Chapter V PROPERTY, FINANCE, CONTRACTS, AUDIT AND RETURNS

The State Government may transfer to the Board, any building, land or any other property, movable or immovable, for use, and management by the Board on such conditions and limitations, as the State Government may deem fit, for the purposes of this Act.

All debts and expenditure incurred, all contracts entered into and all matters and things engaged to be done by with or for the State Government, in connection with or for the purposes of this Act before and up to the date of the establishment of the Board shall be deemed to have been incurred, entered into or engaged to be done by, with or for the Board, and all suits and other legal proceedings instituted by or against the State Government in respect thereof shall be instituted or continued by or against the Board, as the case may be.

All contracts to which the Board is party shall be signed by the Secretary on its behalf.

1. (1) The Board shall have its own fund and the all receipts of the Board shall be credited thereto and all payments by the Board shall be made therefrom. 1[(2) The Board may- (a) accept grants, subventions, donations and gifts from the State Government or the Commission or a local authority, any private body, whether incorporated or not, or any individual; (b) receive loans from the State Government or the Commission, 2(or a Commercial Bank) for all or any of the purposes of this Act.] (3) All moneys belonging to the fund of the Board shall be deposited in such manner as may be prescribed. (4) Accounts of the Board in banks shall be operated upon by such officers of the Board jointly or individually as may be authorised by the Board.

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

[The Board may, for the purpose of effectively carrying out its functions under the Act, advance loans and disburse grants and subsidies, to such persons or class of persons engaged in the promotion and development of khadi and Village Industries, and on such terms and conditions, out of the funds received by it from the State Government or the Commission, as may be prescribed or specified by the State Government or the Commission, as the case may be.]

1. (1) In each year, on such date as may be prescribed, the Board shall prepare and forward-
   • (a) a programme of the work for the next year; and
   • (b) a schedule of the staff of officers and servants already employed and to be employed during the next year, to the State Government in such form as may be prescribed.
2. (2) The programme shall contain:-
   • (a) particulars of the schemes which the Board proposes to execute whether in part or whole, during the next year;
   • (b) particulars of any work or undertaking which the Board proposes to organise during the next year for the purposes of carrying out its functions under the Act; and
   • (c) such other particulars as may be prescribed.
3. (3) The State Government may approve and sanction the programme and the schedule of the staff of officers and servants forwarded to it with such modifications, if any, as it deems fit, and the modifications so made shall be binding on the Board.

The Board shall, on such date as may be prescribed, prepare and submit to the State Government in the prescribed form the budget for the next financial year, showing the estimated receipts and expenditure on capital and revenue accounts according to the programme and schedule of the staff sanctioned by the State Government.

1. (1) The State Government may sanction the budget submitted to it with such modifications, if any, as it deems proper.
2. (2) The Board shall be competent to reappropriate such amounts as may be necessary from one scheme to another or within sub-heads and minor heads, subject to the condition that the cost of any scheme shall not exceed the amount originally sanctioned by the State Government by more than 33-1/3 per cent, without the approval of the State Government.

The Board may submit a supplementary programme and a supplementary budget for the sanction of the State Government in the prescribed form and the provisions of subsection (2) of section 28 and sections 29 and 30 shall apply to such supplementary programme and supplementary budget respectively.

The Board shall prepare and forward to the State Government in such manner as may be prescribed an annual report within three months after the end of the financial year, giving a complete account of its activities during the previous financial year.

The Board shall, before such date and at such intervals and in such manner as the State Government may from time to time direct, submit to the State Government reports on such matters and statistics and returns as the State Government may require.

1. (1) The accounts of Board shall be maintained and an annual statement of accounts shall be prepared in such manner as may be prescribed.
2. (2) The accounts of the Board shall be audited by a chartered accountant or by such persons as the State Government may direct.
3. (3) As soon as the accounts of the Board are audited, the Board shall send a copy thereof together with a copy of the report of the audit thereto to the State Government. 1[(3-A) The State Government shall, as soon as may be, after the receipt of the said statement and the report, cause them to be laid on the Table of the House of the State Legislature, and the said statement and the Report shall be open to discussion thereon, but shall not be subject to vote.]
4. (4) The audited accounts of the Board shall be submitted to the State Government in such manner as may be prescribed.
5. (5) The Board shall comply with such directions as the State Government may, after the report of the audit, think fit to issue.

1[All sums of money due to the Board on any account whatsoever shall, without prejudice to any other remedy provided by law, be recoverable as arrears of land revenue.]

1[The Board may write off such irrecoverable losses up to five hundred rupees in each case, subject to an annual limit of five thousand rupees, and in such circumstances and subject to such conditions and restrictions as may be prescribed; cases for such losses exceeding the aforesaid amounts shall be referred to the State Government for orders.]