Bombay Statutory Funds Act, 1959

Bombay Act No. 71 of 1959

guj203

[Dated 28th December 1959]

For Statement of Objects and Reasons, see Bombay Government Gazette, 1959, Part V, page 824.

An Act to provide for the establishment and maintenance of certain Statutory Funds and for matters connected therewith.

Whereas in February 1959, a supplementary grant of a sum of rupees fourteen corers was made by the Bombay Legislative Assembly for the establishment of certain Funds known as Earmarked Funds and Endowment Funds for development activities in the State of Bombay;

And Whereas by the Bombay (Supplementary) Appropriation Act, 1959 (Bombay V of 1959) the said sum was appropriated for the services and purposes "Miscellaneous" under the Head of Accounts "57, Miscellaneous" as expressed in the Schedule to that Act;

And Whereas in pursuance thereof the Accountant general transferred from the Consolidate Fund of the State of Bombay the said sum of rupees fourteen crores to the credit of the public account of the State;

And Whereas in August 1959 a supplementary grant of a further sum of rupees one crore was made by the Bombay Legislative Assembly for the establishment of an Earmarked Fund for Co-operative Aid;

And Whereas by the Bombay (Second Supplementary) Appropriation Act, 1959 (Bombay XL of 1959) the said sum of rupees one crore was appropriated for the services and purposes "Miscellaneous" under the Head of Accounts "57, Miscellaneous" as expressed in the Schedule to that Act;

And Whereas in pursuance thereof the Accountant General transferred from the Consolidated Fund of the State of Bombay the said sum of rupees one crore to the credit of the public account of the State;

And Whereas it is expedient to establish by law Statutory Funds for the purposes for which the said Earmarked Funds and Endowment Funds were established and to make provision for matters connected therewith; It is hereby enacted in the Tenth Year of the Republic of India as follows:-

1. Short title and commencement.- (1) This Act may be called the Bombay Statutory Funds Act, 1959.

(2) It shall come into force on such date as the State Government may by notification in the Official Gazette, appoint.

2. Establishment of Statutory Funds.- (1) On the commencement of this Act there shall be established the Statutory Funds specified in Schedule A.

(2) Subject to the provisions of this Act and the rules made thereunder the Statutory Funds established by sub-section (1) shall be held and maintained on behalf of the Governor of Bombay by the Secretary to the Government of Bombay in the Finance Department.

(3) On the date of the commencement of this Act, the amount standing to the credit of each of the Earmarked and Endowment Funds specified in Schedule B in the public account of the State shall be paid into the corresponding Statutory Fund established under sub-section (1).

3. Purposes for which the Statutory Funds may be applied.- (1) From and out of the Statutory Funds established under sub-section (1) of Section 2 no sums shall be paid or applied except in the manner and for the purpose and to the extent hereinafter provided.

(2) The amounts standing to the credit of the Statutory Funds may be applied for the same purposes in the same manner and to the same extent as the grants made to the corresponding Earmarked and Endowment Funds as specified in Schedule B.

4. Investments and reinvestments of sums to credit of Statutory Funds.- The State Government shall from time to time invest or reinvest all sums to credit of the Statutory Funds at serial Nos. 10, 11 and 12 in Schedule A and may invest or reinvest all or any of the sums to the credit of the other Statutory Funds in Government Securities as defined in clause (2) of Section 2 of the Public Debts Act, 1944 (XVIII of 1944) in the name of the Secretary to the Government of Bombay, Finance Department or such other officer as the State Government may specify in this behalf.
5. Interest and instalments.- Every loan advanced from any of the Statutory Funds shall bear interest at such rate and shall be made repayable in such instalments and within such period as may be fixed subject to sub-section (2) of Section 3 by the rules made under this Act.
6. Interest accruing on sums invested or reinvested to form part of Statutory Funds.- The interest which may from time to time accrue on sums under Section 4 or Section 5 shall form part of the respective Statutory Fund.
7. Power of State Government to make rules.- (1) The State Government may by notification in the Official Gazette, make rules for the purpose of carrying into effect the provisions of this Act.

(2) All rules made under this section shall be laid for not less than thirty days before each House of the State Legislature as soon as possible after they are made and shall be subject to such modifications as the State Legislature may make during the session in which they are so laid or the session immediately following.

Schedule A

(See Section 2)

1. Water Supply Fund.
2. Distress Relief Fund.
3. Amenities Fund.
4. Educational Building Fund.
5. Female Employees Building Fund.
6. Building Land Development Fund (Housing Fund).
7. Underdeveloped Areas Development Fund.
8. Fisheries Development Fund.
9. Co-operative Aid Fund.
10. Medical Research Endowment Fund.
11. Scientific and Industrial Research Endowment Fund.
12. Agricultural Research Endowment Fund.

Schedule B

(See Section 3)