Prohibition of expenditure not covered by the Budget.

Except as hereinafter provided no payment of any sum shall be made out of the Zilla Panchayat fund, unless the expenditure of the same is covered by a budget grant except in the following cases, namely:—

1. (a) refund of money which the Zilla Panchayat is authorised to make under this Act or the rules or regulations made thereunder;
2. (b) repayment of moneys belonging to the contractors or other persons held in deposit and of moneys credited to the Zilla Panchayat fund by mistake;
3. (c) sums which the Zilla Panchayat is required or empowered by this Act to pay by way of compensation.
4. (d) every sum; payable,—
   • (i) under this Act by order of the Director or the Government;
   • (ii) under a decree or order of a Civil Court; and
   • (iii) under a compromise of any suit or other legal proceedings or claim.