Section 128 in Gauhati Municipal Corporation Act, 1971
128. Maintenance and investment of sinking fund.
(1)the Corporation shall maintain sinking funds for repayment of money borrowed under section 124 and shall pay every year into such sinking fund such sums as will be sufficient for the repayment within the period fixed for the loans of all moneys borrowed.(2)All money of the sinking fund shall, as soon as possible, be invested by the Commissioner in public securities and every such investment shall be reported by the Commissioner to the Corporation within fifteen days.(3)All dividends and other sums received in respect of any such investment shall, as soon as possible after receipt, be paid into the sinking fund and invested in the manner laid down in sub-section (2).(4)When any part of a sinking fund is invested in Municipal debentures or is applied in paying off any part of a loan before the period fixed for repayment, the interest which would otherwise have been payable on such debentures or on such part of the loan shall be paid into the sinking fund and invested in the manner laid down in sub-section (2).(5)Any investment made under this section may, subject to the provisions of sub-section ( ), be varied or transposed.
