Section Text
1[(1) Where in or near a cantonment there is a Government treasury or sub-treasury or a branch of the State Bank of India or a subsidiary bank or a nationalised bank, the cantonment fund shall be kept in such treasury, sub-treasury or bank as the Board may deem fit.
Explanation.--In this section,--
(i) "nationalised bank" means a corresponding new bank specified in the First Schedule to the Banking Companies
(Acquisition and Transfer of Undertakings) Act, 1970 (5 of 1970) or the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980 (40 of 1980);
(ii) "State Bank of India" means the State Bank of India constituted under the State Bank of India Act, 1955 (23 of 1955);
(iii) "subsidiary bank" means a subsidiary bank as defined in the State Bank of India (Subsidiary Banks) Act, 1959 (38 of
1959).]
2[[(2)] A3[Board] may, from time to time, with the previous sanction of the4[Officer Commanding-in-Chief, the Command], invest any portion of its cantonment fund in securities of the Central Government or in such other securities, including fixed deposits in banks, as the5[Central Government] may approve in this behalf, and may dispose of such investments or vary them for others of a like nature.]
6[(3)] The income resulting from any fixed deposit or from any such security as is referred to in7[sub-section (2)] or from the proceeds of the sale of any such security shall be credited to the cantonment fund.
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1. Substituted by Act 15 of 1983,section 70, for sub-sections (1) and (2) w.e.f. 1-10-1983.
2. Substituted by Act 26 of 1927, section 12, for the original sub-section.
3. Substituted by Act 24 of 1936, section 69, for "Cantonment Authority".
4. Substituted by Act 24 of 1936, section 35, for "L.G.".
5. Substituted by the A.O. 1937, for "L.G.".
6. Sub-sections (3) and (4) re-numbered as sub-sections (2) and (3) respectively by Act 15 of 1983, section 70 w.e.f. 1-10-1983.
7. Substituted by Act 15 of 1983, section 70, for "sub-section (3)" w.e.f. 1-10-1983.