Chapter IV FUNDS, ACCOUNTS AND AUDIT.

The Trust shall place funds at the disposal of the University to be called the Permanent Endowment Fund of a sum of ten crores of rupees or as such required for meeting the full operational expenditure of the University for three years, in long term interest bearing securities issued or guaranteed by the Central or State Government. On the termination of the involvement of the Trust and after meeting the operational expenditure for three years out of the permanent Endowment Fund, if there is any unused balance that shall be paid back to the Trust, with the previous permission of the State Government.

The Trust shall pay to the University from time to time such sums of money and in such manner as may be considered necessary for the exercise of its powers and discharge of its functions under this Act.

(1) The University shall have its own funds consisting of - (i) all moneys provided by the trust; (ii) all fees and other charges received by the University; (iii) all moneys received by the University by way of grants, loans, gifts, donations, benefactions, bequests or transfers; (iv) all moneys received by the University from the collaborating Industry in terms of the provisions of the Memorandum of Understanding between the University and the Industry for establishment of sponsored chairs, fellowships and infrastructure facilities of the University, under the intimation to the State Government. (2) All funds of the University shall be deposited in such banks or invested in such manner as the Board may decide on recommendation of the Finance Committee. (3) The funds of the University shall be applied towards the expense of the University including expenses incurred in the exercise of its powers and discharge of its function.

(1) The University shall maintain proper accounts and other records and prepare an annual statement of accounts, including the income and expenditure account and the balance sheet, in such form and in such manner as may be prescribed by the Regulations. (2) The University shall adopt a proper system of internal checks and balances and controls in the discharge of its finance, accounting and auditing functions as may be prescribed by the Regulations. (3) The Accounts of the University shall be audited every year by an auditor who shall be a Chartered Accountant or a firm of Chartered Accountants as defined in the Chartered Accountant Act, 1949 who shall be appointed by the Board. (4) The Accounts of the University certified by the person or firm so appointed or any other person authorized in this behalf together with the audit report thereon shall be placed before the Board and the Board may issue such instructions to the University in respect thereof as it deems fit and the University shall comply with such instructions. (5) The Accounts of the University shall be audited by an internal auditor who shall be a Chartered Accountant or a firm of Chartered Accounts appointed by the Board, to ensure concurrent audit of all books of accounts, and such periodic internal audit reports shall be placed before the Board for review. (6) The University shall prepare each year a report of its activities during the previous year and submit it in the form of an annual report to the Board for review and approval.

(1) The exiting terms and conditions of the service, including scheme of pension, provident fund and insurance of the officers, teachers, and other employees of the concerned institutions run by the Mehsana District Education Foundation shall continue in such manner and subject to such conditions, even after the commencement of this Act, till new Regulations are made in this regard. (2) Where any such provident fund has been so constituted, the provisions of the Provident Funds Act, 1925 shall apply to such fund as if it were a Government Provident Fund.

No act or proceeding of the Board, or any authority of the University or any committee constituted under this Act or by the Regulations shall be questioned on the ground merely of the existence of any vacancy in or defect in the constitution of, the Board, Authority or Committee of the University.

Notwithstanding anything contained in any other law for the time being in force, the University shall have powers to confer degrees, honorary degrees, diplomas and other academic distinctions, titles and grant certificates as approved by the Board.

The University shall furnish to the State Government, University Grants Commission and other statutory authorities such reports, returns, statements and other information as may be required by them from time to time.

The Foundation shall give a notice of not less than four years period to the State Government of its intention to dissolve the Foundation. The State Government may direct the University to cease fresh admissions and also direct the Foundation to phase out the responsibility of running the University until the last batches of students in regular courses of the University complete their courses. It shall be obligatory on the part of the Foundation not to compromise in terms of the quality of education and training in the interim years and provide reasonable exit benefits for the employees.

Every officer, teacher and other employees of the University shall be deemed to be a public servant within the meaning of section 2l of the Indian Penal Code. Explanation.- For the purposes of this section, any person, who is appointed by the University for a specified period or a specified work of the University or, who receives any remuneration by way of compensatory allowance or fee for any work done from the University Fund, shall be deemed to an officer or employee of the University while he is performing and in relation to all matters relatable to the performance of the duties and functions connected with such appointment of work.

No member of the teaching, non-teaching and other academic staff of the University shall be dismissed or removed or reduced in rank except after an inquiry in which he has been informed of the charges against him and given a reasonable opportunity of being heard in respect of those charges. An appeal from an order of dismissal, removal or reduction or of termination shall lie to the President within ninety days from the date of communication of such order and the decision of the President in such appeal shall be final.