Section 7(7)(b) in Tamil Nadu Local Fund Audit Rules, 2016
(b)Cases of non-presentation and non-resubmission of annual accounts by the Executive authority within the due date and non-submission or re-submission even after imposing penalty, such cases shall be reported by the Director to the Government with the recommendation to withhold release of funds to any authority which fails to furnish accounts for audit on expiry of three months from the specified period.