Introduction

The Jammu & Kashmir State Forest Corporation was established under the J&K State Forest Corporation Act, 1978, vide Government Order 107-FST of 1979 dated 30^th June 1979.The erstwhile Government Lumbering Undertaking (GLU), which had the mandate of extraction and sale of timber, with all its assets and liabilities as on 30 June 1979, was converted into the State Forest Corporation (SFC) with effect from 01 July 1979.

The total assets of the erstwhile GLU formed the investment of the Government in the Forest Corporation and this investment was treated as debt and equity from the Government in the ratio of 2:1. As such, out of the authorized share capital of Rs. 27.09 crores, Rs. 9.03 crores were subscribed as paid-up share capital and Rs. 18.06 crores were treated as debt.

 The Jammu & Kashmir State Forest Corporation Act, 1978 was repealed under the Jammu and Kashmir Reorganization (Adaptation of State Laws) Order, 2020 of 31 March 2020. Subsequently, the Government of Union Territory of Jammu and Kashmir approved the creation of company namely Jammu and Kashmir Forest Development Corporation with all the assets and liabilities of the J&K State Forest Corporation as on 31^st March 2020, under the Companies Act, 2013, vide Government Order No.669-JK (GAD) of 22.06.2020.

 The Jammu and Kashmir Forest Development Corporation Limited was incorporated on 3^rd December 2020 under the Companies Act, 2013 (18 of 2013). The new entity i.e. Jammu and Kashmir Forest Development Corporation Limited is required to take over the assets and liabilities of erstwhile Jammu and Kashmir State Forest Corporation as on 31 March 2020.