Amendment status not verified — confirm the current text below against the official source.
Operation of Gram Panchayat Fund account [Sections 86 and 96).-- (1) The Gram Panchayat Fund mentioned in section 86 of the Act, shall be kept in a Saving Bank Account opened in the name of the Gram Panchayat in a Nationalised Bank. The Gram Panchayat may open Saving Bank Account for other schemes, if their terms and conditions provide so or the Government directs so: Provided that a sum not exceeding rupees five thousand may be kept in the custody of the Sarpanch for an urgent expenditure to be incurred by him. (2) All expenses of Gram Panchayat shall be charged to the Gram Panchayat Fund as provided in section 91 of the Act. The same shall be duly approved by the Gram Panchayat through its resolutions passed in meetings. (3) No Money shall be drawn from the Gram Panchayat Fund unless it is required for immediate disbursement on an item of expenditure under the Act | or any rule or on specific order of the State Government. (4) The Sarpanch and Panchayat Secretary of a Gram Panchayat should be guided-by established standards of financial propriety and must exercise the same vigilance as a person of ordinary prudence in respect of expenditure of his own money. No authority shall incur expenditure or entered into any liability unless there is budget provision for it and the expenditure has been sanctioned. m (5) The Sarpanch and Panchayat Secretary must see that not only the total expenditure is kept within the limit of authorized appropriation, but also the funds allotted are utilized in the interest and service of the Gram Panchayat concerned and upon objects for which provision has been made. In order to exercise proper control, they should keep themselves closely acquainted: with the progress of expenditure, commitment-and liabilities incurred but, not paid. . (6) The Gram Panchayat account shall be operated upon jointly and amount can be withdrawn by the following authorities: Serial Limit of withdrawal Competent authorities No.