Section 40 in Hindu Religious Institutions and Charitable Endowments Act, 1997
40. Rectification of defects detected by Commissioner.
- Without prejudice to the provisions of section 39 where the Commissioner either on his own or on a report of the Deputy Commissioner or any other person, has reason to believe that the Chairman, Manager, Executive Officer or any other person is guilty of illegal expenditure or of causing loss or waste of money or other property of the Notified Institution, by mis-conduct, misapplication, collusion, fraud, breach of trust or misappropriation, the Commissioner may after such enquiry as may be necessary and after giving him an opportunity to make his representation.-(a)pass an order directing conditional attachment of the whole or any portion of the property of the Chairman, Manager, Executive Officer or such other person.(b)institute such criminal proceedings as may be necessary.(c)pass an order of surcharge after obtaining an audit report in this behalf.
