(1)A Municipal Corporation, a Class 'A' Municipal Council, or a Class 'B' or Class 'C' Municipal Council or a Nagar Panchayat, as the case may be, authorised under sub-section (1) of section 146, shall constitute Sinking Funds for the repayment of moneys borrowed on debentures issued and shall pay every year into such Sinking Funds such sum, as will be sufficient for the repayment within the period fixed for the loan of all moneys borrowed on the debentures issued.
