Industrial Development & Regulation Act 1951 | Pharmaceutical Jurisprudence | GPAT Mock Test

Welcome to the GPAT Mock Test on the Industrial Development & Regulation Act, 1951. This quiz is specifically designed to help you master the key provisions of this crucial legislation as it applies to the pharmaceutical sector. The 25 multiple-choice questions cover topics such as licensing requirements for new undertakings, registration procedures, the role of Development Councils, and the powers of the Central Government to regulate scheduled industries, including drugs and pharmaceuticals. Test your knowledge and identify areas for improvement. After submitting your answers, you’ll receive your score and a detailed review of each question. You can also download all questions and their correct answers in a PDF format for future revision. Best of luck!

1. What is the primary objective of the Industrial (Development and Regulation) Act, 1951?

To control the import and export of industrial goods To provide for the development and regulation of certain scheduled industries To regulate labor laws in industrial undertakings To manage the financial aspects of industries

2. In which schedule of the IDR Act, 1951, are the industries to be regulated by the Central Government listed?

The First Schedule The Second Schedule The Third Schedule The Fourth Schedule

3. Under the IDR Act, 1951, what must an entrepreneur obtain to establish a new industrial undertaking for a scheduled industry?

A patent from the Patent Office An incorporation certificate from the Registrar of Companies A license or registration from the Central Government An environmental clearance certificate only

4. The IDR Act, 1951 is applicable to industrial undertakings which employ how many workers if manufacturing is done with the aid of power?

10 or more 20 or more 50 or more 100 or more

5. Which body advises the Central Government on matters concerning the development and regulation of scheduled industries under the Act?

The Planning Commission The Central Advisory Council The National Pharmaceutical Pricing Authority (NPPA) The State Licensing Authority

6. What is the main function of a ‘Development Council’ established under the IDR Act?

To directly manage and operate industrial undertakings To handle legal disputes between companies To recommend measures for improving efficiency, quality, and capacity To set the retail prices of all manufactured goods

7. Under which section of the IDR Act can the Central Government take over the management or control of an industrial undertaking?

Section 10 Section 15 Section 18A Section 24

8. The term ‘substantial expansion’ under the Act relates to:

Hiring more than 100 new employees An increase in production capacity that requires a license Opening a new branch in a different state Doubling the company’s market capitalization

9. Under which category of the First Schedule are ‘Drugs and Pharmaceuticals’ included?

Category 19: Chemicals Category 22: Drugs and Pharmaceuticals Category 38: Medical and Surgical Appliances Category 1: Metallurgical Industries

10. The IDR Act empowers the Central Government to control and regulate which of the following in scheduled industries?

Prices, production, and distribution Only marketing and advertising Only employee wages and benefits Only the appointment of the CEO

11. Section 10 of the IDR Act pertains to the:

Licensing of new industrial undertakings Registration of existing industrial undertakings Revocation of licenses Constitution of Development Councils

12. Which authority is primarily responsible for granting licenses under the IDR Act, 1951?

The State Government The Ministry of Commerce and Industry, Central Government The Reserve Bank of India The Supreme Court of India

13. The IDR Act does NOT apply to which of the following?

Large-scale pharmaceutical manufacturers Bulk drug manufacturers Small Scale Industrial (SSI) undertakings, subject to certain conditions Manufacturers of medical devices

14. What is a valid reason for the Central Government to conduct an investigation into a scheduled industrial undertaking?

A substantial and unjustifiable fall in the volume of production A change in the company’s marketing strategy The company’s decision to export to a new country An increase in the company’s stock price

15. The IDR Act was enacted to implement the policy objectives of the:

National Health Policy, 1983 Industrial Policy Resolution, 1948 Drug Policy, 1986 Five-Year Plans

16. If an industrial undertaking operates without a valid license as required by the Act, the act is considered a:

Civil wrong, punishable by a warning Contravention of the Act, punishable with fine and/or imprisonment Breach of contract with the government An issue to be resolved by the local municipal authority

17. An appeal against the decision of the Central Government regarding a license application can be made to:

The High Court The Supreme Court Another authority within the Central Government as prescribed The President of India

18. The term “new article” in the context of the IDR Act means:

Any article which is a new invention and patentable An article not included in the First Schedule Any article which was not being produced by the undertaking before An article imported for the first time into India

19. Revocation of a license under the IDR Act can occur if:

The license was obtained by misrepresentation of a material fact The company’s profits decline for one quarter There is a change in the board of directors The company diversifies into a non-scheduled industry

20. The Licensing Committee is constituted to:

Conduct on-site inspections of factories Review applications for licenses and make recommendations Set the licensing fees for various industries Act as a judicial body to resolve licensing disputes

21. The IDR Act applies to industrial undertakings working without the aid of power if they employ:

50 or more workers 75 or more workers 100 or more workers 200 or more workers

22. Which section deals with the licensing of new industrial undertakings?

Section 10 Section 11 Section 13 Section 15

23. The Central Advisory Council must have a Chairman and members not exceeding:

10 20 30 40

24. Besides Drugs and Pharmaceuticals, which other related industry is listed in the First Schedule?

Food processing industries Cosmetics and Toiletries Fermentation Industries Textile Industries

25. The overall goal of the IDR Act in the pharmaceutical sector is to ensure:

Maximum profitability for pharmaceutical companies The dominance of multinational corporations in the Indian market Planned development, quality, and adequate availability of drugs Strict price controls to make all drugs free of cost

Industrial Development & Regulation Act 1951 | Pharmaceutical Jurisprudence | GPAT Mock Test

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