Page 448 - The Central Motor Vehicles Rules, 1989

420 THE CENTRAL MOTOR VEHICLES RULES, 1989 RULE 157

(3) When the fund exceeds rupees twenty lakhs or rupees two thousand and five
hundred per vehicle for the entire fleet of vehicles, whichever is less, annual payment
referred to in sub-rule (2) shall cease, provided that if thereafter the amount at the credit
of the fund falls below rupees twenty lakhs or rupees two thousand and five hundred
per vehicle for the entire fleet of vehicles, whichever is less, such annual payment shall
again be resumed:
PROVIDED that if any authority other than the Central Government is of opinion
that the amount of rupees twenty lakhs or rupees two thousand and five hundred per
vehicle for the entire fleet of vehicles, whichever is less, is not adequate, it may, with the
previous approval of the Central Government continue the annual payment beyond
rupees twenty lakhs or rupees two thousand and five hundred per vehicle, as the case
may be.
153. Investment of the fund
From the amount at the credit of the fund the authority shall keep and maintain a
153
cash deposit of not less than rupees fifty thousand in the bank and the rest of the amount
at the credit of the fund shall be invested in government securities.
154. Securities held as a deposit in the fund
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(1) All government securities in which the fund is invested shall be transferred to
the bank by the authority.
(2) It shall be competent for the authority at any time to exchange the government
securities for cash or for other government securities of equal or greater market value,
or both, and the bank shall carry out the instructions issued by the authority for such
exchange after charging the usual commission to the authority. The securities so
exchanged shall also be transferred to the bank.
155. Deposit procedure
(1) As soon as the fund is established, the bank shall send to the authority a
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statement specifying the assets held by it on behalf of the authority and shall also send
a copy thereof to the Central Government in the Ministry of Surface Transport or the
State Government concerned, as the case may be.
(2) The statement referred to in sub-rule (1) shall be sent in the same manner and
to the same authorities whenever there is a change in the assets of the authorities held
by the bank.
156. Interest on deposits
Interest realised on each deposit or the securities held in the fund shall be paid by
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the bank to the authority.
157. Withdrawal
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(1) No amount shall be withdrawn from the fund except for the purpose of meeting
any liability arising out of the use of any motor vehicle of the authority which the
authority or any person in the employment of the authority may incur to third parties
including liability arising under the Workmen’s Compensation Act, 1923 (8 of 1923).
(2) The authority shall, subject to such conditions and restrictions as it may impose
in this behalf, authorise one of its officers to draw money from the fund for the purpose
mentioned in sub-rule (1).
(3) A copy of the authorisation referred to in sub-rule (2) duly authenticated by a
competent officer of the authority shall be sent to the bank which shall permit
withdrawal only by the officer named in such authorisation subject to the conditions
and restrictions contained therein.