Power to advance loans and sanction grants and subsidies.

[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.]