Deposit with State Fund

(1) The following shall be the sources of State Fund:- (a) The Sponsoring Body shall deposit INR 1 (one) Crore for the University as the State Fund with the Education Department, Government of Sikkim, having its principal office at Gangtok. (b) Government shall place 25% of income back into the State Fund, and shall make available 75% of income to the University's General Fund. (2) Application of State Fund shall be as follows :- (a) Except for the dissolution of the University, in no other circumstances can any monies be transferred from the State Fund for other purposes. (b) The University, if required, may use 75% of the interest income received from the State Fund for the development of infrastructure of the University. It may not be used to meet any recurring expenditure of the University. The balance and unutilized interest income will be added to the State Fund.