, vacate their offices;
2. all the powers, functions and duties which may, by or under the provisions of this Code, be exercised or discharged by or on behalf of the Board shall, until the Board is reconstituted, be exercised and discharged by such person or persons as the Central Government may direct.

(3) On the expiration of the period of supersession specified in the notification, the Central Government may reconstitute the Board by a fresh appointment.