Section 19(13A) in The Sugar Development Fund Rules, 1983
(13A)[ Maintenance of funds received by way of subsidy towards interest, storage and insurance and utilisation thereof;(a)Every occupier of a sugar factory shall set apart the amount, if any received from the Central Government by way of subsidy towards interest, storage and insurance on the quantity of buffer stock of sugar and credit the amount so set apart to a separate account with his banker with whom he has a separate account under clause (a) of sub-rule (13), for the purpose provided in clause (b) of this sub-rule.[Provided that where the occupier of a sugar factory has credited such amount for the buffer stock maintained for the period 18th December, 2002 to 17th December, 2004 or a part thereof in an account with the bank or a bank other than the bank referred to in clause (a) of sub-rule (13) and the Central Government is satisfied that such amount has been utilised for the purposes of clause (b) of this sub-rule, it may exempt such sugar factory from the stipulation of crediting such amount with the bank referred to in clause (a) of sub-rule (13)] [Inserted vide GSR 886(E) dated 6.12.01.](b)The amount credited to the separate account shall not be used by the said occupier for any purpose other than for payment of price payable for the sugarcane purchased by the sugar factory;Provided that where the State Government Authority/officer furnishes a certificate in Form VI to the banker referred to in clause (a) above to the effect that the concerned sugar factory has no sugarcane price dues including arrears of price outstanding against it on the date of credit of the amount of subsidy towards interest, storage and insurance into the separate account, the bank may allow the said occupier to use the said amount for any other purpose under intimation to the Central Government.] [Substituted vide GSR 817(E) dated 20.12.84 for Every occupier of a sugar factory shall insure a buffer stock so set apart against fire, theft, including burglary, and also from floods where the premises of the sugar undertaking are ordinarily exposed to the risk of floods.]
