39. Contributions, etc.: In any proceedings of insolvency against a person or proceedings for winding up of a company, any contribution or other amount payable under this Act by such person or company shall be deemed to be included' among debts to be paid in priority to all other debts.

40. Exemption from stamp duty: Stamp duty shall not be chargeable upon any documents used in connection with benefit payable under this Act.

41. Exemption from taxes: Notwithstanding anything contained in any other law the Federal Government may, by order in writing, exempt the Institution from any tax, duty, or rate leviable by the Federal Government or by a local authority under the control of the Federal Government.

42. Member and servants of the Institution to be public servants: The members and employees of the Board and all officers and servants of the Institution shall be deemed to be public servants within the meaning of Section 21 of the Pakistan Penal Code (Act XLV of 1860).

43. Delegation of powers: The Board may direct that all or any of its powers and functions may, in relation to such matters and subject to such conditions, if any, as may be specified be also exercisable by any officer or authority sub-ordinate to the Institution.

44. Powers to make rules: (1) The Federal Government may, subject to the condition of previous publication, by notification in the official Gazette, make rules to carry out the purposes of this Act.

(2) In particular, and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, namely :--

(i) the tenure of office of members of the Board, other than the Chairman, and other terms and conditions of appointment of the members of the Board and the manner in which the Board shall conducts its business, including the number of members required to form a quorum at the meeting thereof;

(ii) the manner in which names of persons from whom members of the Board may be appointed shall be submitted by organisation of employers and employees recognised by the Federal Government for that purpose;

(iii) powers and functions of the Board;

(iv) fees and allowances of the members of the Board;

(v) times and rates at which, and conditions subject to which, contributions shall be payable;

(vi) percentage or amount by which contributions in arrears may be increased under Section 13;

(vii) investment of surplus moneys, realisation of investments add reinvestment of proceeds;

(viii) terms at which and the manner in which the budget of the Institution shall be prepared and submitted to the Federal Government;

(ix) the form and manner in which the Institution shall keep accounts of its income and expenditure and of its assets and liabilities;

(x) the times at which, and the manner in which, the accounts of the Institutions shall be audited;

(xi) the matters which the annual report of Institution shall cover;

(xii) the times in which claims for a benefit shall be made;

(xiii) the manner and procedure for disposal of appeals by the Board; and

(xiv) any other matter which is required to be or may be prescribed.

45. Power to make regulations: (1) The Board may, subject to the condition of previous publication, by notification in the official Gazette, make regulations not inconsistent with the provisions of this Act or the rules.

(2) In particular and without prejudice to the generality of the foregoing power, such regulations may provide for all or any of the following matters. namely:-

(i) the time and places at which meetings of the Board shall be held;

(ii) the manner in which daily wages shall be calculated for the purpose of determining the contribution payable;

(iii) determination of wages for computation of contributions where the mode of payment of remuneration, in cash or kind, makes such computation difficult;

(iv) records to be kept and returns to be submitted by employers, time at which and the form in which such returns are to be submitted, and particulars relating to the insured persons to be stated in such returns and the manner and form for registration of employers and insured persons;

(v) the manner in which any claim of the Institution for unpaid contributions may be extinguished;

(vi) powers and duties of internal auditors;

(vii) Omitted by the Finance Act, I of 1986, S. 11;

(viii) the form and manner in which claims for a benefit shall be preferred, and the documents, information and evidence which shall accompany such claims;

(ix) the manner in which and the time and places at which payment in respect of  a benefit shall be made;

(x) the manner in which and the time within which complaints, questions and disputes shall be decided;

(xi) the circumstances and the manner in which, on new facts coming to light, the Institution may review decisions;

(xii) the method of payment of contributions and liability thereof;

(xiii) the manner in which invalidity shall be assessed and the procedure thereof;

(xiv) the manner in which proof of age shall be furnished for the purposes of this Act;

(xv) the manner in which the services of the Institution shall be organised; and

(xvi) any other matter not provided for in this Act or the rules and necessary to give effect to the provisions of this Act.

46. Power to exempt: The Federal Government may, subject to such conditions as it thinks fit to impose, by notification in the official Gazette, exempt any establishment or industry from all or any of the provisions of this Act.

47. Act not to apply certain persons: Nothing in this Act, shall apply to--

(a) persons in the service of the State, including members of the armed forces, police force and railway servants;

(b) persons in the service of a local council, a municipal committee, a cantonment board or any other local authority;

(c) persons who are employed in services or installations connected with or incidental to tile Armed Forces of Pakistan including an ordinance factory maintained by the Federal Government or Railway Administration;

(d) persons in the service of Water and Power Development Authority;

(e) persons in the service of a bank or a banking company;

(f) persons in the service of statutory bodies other than those employed in or in connection with the affairs of as defined in Section 2(i) of the Factories Act, 1934 (XXV of 1934), or a mine as defined in the Mines Act, 1923 (IV of 1923);

Provided that workshops maintained exclusively for the purposes of repair or maintenance of equipment or vehicles used in such statutory bodies shall not be treated as factories for the purposes of this clause;

(g) members of the employer's family that is to say, the husband or wife and dependent children of the employer living in his house, in respect of their work for him; and

(h) Omitted by the Finance Act, 1 Of 1986 S.11.

48. Repeal. Omitted by the Federal Laws (Revision and Declaration) Ordinance, XXVII of 1981.