Section 23 in The U.P. Avas Evam Vikas Parishad (Raising of Loans) Rules 1972
23. Annual examination of sinking funds.
(1)All sinking funds established or maintained under the Act shall be subject to annual examination by the Accountant General, U.P. who shall ascertain whether the cash and the value of the securities belonging thereto are actually equal to the amount which should be at the credit of such funds and investments been regularly made and had the rate of interest as originally estimated been obtained therefrom.(2)The amount which should be at the credit of a sinking fund shall be calculated on the basis of the present value of all future payment required to be made to such fund under the provisions of these rules on the assumption that all investments are regularly made and the rate of interest as originally estimated is obtained therefrom.(3)The securities belonging to sinking fund shall valued for the purposes of this rule at their current market value, except in the case of debentures issued under the Act which shall be valued at par, provided that the Board shall make good immediately any loss which may accrue on the actual sale of such debenture at the time of repayment of the loan.(4)The Board shall forthwith pay into any sinking fund any amount which the Accountant General, U.P. may certify to be deficient, unless the State Government. specially sanctions a gradual readjustment.(5)If the cash and the value of the securities at the credit of any sinking fund are in excess of the amount which should be at its credit, the Accountant General, U.P. shall certify the amount of such excess sum and the Board may thereupon transfer the excess sum to the Board Funds.(6)If any dispute arises to the accuracy of any certificate made by the .Accountant General, U.P. under sub-rule (4) or (5) the Board may, after making the payment of transfer, refer the matter to the State Government whose decision shall be final.(7)The Accountant General, U.P. shall send his report to the Board in the following form as early as possible after the annual examination has been completed and in any case within two months after the date of examination:"Certified that the cash and value of the securities belonging to the following sinking funds are actually equal to the amount which should be at the credit of such funds."(8)Where the Accountant General, U.P. finds that the amount in any sinking fund is deficient, he shall give a certificate in the following Form:"Certified that the sinking funds relating to the loans noted below were deficient by the amount given against each."(9)Where the Accountant General, U.P. finds that the cash and the value of the securities at the credit of the sinking fund are in excess of the amount which should be at its credit he shall give a certificate in the following Form:"Certified that the sinking funds relating to the loan noted below were in excess by the amount given against each."
