Chapter V FUND, FINANCE, ACCOUNTS AND AUDIT

All property, fund and other assets vesting in the Board shall be held and applied by it, subject to the provisions and for the purposes of this Act.

1. (1) The Board shall have its own Fund, and the following money shall be credited thereto, namely :-
   • (a) fees, royalties and charges, including penalties, levied and collected by the Board ;
   • (b) grants, assignments, contributions and loans, if any, made to it by the Government ;
   • (c) bequests, donations and endowments or other contributions, if any ;
   • (d) interest on, and sale proceeds of, any securities vested in it ;
   • (e) all rents and profits from the property vested in it ;
   • (f) other money received by, or on behalf of, the Board.
2. (2) The Board may keep in current or in deposit account with the State Bank of India or with any Scheduled Bank as defined in the Reserve Bank of India Act, 1934 (II of 1934) which holds a license issued by the Reserve Bank of India under section 22 of the Banking Regulation Act, 1949 (X of 1949), or with any other bank approved by the Government in this behalf, such sum of money out of its Fund as may be prescribed and any money in excess of the said sum shall be invested in such manner as may be approved by the Government.
3. (3) Such accounts shall be operated upon by such officers of the Board as may be authorized by it by regulations made in this behalf.

Subject to the provisions of this Act, the Fund of the Board shall be applied only to the payment of charges and expenses incidental to the matters specified in this Act and for any other purpose for which by or under this Act powers are conferred or duties are imposed upon the Board.

1. (1) The Board shall prepare, before such date and in such manner as may be prescribed, the budget estimates of the income and expenditure of the Board for the next financial year.
2. (2) The Board shall, on or after the date referred to in sub-section (1), consider the budget estimates prepared by it and submit them as approved by it to the Government, for its sanction. The Government may pass such order with reference to the budget estimates as it thinks fit, and communicate the same to the Board. The Board shall give effect to such orders.

1. (1) The Board shall keep accounts in such form and in such manner as may be prescribed.
2. (2) The accounts of the Board shall be audited by the Auditor appointed by the Board with the previous approval of the Governing Council.
3. (3) The Government may, if it thinks necessary, appoint a Special Auditor to audit the accounts of the Board.
4. (4) The Auditor or the Special Auditor, as the case may be, shall submit his report to the Board and shall forward a copy thereof to the Government.
5. (5) The cost of the audit under sub-section (2) or (3), if any, shall be borne by the Board.

1. (1) The Government shall have the right to cause an inspection to be made, by such person or persons as it may direct, of the Board, of the buildings, hostels, laboratories, libraries and equipment’s of any diploma level institutions affiliated and accredited to the Board, of the teaching or other work conducted by any such nursing or Paramedical Institutions and of the conduct of any examination held on behalf of the Board; and to cause an inquiry to be made in like manner in respect of any matter connected with the Board. The Government shall, in every case, give due notice to the Board of its intention to cause an inspection or inquiry to be made, and the Board shall be entitled to appoint a representative, who shall have the right to be present and be heard at such inspection or inquiry.
2. (2) The Government shall communicate to the Board its views with reference to the result of the inspection or inquiry and may, after ascertaining the opinion of the Board thereon, advise it on the action to be taken, and fix a time limit for taking such action.
3. (3) The Board shall report to the Government such action, if any, as it has taken or proposes to take upon the results or the inspection or inquiry. Such report shall be submitted, with the opinion of the Board thereon, within such time as the Government may direct.
4. (4) Where the Board does not, within the time fixed, take action to the satisfaction of the Government, it may, after considering any explanation furnished or representation made by the Board, issue such directions as it may think fit, and the Board shall comply with such directions.

1. (1) The Board shall furnish to the Government such reports, returns and statements as may be required by the Government and such further information, relating to any matter connected with its work as the Government may call for.
2. (2) The Government may, after considering any such report, return or statement or information furnished, give such directions consistent with this Act as may be necessary, and the Board shall comply with such directions.