Chapter VIII Chapter VIII

Fund and Audit

Constrtrr~ron of the Council I;irnd.-(I) There shall be a fund to be called 'tlie Council Fund' to be hcld by tlic Council in trusl for tllc purposcs of this Act and,--

1. (a) all revenues raised under tlie provisions of this Act :
2. (b) the loans realised by the Council with tlie approval of the Govern- ment ;
3. (c) the allocations made from thc Plan and Non-plan Budget ; and
4. (d) loans. advances and grants made b~ tlie Central or State Government ; shall be credited into tlic 'Council Fund'

1. (2) The Council Fund sliall be operated through tlie Government trcasunes.
2. (3) No payment shall be made out of tlic Council Fund unless such expenditure is cwered by the current Budget grant.
3. (4) The moneys credited to the fund shall be applied for paynient of all sums, charges and costs necessary for carrying out the purposes of this Act.
4. (5) The Government ma! makc n~les for ni~nagemcnt of the Council Fund and for the procedure to be follo\\ed in respect of p;~>ment of moneys into the said Fund, iv~tlidra\\als of nlonc\s tlicrcfron~. tlic custody of moneys therein and an! othcr ~nattcr incidental thereto or connected with or ancillary lo the matters aforcsa~d.
5. (6) The accounts of the Council sh:~ll bc kept in such form as may be prescribed.

Allw~tion of finds by the Gov- eniment.--(l) Tlic Go~.ernment shall provide funds under the Plan and NOII-Plan Budgcr to the Council to be credited to the Counc~l Fund ;IS pcr budgctan. reqo~rcnients as approved by the Government.

1. (2) The allocation sanctioned in the Budgct of IIIC Counc~l wli~ch relnalns unspent at the close of the fi~lancial year sliall be carrted fonvard as an additional resource available for the Budgct of tlie follo\ving year.
2. (3) The fi~iids shall be released by the Government as per normal budgeting procedure.

Hevre~~ nnd inspection:--(I) The Govcrnmcnt shall periodically review the utilization of the Plan and Non-Plan fr~nds allocated to the Council and the physic;11 targcts acliie\.ed

1. (2) The Government ma! by ordcr cmpowcr any officer not below the rank of a Deput! Secreran lo thc Gokernment to inspect or euarnine IIIC Council office or any scnficc or \\ark under the control or thc Coucic~l arltl report thereon and any officer so empowered may. for thc purposes of such inspection or examination require the Counc~l or Cl~tcf E\ccrtlt\e Councillor--
   • (a) to produce or supply any record, correspondcncc. pl;111 CS(I~II:IIC. - accounts or statistics ; and
   • (b) to furnish or obtain any report.
2. (3) The Government may, on receipt of reports or tnrorrii;~tio~~ tl~ltlcr sub-section (2), make such orders and issue such directtons ro rlle Coi~i~cil as it considers necessary or expedient to carry oi~t the prtrposcs of IIII\ Act.

Audit of accounts.--Subject to the provisions of the Comptrollcr and Auditor General's (Duties, Powers and Conditions of Senlice) Act, 1972 and the rules and the orders made thereunder, the audit of the accounts of the Council sha!l be entrusted by the Government to the Cotnptrollcr and Auditor General of India who may submit to the Government such report thereon as he niay deem fit. Tlie Government shall trans~iitt thc report to the Council for discussion and consideratton. The Council shall return the report to the Governnlenr ivilh comments. tf any.

Budget Budget.—(1) The Council shall, at such time and in such manner as may be prescribed, prepare in each financial year a draft budget of its estimated receipts and disbursements for the following financial year and submit it to the Government by the 1st October of the current financial year. The Budget shall provide for sufficient grant in the form of imprest for meeting unforeseen expenditure such as refunds, ratified court decree or orders and such other cases as may be prescribed.

1. (2) The Government may return the Budget as approved with modification or without modification to the Council. If the approval of the Government is not received by the Council before such period as may be prescribed, the Budget shall be deemed to have been approved by the Government.
2. (3) No expenditure shall be incurred nor any financial liability created, unless the Budget is approved by the Government.

Formulation of district plan.—(1) The Council shall formulate the Five Year Plan and the Annual Plan for the district and submit the same to the Planning Commission and the Government and communicated by the Government to the Council.

1. (2) The Centrally Sponsored Schemes under execution in the district or to be executed in future shall form part of the Plan Budget of the Council.

Council to be the District Planning and Development Board.—Notwithstanding anything contained in the Jammu and Kashmir Panchayati Raj Act, 1989, the Council shall be deemed to be the District Planning and Development Board for the district for performing the functions and exercising the powers under that Act.