The Faridabad Development Corporation Act, 1956, was enacted by the Indian Parliament on 28th December 1956, during a period marked by significant post-independence challenges, including the rehabilitation of displaced persons following the Partition of India in 1947. Faridabad, located in the Gurgaon district (now in Haryana), emerged as a key settlement for refugees who migrated from regions that became part of Pakistan. The Act aimed to institutionalize efforts to develop Faridabad into an industrial and residential hub while addressing the socio-economic needs of displaced populations.
The Act replaced the earlier Faridabad Development Board, transferring its assets, liabilities, and functions to the newly established Faridabad Development Corporation (FDC). This shift reflected the government's intent to create a more structured and legally empowered body to oversee Faridabad's growth, aligning with broader national goals of industrialization and refugee rehabilitation.

Establishment of the Corporation (Chapter II)
Incorporation (Section 3): The FDC was established as a statutory body corporate with perpetual succession, legal authority to sue/be sued, and a common seal.
Composition (Section 4): The Corporation comprised a Chairman and 4–8 members appointed by the Central Government.
Administrator (Section 12): A government-appointed Administrator served as the chief executive officer, overseeing daily operations but without voting rights (unless also a member).
Powers and Functions (Chapter III)
Primary Duties (Section 13): The FDC was mandated to:
Promote trade, business, and industry in Faridabad.
Rehabilitate displaced persons by providing employment and housing.
Manage Central Government properties vested in the Corporation.
Operational Powers (Section 14): Included acquiring property, advancing loans, constructing buildings, and supplying electricity. Notably, it prioritized displaced persons in employment and housing schemes.
Financial Framework (Sections 15–22):
Capital and Loans (Sections 15–16): Initial capital came from pre-establishment expenditures by the Faridabad Development Board and Central Government. Additional grants/loans required parliamentary approval.
Fund Management (Sections 20–22): The FDC maintained its own fund, with provisions for depreciation, reserves, and budgetary oversight.
. Accountability and Governance
Audit & Reporting (Sections 23–25): The FDC submitted annual budgets, reports, and audited accounts to the Central and Punjab (later Haryana) governments.
Central Oversight (Section 27): The Central Government could issue binding directions to the FDC, ensuring alignment with national policies.
4. Legal and Miscellaneous Provisions (Chapter IV)
Recovery of Dues (Section 29): Arrears (e.g., unpaid loans) were recoverable as land revenue arrears.
Immunities (Section 33): Members/officers were protected from legal proceedings for actions taken in good faith.
Transitional Measures (Section 34): Validated all prior actions of the Faridabad Development Board as if undertaken by the FDC, ensuring continuity.
The Faridabad Development Corporation Act, 1956, reflects India’s post-Partition nation-building ethos, blending welfare objectives with institutional governance. Its legacy endures in Faridabad’s status as an industrial hub and in frameworks for development authorities across the country. The Act remains a historical marker of India’s efforts to address displacement through structured economic and urban planning.