Amendment status not verified — confirm the current text below against the official source.
Constitution and investment of Sinking Funds: (1) Municipal Council or a Town Council as the case may be authorized under sub- section (1) of section 97 shall mandatorily constitute Sinking Funds for the repayment of money(s) borrowed on debentures issued and shall pay every year into such Sinking funds such sum as will be sufficient for the repayment within the period fixed for the loan of all money borrowed on the debentures issued. (2) All money(s) paid into the Sinking Funds shall as soon as possible be invested by the Chief Executive Officer/ Executive Officer under the directions of the Municipality, in public securities in the prescribed manner. (3) All dividends and other sums received in respect of any such investment shall as soon as possible after receipt be paid into the Sinking Funds and invested in the manner laid down in sub-section (2).