Section 3(8) in The U.P. Establishment of Manufactory Rules, 1997
(8)The licensee shall furnish a security of rupees fifty thousand in form of Government Promissory Notes or other Government Securities of equivalent market value for fulfilment of all conditions of licence and for payment of all sums which may become due to Government by way of duty, rent, penalties, fines and taxes under any law or rules having the force of law or under any engagement or bond into which he may have entered. The notes or other securities shall on deposit, be endorsed to Collector of the district by designation. The licensee shall be allowed to draw, as it falls due, the interest accruing on them.
