Chapter VI FINANCE AND ACCOUNTS

1. (1) The State Government shall constitute a fund called the Library Fund.
2. (2) The Library Fund shall consist of-
   • (a) contribution made by the State Government under section 20;
   • (b) any special grants given by the State Government under section 21;
   • (c) any grants given by the Government of India to State Government for development of public libraries; and
   • (d) any contributions or gifts made by the public for development of public libraries.

1. (1) The moneys in the Library Fund shall be utilized by the State Government for carrying out the purposes of this Act.
2. (2) Without prejudice to the generality of sub-section (1), the moneys in the Library Fund may be utilized by the State Government to defray expenditure on the following :-
   • (a) establishment, maintenance and development of public libraries;
   • (b) compensatory allowances payable to members of the Council and of the Committee ;
   • (c) grants-in-aid to public libraries and library associations recognised for the purpose by the Director of Libraries.

The State Government shall, after due appropriation made by law in this behalf, contribute to the Library Fund every year, a sum not less than twenty-five lakhs of rupees.

The State Government may make special grants to the Library Fund.

All property, movable and immovable, acquired or held for the purpose of any public library maintained by the State Government shall vest in the State Government.