Recovery of loans and advances made by Government

Recovery of loans and advances made by Government. —

1. (1) Notwithstanding anything contained in this Act, if a Panchayat fails to make any payment in respect of any loan or advance made by the Government, the Government may make an order directing the person having the custody of the balance of the Village Panchayat Fund or the Panchayat Union Fund, or the District Panchayat Fund, as the case may be, to pay the portion of such loan or advance out of such balance as he may from time to time consider necessary to meet the amount due.
2. (2) Every person to whom an order is issued under sub-section (1), shall be bound to comply with such order.