Chapter VI FINANCE

(1) The University shall establish a fund to be called the University Fund.

(2) The following shall form part of, or be paid into, the University fund, namely:-

(a) all contributions or grants made by the State Government, the Central Government, the Indira Gandhi National Open University and the University Grants Commission;

(b) the income of the University from all sources whatsoever including income from fees and charges;

(c) all income or moneys from trust, bequests, donations, endowments, subventions and other grants;

(d) any sums borrowed from the Banks, with the previous permission of the State Government.

(3) The University shall have, and maintain, a Contingency Fund under a separate head in the University accounts, to which shall be credited such sums as may, from time to time, be granted as contributions or grant by the State Government specially for this purpose. Such Fund shall, be used only for nuking advances for the purpose of meeting unforeseen expenditure.

(4) With the previous sanction of the State Government, any portion of the University Fund may from time to time, be credited by the University to a separate head in the University accounts:

Provided that there shall be credited and debited to such special head only such sums as shall expressly relate to the objects for which such separate fund is created:

Provided further that the Board of Management may, by passing a special resolution, authorise transfer of any amount temporarily from one head to another in the University accounts.

(5) The University Fund, shall, at the discretion of the Board of Management, be kept in the State Bank of India, or in any Scheduled Bank as defined in Reserve Bank of India Act, 1934, which holds a licence issued by the Reserve Bank of India under section 22 of the Banking Regulation Act, 1949.

(1) The annual financial estimates of the University for the ensuing financial year shall be prepared under the direction of the Board of Management, at least five months before the commencement of the financial year.

(2) The financial year of the University shall be the same as that of the State Government.

(3) The financial estimates shall be submitted to the Board of Management for its approval.

(4) The Board of Management shall thereafter forward the copies of the financial estimates to the State Government.

(1) The annual statement of accounts of the University for a financial year shall be prepared under the direction of the Board of Management within a period of three months, after the close of the financial year.

(2) The annual accounts as approved by the Board of Management shall be audited by the Auditor appointed by the State Government.

(3) The annual accounts, as approved by the Board of Management together with the copy of the audit report and a copy of the statement showing the action taker by the University on the objections and points raised by the Auditor in his previous reports, shall be forwarded by the Board of Management as soon as possible and in any case, within the period of nine months from the end of financial year to the State Government and to the Auditor appointed by the State Government.

(4) It shall be competent for the State Government to give directions to the University regarding the manner in which the accounts relating to certain specific activities or schemes shall be maintained or to take necessary action against the authority, the officer or any employee of the University found guilty in the audit report for committing irregularities and the University shall act according to the direction of the State Government.

The annual report of the University shall be prepared under the directions of the Board of Management which shall include, among other matters, the steps taken by the University towards the fulfilment of its objectives.

(1) Without obtaining the prior approval of the State Government or any officer authorised by it in this behalf, the University shall not—

(i) create any new post of officers, teachers or other employees;

(ii) revise the pay, allowances, post-retirement benefits and other benefits having financial implications offered to its officers, teachers and other employees;

(iii) incur any expenditure on any development work,

(2) Any post created, any financial benefits offered to its officers, teachers and other employees or any expenditure incurred on any development work, without the prior approval of the State Government or any such authorised officer, may be treated as unapproved expenditure for the purposes of payment of grant-in-aid.