Chapter VII FINANCE, ACCOUNTS AND AUDIT OF THE ACCOUNTS OF THE AUTHORITY

i) The Authority shall have and maintain its own fund to which shall be credited- a. all moneys received by the authority from the State Government and the Central Government by way of grants, loans, advances or otherwise; b. all moneys received by the Authority from sources other than the State Government or the Central Government, by way of loans or debentures; c. all fees received by the Authority under this Act; d. all moneys received by the Authority from the disposal of lands, buildings and other properties, movable and immovable; e. all moneys received by the Authority by way of the rent, profits, fees, charges, penalty or in any other manner or from any other source; and f. all moneys received by the Authority in connection with the execution of any town development scheme; g. Any penalty imposed by the Authority. ii) The funds of the Authority shall be applied towards meeting- a. the expenditure incurred in the administration, implementation and carrying out the provisions of this Act; b. the cost of acquisition of land for the purposes of this Act; c. the expenditure for the development of land and construction of houses; and d. the expenditure for such other purposes as the State Government may direct or permit. iii) The Authority shall keep its fund in any Scheduled Bank or in any Apex Co-operative bank or a Central Co-operative Bank. iv) The Authority may invest any portion of its fund is such securities or in such other manner as it may determine from time to time. v) The income resulting from investments mentioned in sub-section (iv) and proceeds of the sale of the same shall be credited to the fund of the Authority.

The State Government may make such grants, advances and loans to the Authority, as the State Government may deem necessary, for the performances of its functions under this Act and all grants, loans and advances so made shall be on such terms and conditions as the State Government may determine.

i. The Authority may, from time to time, borrow money by way of loans and debentures or bonds or such other financial instruments from such sources, other than the State Government, and on such terms and conditions as it may determine from time to time. ii. The Authority may advance money for constructing buildings for residential, industrial or commercial purposes on such terms and conditions, as it may determine from time to time.

The Authority shall maintain proper accounts and other relevant records and prepare an annual statement of accounts including the balance sheet in such form and in such manner as may be prescribed.

i. The authority shall maintain proper accounts and other relevant records and prepare an annual statement of accounts including the balance sheet in such form and in such manner as may be prescribed. ii. The Authority shall cause its accounts to be audited annually by the auditors duly qualified to act as auditors under sub-section (i) of section 226 of the Companies Act, 1956. iii. As soon as the accounts of the Authority are audited, the Authority shall send a copy thereof together with the audit report thereon to the State Government and also cause the accounts to be published in the prescribed manner. iv. Notwithstanding anything contained in this section, the State Government may order that there shall be concurrent or special audit of accounts of the Authority by such person or authority as it thinks fit. v. The State Government shall cause to be laid a copy of the audit report before the House of the State Legislature.

i. The Authority shall prepare every year a report of its activities during that year, and submit that report to the State Government, in such form and on or before such date as may be prescribed. ii. The State Government shall, as soon as may be, cause the report submitted by the authority under sub-section (i) to be laid before the House of the State Legislature.

The Authority shall constitute, for the benefit of its whole time paid members and of its Officers and other employees in such manner and subject to such conditions, as may be prescribed, such provident fund as it may deem fit.