Chapter IV PROPERTY, FINANCE, ACCOUNTS AND AUDIT

All property movable and immovable, and all assets and funds owned or acquired by the State Government for the purposes of construction and development of any township at any time before the establishment of the Board, shall on such establishment and subject to such conditions as may be prescribed, vest in the Board.

All expenditure incurred by the State Government at any time before the establishment of the Board for any of the purposes under this Act shall be deemed to be the expenditure of the Board.

1. (1) The Board shall have its own fund and all grants and advances made to it from time to time by the Central Government or the State Government and all receipts of the Board shall be credited thereto and all payments by the Board shall be made therefrom.
2. (2) Save as may be prescribed, all moneys belonging to that fund shall be deposited in such scheduled bank or invested in such securities as may be approved by the State Government.

Subject to such limitations and restrictions on the powers of the Board as may be prescribed, the Board shall have power without reference to the State Government to spend such sums as it thinks fit for the purposes of this Act and the rules made thereunder, and such sums shall be deemed to be the expenditure payable out of the funds of the Board.

REPAYMENT OF LOANS AND INTEREST BY BOARD

1. (1) All loans advanced to the Board by the Central Government or the State Government together with the interest accruing thereon at such rate as may, from time to time, be fixed by the Central Government or the State Government, as the case may be, shall be a first charge on the fund of the Board and the Board shall repay such loans with the interest thereon in such manner and in such number of instalments as may be determined by the Central Government or the State Government as the case may be, and every such repayment shall be deemed to be a part of the expenditure of the Board.
2. (2) For the purposes of any loan granted to it by the State Government, the Board shall be deemed to be a local authority within the meaning of the Local Authorities Loans Act, 1914, (IX of 1914).

1. (1) The Board shall prepare, in such form and at such time as may be prescribed, a Budget in respect of every financial year showing its estimated receipts and expenditure during the financial year and submit it to the State Government who may sanction the budget with such alterations and modifications, if any, as the State Government may deem fit.
2. (2) A copy of the budget of the Board as so sanctioned shall be forwarded by the State Government to the Central Government.

The Board shall, as soon as possible after the close of a financial year, prepare in such form and before such date as may be prescribed an annual report (including a statement of its assets and liabilities at the close of that financial year) giving a true and faithful account of its activities during the financial year, and copies thereof shall be submitted by the Board to the State Government.

1. (1) The Board shall cause to be maintained such books of account and other books in relation to its accounts in such form and in such manner as may be prescribed.
2. (2) The accounts of the Board shall be audited by such authority (hereinafter referred to in this section as the "auditor"), at such times and in such manner as may be prescribed.
3. (3) The auditor shall be furnished by the Board with a copy of the annual report (including the statement of its assets and liabilities) for the financial year in respect of which the accounts are to be audited and it shall be the duty of the auditor to scrutinize the statement together with the accounts and vouchers relating thereto and for this purpose, he shall at all reasonable times have access to the relevant books, registers, accounts and other documents of the Board and shall also have power to examine any officer or servant of the Board in relation to such accounts.
4. (4) The auditor shall prepare a report on the aforesaid report and accounts (including the statement of assets and liabilities) audited by him and forward copies thereof to the State Government and the Central Government together with a statement whether in the opinion of the auditor, the report and accounts are complete and true in all material respects and exhibit a true and correct view of the state of affairs of the Board, and whether any explanation or information from the Board was called for and whether it has been given and whether it is satisfactory.