Establishment of Board, its constitution, powers and duties.

(1) The State Government shall, for exercising powers conferred on and performing the functions and duties assigned to the Board by or under this Act, establish and constitute the Haryana Rural Development Fund Administration Board. (2) The Board constituted and established by the State Government in terms of sub-section (1) shall consist of a Chairman and such other official and non-official members as the Government may determine and appoint. (3) The Board so constituted shall be a body corporate having perpetual succession and a common seal with powers, subject to the provisions of this Act, to acquire and hold property and shall by the said name sue and be sued. (4) The term of office of the non-official members of the Board shall be three years. (4-A) The non-official members shall hold office during the pleasure of the State Government. (5) No person shall be eligible to become a member of the Board who— (a) does not ordinarily reside within the State of Haryana; (b) is below twenty-five years of age; (c) is of unsound mind; or (d) has been declared as insolvent or sentenced by a criminal court, whether with in or outside the State of Haryana for an offence involving moral turpitude: Provided that the disqualification incurred under clause (d) on the ground of a sentence by a criminal court, shall not apply after the expiry of four years from the date on which the sentence has expired. (6) A member of the Board may resign from membership by tendering his resignation to the State Government and the seat of such member shall become vacant on the date of acceptance of his resignation. (6-A) The State Government may appoint a member against a vacancy caused by the death or resignation of a member: Provided that the term of the member so appointed shall expire on the same date as the term of office of vacating member would have expired. (7) The State Government may remove the Chairman or any member of the Board who has become subject to any of the disqualifications specified in sub-section (5) or who is, in its opinion, remiss in the discharge of his duties and may appoint another member in his place: Provided that before removing any member the reason for the proposed action shall be conveyed to him and his reply invited within specified period and duly considered: Provided further that the term of the member so appointed shall expire on the same date as the term of office of the vacating member would have expired. (8) The State Government shall exercise superintendence and control over the Board and its officers and may call for such information as it may deem necessary and, in the event of its being satisfied that the Board is not functioning properly or is abusing its powers, or is guilty of corruption or mismanagement, it may suspend the Board and, till such time as a new Board is constituted, make such arrangements for the exercise of the functions of the Board as it may think fit: Provided that the Board shall be constituted within six months from the date of its suspension. (9) Subject to rules, made under this Act, an estimate of the annual income and expenditure of the Board for the ensuing year shall be prepared and passed by the Board and submitted every year for sanction of the State Government not later than the prescribed date. The State Government shall sanction and return the budget within two months from the date of the receipt thereof. If it is not received within two months, it shall be presumed to have been sanctioned. (10) Subject to rules made under this Act, the Board may, with the approval of the State Government, frame bye-laws for— (a) regulating the transaction of business at its meetings; and (b) such other matters as may be specified.