24. Duty to furnish returns, etc.—(1) The Governing Board shall furnish to the Central Government
at such time and in such form and manner as may be prescribed, or as the Central Government may direct,
such returns and statements and such particulars as the Central Government may, from time to time,
require.
(2) Without prejudice to the provisions of sub-section (1), the Governing Board shall, as soon as
possible after the end of each financial year, submit to the Central Government a report in such form and
before such date as may be prescribed giving a true and full account of its activities, policy and
programmes during the previous year.
(3) A copy of the report received under sub-section (2) shall be laid, as soon as may be, after it is
received before each House of Parliament.
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25. Borrowing powers of the Governing Board.—Subject to such rules as may be made in this
behalf, the Governing Board shall have the power to borrow on the security of the properties of Auroville
or any other asset for carrying out the purposes of this Act.
26. Accounts and audit.—(1) The Governing Board shall maintain proper accounts and other
relevant records and prepare an annual statement of accounts, including the income and expenditure
account and the balance-sheet in such form as may be prescribed by the Central Government in
consultation with the Comptroller and Auditor General of India.
(2) The accounts of the Foundation shall be audited by the Comptroller and Auditor-General of India
at such intervals as may be specified by him and any expenses incurred in connection with such audit
shall be payable by the Foundation to the Comptroller and Auditor-General.
(3) The Comptroller and Auditor-General of India and any person appointed by him in connection
with the audit of the accounts of the Foundation shall have the same rights and privileges and authority in
connection with such audit as the Comptroller and Auditor-General of India has in connection with the
audit of Government accounts and, in particular, shall have the right to demand the production of books,
accounts, connected vouchers and other documents and papers and to inspect the officer of the
Foundation.
(4) The accounts of the Foundation, as certified by the Comptroller and Auditor-General of India or
any other person appointed by him in this behalf together with the audit report thereon shall be forwarded
annually to the Central Government and that Government shall cause the same to be laid before each
House of Parliament.
27. Act to have overriding effect.—The provisions of this Act shall have effect notwithstanding
anything inconsistent therewith contained in any other law for the time being in force or in any instrument
having effect by virtue of any law other than this Act, or in any decree or order of any court, tribunal or
other authority.
28. Contracts to cease to have effect unless ratified by the foundation.—Every contract entered
into by the Society, trust or body in relation to its undertakings for any service, sale or supply, and in
force immediately before the appointed day, shall, on and from the expiry of one hundred and eighty days
from that day, cease to have effect unless such contract is, before the expiry of the said period, ratified in
writing by the Central Government or, as the case may be, the Foundation, and in ratifying such contract,
the Central Government or, as the case may be, the Foundation may make such alterations or
modifications therein as it may think fit:
Provided that the Central Government or, as the case may be, the Foundation shall not omit to ratify a
contract and shall not make any alteration or modification therein,—
(a) unless it is satisfied that such contract is unduly onerous or has been entered into in bad faith
or is detrimental to the interests of the Central Government or, as the case may be, the Foundation;
and
(b) except after giving the parties to the contract a reasonable opportunity of being heard and
except after recording in writing its reasons for its refusal to ratify the contract or for making any
alteration or modification therein.
29. Penalties.—A person who,—
(a) having in his possession, custody or control any property forming part of the undertakings of
the Society, trust or body, wrongfully withholds such property from the Central Government or, as
the case may be, the Foundation or any person or body of persons authorised by that Government or
the Foundation; or
(b) wrongfully obtains possession of, or retains, any property forming part of any undertaking of
the Society, trust or body or wilfully withholds or fails to furnish to the Central Government or, as the
case may be, the Foundation or any person or body of persons authorised by that Government or the
Foundation, any documents relating to such undertakings which may be in his possession, custody or
control, or fails to deliver to the Central Government or, as the case may be, the Foundation or any
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person or body of persons authorised by that Government or the Foundation any assets,
books of account, registers or other documents in his possession, custody or control relating to the
undertakings of the Society, trust or body; or
(c) wrongfully removes or destroys any property forming part of the undertakings of the Society,
trust or body,
shall be punishable with imprisonment for a term which may extend to two years, or with fine which may
extend to ten thousand rupees, or with both.
30. Protection of action taken in good faith.—No suit, prosecution or other legal proceedings shall
lie against the Central Government or any officer of that Government or the Custodian or any officer or
other person authorised by that Government or the Foundation for anything which is in good faith done or
intended to be done under this Act.
31. Power to make rules.—(1) The Central Government may, by notification, make rules for
carrying out the provisions of this Act.
(2) In particular, and without prejudice to the generality of the foregoing power, such rules may
provide for all or any of the following matters, namely:—
(a) the manner in which and the purpose for which any person may be associated with the
Governing Board under sub-section (4) of section 11;
(b) the powers and duties which the Secretary to the Governing Board may perform under
sub-section (1) of section 15;
(c) the control, restrictions and conditions subject to which the Governing Board may appoint
officers and employees under sub-section (3) of section 15;
(d) the manner in which the register of residents may be maintained under sub-section (2) of
section 18;
(e) the time within which and the form and manner in which the Governing Board may furnish
returns and reports under sub-section (1) of section 24;
(f) the form and the date before which the Governing Board shall submit reports to the Central
Government under sub-section (2) of section 24;
(g) the rules subject to which the Governing Board shall have the power to borrow under
section 25;
(h) any other matter which is to be or may be prescribed.
32. Power to make regulations.—(1) The Governing Board may make regulations, not inconsistent
with this Act and the rules made thereunder, for enabling it to discharge its functions under this Act.
(2) Without prejudice to the generality of the foregoing power, such regulations may provide for all
or any of the following matters, namely:—
(a) the procedure to be followed at meetings of the Governing Board or at the meetings of the
committees appointed by it and the number of members which shall form a quorum at such meetings;
(b) the delegation to the Chairman, other members, Secretary or other officers of the Governing
Board, of any of the powers, duties of the Governing Board under this Act;
(c) the travelling and other allowances payable to persons associated under sub-section (4) of
section 11 or co-opted under sub-section (2) of section 16;
(d) the pay and allowances and leave and other conditions of service of officers (other than those
appointed by the Central Government) and other employees of the Foundation;
(e) the maintenance of the accounts of the Foundation;
(f) the maintenance of the registers and other records of the Foundation and its various
committees;
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(g) the appointment by the Governing Board of agents to discharge on its behalf any of its
functions;
(h) admission or termination of persons in the register of residents.
(3) No regulation made by the Governing Board shall have effect until it has been approved by the
Central Government and published in the Official Gazette, and the Central Government, in approving the
regulation, may make changes therein which appear to it to be necessary.
33. Rules and regulations to be laid before Parliament.—Every rule or regulation made under this
Act shall be laid as soon as may be after it is made before each House of Parliament while it is in session
for a total period of thirty days which may be comprised in one session or in two or more successive
sessions and if before the expiry of the session immediately following the session or the successive
sessions aforesaid, both Houses agree in making any modification in the rule or regulation, or both
Houses agree that the rule or regulation should not be made, the rule or regulation shall thereafter have
effect only in such modified form or be of no effect, as the case may be; so, however, that any such
modification or annulment shall be without prejudice to the validity of anything previously done under
that rule or regulation.
34. Power to remove difficulties.—(1) If any difficulty arises in giving effect to the provisions of
this Act, the Central Government may, by order, not inconsistent with the provisions of this Act, remove
the difficulty:
Provided that no such order shall be made after the expiry of a period of two years from the appointed
day.
(2) Every order made under this section shall be laid, as soon as may be after it is made, before each
House of Parliament.