State Act
Section 20. Fund of the Authority
20. (1) The [Local Development Authority]2 shall have and maintain its own fund to which shall be credited— (a) all moneys received by the [Local Development Authority]2 from the State Government by way of grants, loans, advances or otherwise; (b) all moneys borrowed by the [Local Development Authority]2 from sources other than the State Government by way of loans or debentures; (c) all [fees, tolls and charges]1 received by the [Local Development Authority]2 under this Act; (d) all moneys received by the [Local Development Authority]2 from the disposal of lands, buildings and other properties, movable and immovable; and (e) all moneys received by the [Local Development Authority]2 by way of rents and profits or in any other manner or from any other sources. (2) The fund shall be applied towards meeting the expenses incurred by the [Local Development Authority]2 in the administration of this Act and for no other purposes. (3) Subject to any directions of the State Government, the [Local Development Authority]2 may keep in current account of any Scheduled Bank such sum of money out of its fund as it may think necessary for meeting its expected current requirements and invest any surplus money in such manner as it thinks fit. (4) The State Government may after due appropriation made by Legislature by law in that behalf, make such grants, advances and loans to the [Local Development Authority]2 as that Government may deem necessary for the performance of the functions of the Authority under this Act and all grants, loans and advances made shall be on such terms and conditions as the State Government may determine. (5) The [Local Development Authority]2 may borrow money by way of loans or debentures from such sources (other than the State Government) and on such terms and conditions as may be approved by the State Government. (6) The [Local Development Authority]1 shall maintain a sinking fund for the repayment of moneys borrowed under sub-section (5), and shall pay every year into the sinking fund such sum as may be sufficient for repayment within the period fixed of all moneys so borrowed. (7) The sinking fund or any part thereof shall be applied in or towards, the discharge of the loan for which such fund was created and until such loan is wholly discharged it shall not be applied for any other purpose. [(8) The Local Development Authority shall contribute a fixed proportion of their net income to the State Authority as decided by the State Authority. (9) The State Authority shall, from the funds so collected under sub-section (8) above, decide the quantum of the fund to be allocated and shall allocate the same amongst the Local Development Authorities created under section 4 of this Act.]2