Chapter IV
POWERS AND FUNCTIONS OF NATIONAL AUTHORITY AND STATE AUTHORITIES
14. Powers and functions of National Authority.
14. Powers and functions of National Authority.—(1) The governing body of the National Authority shall—
(i) formulate broad policy framework for functioning of the National Authority and State Authorities as may be notified by the Central Government;
(ii) approve the annual report and audited accounts of the National Authority;
(iii) review reports on decision taken by executive committee and monitoring group of the National Authority including investment decisions;
(iv) approve the proposal for the schemes specified in sub-clause (iii) of clause (b) of Section 5;
(v) approve the proposals for creation of posts in the National Authority, subject to prior permission of the Central Government;
(vi) provide a mechanism to State Authorities to resolve issues of inter-State or Centre-State character;
(vii) formulate such procedures for delegation of financial and administrative powers to the National Authority and State Authorities as may be notified by the Central Government.
(2) The governing body of the National Authority shall meet at least once in six months.
(3) The governing body and executive committee of the National Authority and the monitoring group of the National Authority shall meet at such places and shall observe such rules and procedures in regard to transaction of business at its meeting, including the quorum thereat, as may be prescribed.
| Other Contents of Compensatory Afforestation Fund Act, 2016 |
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| Sections 1 to 7 Sections 8 to 13 Sections 14 to 33 |
15. Powers and functions of executive committee of National Authority.
15. Powers and functions of executive committee of National Authority.—(1) The executive committee of the National Authority shall—
(i) approve within three months from the date of receipt, annual plan of operations of State Authorities, with such amendments as it deems fit and proper;
(ii) formulate proposals for schemes specified in sub-clause (iii) of clause (b) of Section 5;
(iii) execute schemes specified in sub-clause (iii) of clause (b) of Section 5;
(iv) deploy staff on contract or on deputation basis to the posts in the National Authority;
(v) formulate proposals for creation of posts in the National Authority at the level of Assistant Inspector General of Forests and other officers;
(vi) invest surplus amounts available in the National Fund;
(vii) execute other day-to-day work in respect of receipt of amounts in the National Fund;
(viii) maintain books of account and such other records;
(ix) facilitate scientific, technological and other assistance that may be required by State Authorities;
(x) present its decisions to the governing body of the National Authority for information;
(xi) maintain and update a public information system on the National Authority and present all information on its transaction in the public domain;
(xii) undertake any other work as may be assigned by the governing body of the National Authority or the Central Government, from time to time.
(2) The executive committee of the National Authority shall meet at least once in every three months.
16. Functions of monitoring group.
16. Functions of monitoring group.—(1) The monitoring group shall—
(i) evolve independent system for concurrent monitoring and evaluation of the works implemented in the States and Union territories utilising the funds released by the National Authority and State Authorities to ensure effective and proper utilisation of funds by utilising the services of the regional offices, of the Central Government in the Ministry of Environment, Forest and Climate Change:
Provided that the Central Government may also undertake third party monitoring and evaluation of the works implemented in the States and Union territories utilising the funds released by the National Authority and State Authorities through individual and institutional experts including remote sensing agencies;
(ii) inspect and undertake financial audit of works executed by utilising the funds released by the National Authority and State Authorities in the State and Union territories;
(iii) devise measures for transparency and accountability.
(2) The monitoring group shall meet at least once in three months.
17. Powers and functions of State Authority.
17. Powers and functions of State Authority.—(1) The governing body of a State Authority shall—
(i) lay down the broad policy framework for the functioning of such State Authority within the overall framework notified by the Central Government on the recommendations of the National Authority;
(ii) review the working of the State Authority from time to time.
(2) The governing body of a State Authority shall meet at least once in six months.
(3) The governing body, steering committee and executive committee of a State Authority shall meet at such places and shall observe such rules and procedures in regards to transaction of business at its meeting, including the quorum thereat, as may be prescribed.
18. Powers and functions of steering committee of State Authority.
18. Powers and functions of steering committee of State Authority.—(1) The steering committee of a State Authority shall—
(i) scrutinise and approve with such amendments as it may deems fit and proper the annual plan of operations prepared by the executive committee of such State Authority and send the same to the executive committee of the National Authority for final approval;
(ii) monitor the progress of the utilisation of funds released from the State Fund;
(iii) review reports on decision taken by executive committee including investment decisions;
(iv) approve, subject to prior concurrence of the State Government, proposals formulated by the executive committee for creation of posts in the State Authority;
(v) approve annual report of the State Authority and send the same to the State Government to lay it, each year, in each House of the State Legislature;
(vi) ensure inter-departmental coordination.
(2) The steering committee of a State Authority shall meet at least once in every three months.
19. Functions and powers of executive committee of State Authority.
19. Functions and powers of executive committee of State Authority.—(1) The executive committee of a State Authority shall—
(i) formulate and submit annual plan of operations to the steering committee of the State Authority for its concurrence;
(ii) undertake qualitative and quantitative supervision, monitoring and evaluation of the works being implemented from amounts available in the State Fund;
(iii) invest surplus amounts available in the State Fund of such State;
(iv) maintain books of account and other records;
(v) submit reports to the steering committee of the State Authority;
(vi) prepare annual report of the State Authority;
(vii) deploy staff on contractual basis or on deputation to the posts in the State Authority;
(viii) formulate proposals for creation of posts in the State Authority;
(ix) be responsible for delegation of financial or administrative powers;
(x) be responsible for other day-to-day working in respect of the State Authority;
(xi) maintain and update public information system on the State Authority and present all information on its transaction in the public domain;
(xii) undertake any other work as may be assigned by the governing body or steering committee of the State Authority or the State Government, from time to time.
(2) The executive committee of a State Authority shall meet at least once in every three months.
Chapter V
FINANCE, ACCOUNTS, AUDIT AND ANNUAL REPORT
20. Budget of National Authority.
20. Budget of National Authority.—(1) The National Authority shall prepare its budget for the next financial year, showing the estimated receipts and expenditure of the National Authority and forward the same to the Central Government, in such form and at such time in each financial year as may be prescribed.
(2) The National Authority, shall adopt financial regulation and procedures, in particular the procedure for drawing up and implementing the budget of the National Authority as may be prescribed.
21. Investment of funds by National Authority.
21. Investment of funds by National Authority.—The National Authority may invest its funds, including any reserve fund, in the securities of the Central Government and in scheduled banks in such manner as may be prescribed:
Provided that the grants received from the Central Government shall not be invested and shall be utilised for the purposes and in the manner attached to it.
22. Accounts and audit of National Authority.
22. Accounts and audit of National Authority.—(1) The National Authority shall maintain proper accounts and other relevant records and prepare an annual statement of accounts in such form as may be prescribed in consultation with the Comptroller and Auditor-General of India.
(2) The accounts of the National Authority shall be audited by the Comptroller and Auditor-General of India at such intervals as may be specified by him and any expenditure incurred in connection with such audit shall be payable by the National Authority to the Comptroller and Auditor-General.
(3) The Comptroller and Auditor-General and any other person appointed by him in connection with the audit of the accounts of the National Authority shall have the same right and privileges and authority in connection with such audit as the Comptroller and Auditor-General generally has in connection with the audit of the 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 office of the National Authority.
(4) The accounts of the National Authority as certified by the Comptroller and Auditor-General or any other person appointed by him in this behalf together with the audit report thereon, shall be forwarded annually to the Central Government by the National Authority.
(5) The Comptroller and Auditor-General shall, within a period of six months from the date of commencement of the Act, audit the accounts of the all monies collected by the State Governments and Union territory Administrations, which has been placed under the ad hoc Authority and deposited in the nationalised banks and submit the report to the Central Government under this section.
(6) The Central Government shall have the power to conduct the special audit or performance audit of the National Fund and of the National Authority through the Comptroller and Auditor-General.
23. Annual report of National Authority.
23. Annual report of National Authority.—(1) The National Authority shall prepare, its annual report, giving a full account of its activities during the previous financial year and forward a copy thereof to the Central Government, in such form and at such time, for each financial year, as may be prescribed.
(2) The annual report shall, inter alia, provide for—
(i) the summary of monitoring and evaluation of activities undertaken from amounts released from the National Fund and State Funds during the year;
(ii) the summary of specific schemes specified in sub-clause (iii) of clause (b) of Section 5 executed during the year;
(iii) the amount of money received and expended.
24. Annual report and audit report of National Authority to be laid before Parliament.
24. Annual report and audit report of National Authority to be laid before Parliament.—The Central Government shall cause the annual report and audit report together with a memorandum of action taken on the recommendations contained therein to be laid as soon as may be after the reports are received before each House of Parliament.
25. Budget of State Authority.
25. Budget of State Authority.—(1) Each State Authority shall prepare its budget for the next financial year, showing the estimated receipts and expenditure of the State Authority and forward the same to the State Government, in such form and at such time, in each financial year, as may be prescribed.
(2) Each State Authority shall adopt financial regulation and procedures, in particular the procedure for drawing up and implementing the budget of the State Authority as may be prescribed.
26. Investment of funds by State Authority.
26. Investment of funds by State Authority.—State Authority may invest funds available in the State Fund of such State in the securities of the Central Government and in scheduled banks in such manner as may be prescribed:
Provided that the grants received from the State Government shall not be invested and shall be utilised for the purpose and in the manner prescribed.
27. Accounts and audit of State Authority.
27. Accounts and audit of State Authority.—(1) Each State Authority shall maintain proper accounts and other relevant records and prepare an annual statement of accounts in such form as may be prescribed in consultation with the Comptroller and Auditor-General of India.
(2) The accounts of each State Authority shall be audited by the Comptroller and Auditor-General at such intervals as may be specified by him and any expenditure incurred in connection with such audit shall be payable by the State Authority to the Comptroller and Auditor-General.
(3) The Comptroller and Auditor-General and any other person appointed by him in connection with the audit of the accounts of the State Authority shall have the same right and privileges and authority in connection with such audit as the Comptroller and Auditor-General generally has in connection with the audit of the Government accounts and, in particular, shall have the right to demand the production of books, accounts, connected vouchers, other documents and papers and to inspect the office of the State Authority.
(4) The Accounts of the State Authority as certified by the Comptroller and Auditor-General or any other person appointed by him in this behalf together with the audit report thereon, shall be forwarded annually to the State Government by the State Authority.
(5) The Comptroller and Auditor-General shall, within a period of six months from the date of commencement of the Act, audit the accounts of all the monies which have been transferred by the ad hoc Authority to the State Compensatory Afforestation Fund Management and Planning Authorities constituted in the States in compliance of guidelines dated the 2nd July, 2009 and submit the report to the State Government under this section.
(6) The Central Government and the State Government concerned shall have the power to conduct the special audit or performance audit of the State Fund and of the State Authority through the Comptroller and Auditor-General.
28. Annual report of State Authority.
28. Annual report of State Authority.—(1) Each State Authority shall prepare its annual report, giving a full account of its activities during the previous financial year and forward a copy thereof to the concerned State Government, in such form and at such time, for each financial year, as may be prescribed.
(2) The annual report of a State Authority shall, inter alia, provide for—
(i) the number and location of each reforestation, afforestation and conservation activity subject to the requirement of this section;
(ii) the amount and location of lands in hectares, cleared, conserved and planted in connection with the activity; and
(iii) the amount of afforestation money collected and expended.
29. Annual report and audit report of State Authority to be laid before State Legislature.
29. Annual report and audit report of State Authority to be laid before State Legislature.—The State Government shall cause the annual report and the audit report together with a memorandum of action taken on the recommendations contained therein to be laid as soon as may be after the reports are received before each House of the State Legislature:
Provided that in case of a Union territory having no legislature, the Central Government shall cause the annual report and the audit report together with a memorandum of action taken on the recommendations contained therein to be laid as so on as may be after the reports are received before each House of the Parliament.
Chapter VI
MISCELLANEOUS
30. Power to make rules.
30. Power to make rules.—(1) The Central Government in consultation with the State Governments may, after previous publication, make rules for carrying out the purposes 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 management of the National Fund by the National Authority under sub-section (2) of Section 3;
(b) the management of State Fund by the State Authorities under sub-section (2) of Section 4;
(c) the manner of using the money for purposes specified in clause (b) of Section 6;
(d) the manner of utilising the money for purposes specified in clause (c) of Section 6;
(e) the manner of payment of the salary and allowances payable to the officers and other employees of the State Authority under clause (f) of Section 6;
(f) the accounting procedure regulating the manner of crediting the monies to the National Fund and State Funds under Section 7;
(g) the terms of office and other conditions of the service of the members of the National Authority, executive committee, monitoring group, Chief Executive Officer and officials appointed by the National Authority, members of State Authority, steering committee and executive committee of each State Authority under Section 12;
(h) the rules and procedures in respect of the transaction of business of the governing body and executive committee of the National Authority and monitoring group of the National Authority and the place of meeting, including the quorum under sub-section (3) of Section 14;
(i) the rules and procedures in respect of the transaction of business of the governing body, steering committee and executive committee of a State Authority and the place of meeting, including the quorum under sub-section (3) of Section 17;
(j) the preparation of the budget of the National Authority under sub-section (1) of Section 20;
(k) the financial regulation and procedures, in particular the procedure for drawing up and implementing the budget of the National Authority under sub-section (2) of Section 20;
(l) the investment of the funds of the National Authority under Section 21;
(m) the maintenance of the accounts and other relevant records and preparation of an annual statement of accounts by the National Authority under sub-section (1) of Section 22;
(n) the preparation of the annual report by the National Authority under sub-section (1) of Section 23;
(o) the preparation of the budget of the State Authority under sub-section (1) of Section 25;
(p) the financial regulation and procedures, in particular the procedure for drawing up and implementing the budget of the State Authorities under sub-section (2) of Section 25;
(q) the investment of funds by the State Authorities under Section 26;
(r) the maintenance of the accounts and other relevant records and preparation of annual statement of accounts by each State Authority under sub-section (1) of Section 27;
(s) the preparation of the annual report by the State Authorities under sub-section (1) of Section 28; and
(t) any other matter which is required to be, or may be prescribed.
(3) Every rule 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 both Houses agree that the rule should not be made, the rule 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.
31. Transfer of assets, liabilities, etc.
31. Transfer of assets, liabilities, etc.—(1) On and from the date of constitution of the National Authority—
(i) all the assets and liabilities of the ad hoc Authority shall stand transferred to, and vested in, the National Authority;
Explanation.—The assets of the ad hoc Authority shall be deemed to include all rights and powers, all properties, whether movable or immovable, including in particular, cash balances, deposits, and all other interests and rights in, or arising of, such properties as may be in the possession of the ad hoc Authority and all books of account and other documents relating to the same, and liabilities shall include all debts, liabilities and obligations of whatever kind;
(ii) without prejudice to the provisions of clause (i), all debts, obligations and liabilities incurred, all contracts entered into and all matters and things engaged to be done by, with or for the ad hoc Authority immediately before constitution of the National Authority, for or in connection with the purpose of the ad hoc Authority, shall be deemed to have been incurred, entered into or engaged to be done by, with or for, the National Authority;
(iii) all sums of money due to the ad hoc Authority immediately before constitution of the National Authority shall be due to the National Authority;
(iv) all suits and legal proceedings instituted or which could have been instituted by or against the ad hoc Authority may be continued or may be instituted by or against the National Compensatory Authority.
(2) On and from the date of constitution of a State Authority—
(i) all the assets and liabilities of the State Compensatory Afforestation Fund Management and Planning Authority constituted in such State in compliance of guidelines dated the 2nd July, 2009 shall stand transferred to, and vested in, the State Authority.
Explanation.—The assets of the State Compensatory Afforestation Fund Management and Planning Authority constituted in such State in compliance of guidelines dated the 2nd July, 2009 shall be deemed to include all rights and powers, all properties, whether movable or immovable, including in particular, cash balances, deposits, and all other interests and rights in, or arising of, such properties as may be in the possession of the State Compensatory Afforestation Fund Management and Planning Authority constituted in such State in compliance of guidelines dated the 2nd July, 2009 and all books of account and other documents relating to the same, and liabilities shall include all debts, liabilities and obligations of whatever kind;
(ii) without prejudice to the provisions of clause (i), all debts, obligations and liabilities incurred, all contracts entered into and all matters and things engaged to be done by, with or for the State Compensatory Afforestation Fund Management and Planning Authority constituted in such State in compliance of guidelines dated the 2nd July, 2009 before this Act came into force, for or in connection with the purpose of the State Compensatory Afforestation Fund Management and Planning Authority constituted in such State in compliance of guidelines dated the 2nd July, 2009, shall be deemed to have been incurred, entered into or engaged to be done by, with or for, the State Authority;
(iii) all sums of money due to the State Compensatory Afforestation Fund Management and Planning Authority constituted in such State in compliance of guidelines dated the 2nd July, 2009 before constitution of the State Authority shall be due to the State Authority;
(iv) all suits and legal proceedings instituted or which could have been instituted by or against the State Compensatory Afforestation Fund Management and Planning Authority constituted in such State in compliance of guidelines dated the 2nd July, 2009 may be continued or may be instituted by or against the State Authority.
32. Validation.
32. Validation.—(1) Notwithstanding anything contained in any judgment, decree or order of any court, the amount credited to the National Fund shall be deemed to be credited and shall always be deemed to have been credited to the public account of India within the meaning of Articles 266 and 283 of the Constitution, and it shall be regulated by law made by Parliament in this behalf.
(2) Notwithstanding anything contained in any judgment or order of any court, all the monies collected by the State Governments and the Union territory Administrations which has been placed under the ad hoc Authority and deposited in the nationalised banks and the interest accrued thereon shall stand transferred to the National Fund.
(3) Notwithstanding anything contained in any judgment or any order of any court, the amount credited to the State Fund shall be deemed to be credited and shall always be deemed to have been credited to the public account of the State within the meaning of Articles 266 and 283 of the Constitution, and it shall be regulated by law made by the State Legislature in this behalf.
33. Power of Central Government to issue directions.
33. Power of Central Government to issue directions.—(1) The Central Government may, if it finds necessary or expedient in the public interest, issue such policy directives to the National Authority or any State Authority, in writing and such policy directives shall be binding upon the National Authority or the State Authority, as the case may be.
(2) The decision of the Central Government, whether a question is one of policy or not, shall be final.
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