Company : Sol Infotech Pvt. Ltd. Website : www.courtkutchehry.com MUNICIPAL CORPORATION OF HYDERABAD (GRANTS-IN- AID TO INSTITUTIONS AND ASSOCIATIONS) RULES, 1986 CONTENTS 1. Short title and commencement 2. Definitions 3. . 4. . 5. . 6. . 7. . 8. . 9. Grants will be made subject to the following conditions, namely 10. . 11. . 12. An institution or association to which a grant is sanctioned must agree to 13. . 14. . 15. . 16. . 17. . 18. . 19. . 20. . 21. . MUNICIPAL CORPORATION OF HYDERABAD (GRANTS-IN- AID TO INSTITUTIONS AND ASSOCIATIONS) RULES, 1986 In exercise of the powers conferred by Sub-section (2) of Section 585 read with Section 174 (g) of the Hyderabad Municipal Corporation Act, 1955 (Art II of 1956), the Governor of Andhra Pradesh hereby makes the following rules for Grants-in-aid to Associations and institutions from the funds of the Municipal Corporation of Hyderabad, namely 1. Short title and commencement :- (1) These rules may be called the Municipal Corporation of Hyderabad (Grants-in-Aid to Institutions and Associations) Rules, 1986. (2) They shall come into force from the date of publication in the Andhra Pradesh Gazette. 2. Definitions :- (1) In these rules, unless the context otherwise requires:- (a) 'Act' means the Hyderabad Municipal Corporations Act, 1955 (Act No. 11 of 1956); (b) 'Council' means the General Body of the Municipal Corporation of Hyderabad; (C) 'Government' means the State Government of Andhra Pradesh. (2) Words and expressions used in these rules but not defined herein shall have the same meaning as assigned to them in the Hyderabad Municipal Corporations Act, 1955 (Act II of 1956). 3. . :- Grant-in-aid may be made by the respective authorities of the Corporation at their discretion to associations and the institutions for carrying out objectives as specified in Sub-sections (18), (19) and (21) of Section 115 of the Act. 4. . :- Associations and institutions whose aims and objects are the following, will be recognised for the purposes of grant-in-aid under these rules, namely:- (1) to promote or aid reading rooms and libraries; (2) to promote sports activities; (3) to promote or aid Social Centres, Health Centres and Women's Social and Educational activities. 5. . :- No grant will be made if the association or institution is conducted more for private than for any charitable purpose. 6. . :- The grant will be restricted to activities carried on within the limits of the cities of Hyderabad and Secunderabad. 7. . :- No grant will be made if, in the discretion of the Corporation, it is found that the amenities or the services rendered by a particular association or institution are not necessary in the particular locality in which they are provided. 8. . :- No grant will be paid to any association or institution which requires attendance at any particular religious institution compulsory or if it indulges in proselytisation activities. 9. Grants will be made subject to the following conditions, namely :- (1) if an association or institution requires a capital grant for its activities or an extension thereof it may be granted by the Corporation at its discretion, if such association or institution is duly registered under the Andhra Pradesh (Telangana Area) Public Societies Registration Act, 1350 Fasli (Act I of 1350 Fasli). The grant will be of such amount as the respective Municipal authorities may fix, having regard to the financial position of the association or institution and to the object for which it is needed but subject to a maximum not exceeding the requirements of the association or institution or Rs. 1,500 (Rupees one thousand and five hundred only) which ever is less in each case. (2) An annual grant towards meeting current expenses of an association or institution be made subject to the following conditions, namely: (a) No grant will be made in cases in which fees are charged for the amenities or services provided. Exception may, however, be made in the case of institutions or associations which charge nominal fees. (b) No grant will be made in the case of an association or institution, the balance sheet of which for each of the three preceding years shows surplus exceeding twice the amount of grant-in-aid paid during each of these years. (c) No grant will be made if it is found that the activities are not carried on properly and economically or if it is found that funds are either not utilised for the purpose for which they are intended or they are mismanaged. (d) No grant will be made if the amenities or services are rendered to a class of people who can afford to pay for such amenities or services. (e) Concessions in rent, taxes, etc., already made by the Corporation will be taken into account in fixing the grant. 10. . :- (1) Subject to the provisions of the Act or the rules or the Bye-laws made thereunder, the Commissioner may consider applications for grant-in-aid upto Rs. 500 (Rupees five hundred only) in each case and sanction the grant after obtaining the approval of the Standing Committee: Provided that provision to meet the expenditure is available under the relevant head of account in the budget approved by the Council: Provided further that the total amount or grant so sanctioned by the Standing Committee does not exceed Rs. 5,000 (Rupees five thousand only) in the year. (2) Where the expenditure in each of the cases referred to in Sub- rule (1) exceeds five hundred rupees, the Commissioner shall obtain the approval of the General Body of the Corporation before sanctioning the grant. 11. . :- (1) An institution whether already in receipt of grant from the Corporation or applying for a grant for the first time shall submit its application to the Commissioner, Municipal Corporation of Hyderabad not later than the 30th September, of each year together with a copy of an annual report and audited balance sheet for the previous year. (2) An application for a grant-in-aid received after the 30th September, shall not ordinarily be considered. Where an application for a grant-in-aid is received after the 30th September in a year but not later than the 31st March of the following year it may be considered by the Commissioner in exceptional circumstances and he may place such application before the competent authority with his specific recommendation thereon. 12. An institution or association to which a grant is sanctioned must agree to :- (1) the admission of one representative of the Corporation on its board of management if the amount of grant is upto Rs. 1,000 (Rupees one thousand only) and two representatives of the Corporation on its board of management if the amount of grant exceeds Rs. 1,000 (Rupees one thousand only). (2) the submission for the information of the Corporation of annual report and audited balance sheet for the previous year certified by a recognised auditor cr a firm of recognised auditors before the 31st March each year. In the case of small institutions or associations receiving a grant-in-aid not exceeding Rs. 100 (Rupees one hundred only) per annum, the audit of accounts by recognised auditors may not be insisted upon and (3) allow inspection of accounts and documents whenever required by the Commissioner or the Examiner of Account or any other officer authorised by the Commissioner in this behalf. 13. . :- No grant shall be sanctioned without obtaining a report from the Commissioner whether the institution is working satisfactorily and deserves grant. 14. . :- A grant shall be subject to reconsideration every year and it cannot be claimed as a matter of right. 15. . :- Each association or institution applying for grant have a regular construction of its own specifying its aim and objects and rules regulations for the conduct of its affairs. 16. . :- The representative or representatives of the Corporation on the board of management of the Association or institution to which grants are given, shall submit to the Council through the Commissioner their reports on the work and progress of the institution or association during the year for which the grants are made. 17. . :- A grant shall become payable to an association or institution only after orders to that effect are passed by the competent authority on examining its annual report and audited balance sheet: Provided that if in the opinion of the Commissioner or any other Officer authorised by the Commissioner in this behalf, the applicant has misused the grant or spent the money for purpose other than those which the grant was given, the Commissioner may with the approval of the Standing Committee or the Council, as the case may be, take such action as may be practicable for the confiscation o f such of those articles or property as are purchased out of the grant. 18. . :- In the event of the Association or Institution receiving grant-in-aid ceasing to exit within three years of the grant, the Commissioner or any other officer authorised by the Commissioner in this behalf shall, with the approval of the Standing Committee or the Council as the case may be, take over the properties or articles purchased out of the grant. 19. . :- Before any grant is made, the grantee shall execute an agreement on behalf of the said Association or institution that he will act according to the provisions of these rules and any further instructions that may be issued from time to time. 20. . :- The grantee shall undertake that if he contravenes any of the provisions of these rules or acts in contravention of the instructions issued by the respective Municipal Authorities or the Government, he will be liable to refund the total amount received by him and in case of default, the Commissioner will be at liberty to recover the amount from his moveable property by distraining the said property in the same manner as for recovery of dues payable to the Corporation under the Act or any other law or by a suit in a Court of competent jurisdiction and he or his assignees, partners, if any, or heirs will have no objection to such action. 21. . :- The Examiner of accounts shall cause to be maintained in his office a separate ledger account for each grant sanctioned. He shall, within six months of the close of each financial year; submit to the Council through the Commissioner and the Standing Committee, a report on the grants if any made during the year. This report will, among other things, contain,- (a) a statement of grants with their classification if any, and the manner in which such grant was spent; (b) a statement showing the cases in which an account of the non- fulfillment of the condition of the grant or on account of any other causes the grantees were required to refund the grants and the extent to which refunds were actually made, together with a note of the reasons for non-realisation of any outstanding balances; and (c) a note explaining the extent to which the object of which they were given were fulfilled and in the cases of grants that failed in their purposes, a concise statement of the reasons for such failure.