Section 57(2) in The Jammu and Kashmir Panchayati Raj Rules, 1996
(2)Commission, if any, profit or gain shall be creditable to the Panchayat funds. Any loss in the contract shall be borne by the Panchayat after its verification and assessment by the Panchayat provided that the same was not due to default of any member or servant of the Halqa Panchayat.
