Receipts and Payments
363. Municipalities are ordinarily obliged to place their funds in the Treasury, or in the Bank at places where the cash business of the Treasury, is conducted by an office, branch or agency of the Bank.
364. The account of a local fund at the Treasury is a pure banking account, money being paid in and drawn out without specification of the nature of receipt or expenditure.
NOTEThis rule does not apply if the charges of any local fund are under any special orders, drawn from the Treasury on detailed bills in which case the gross amount will be charged by the Treasury Officer, in the accounts the deductions on account of income-tax, fund subscription etc. being credited by transfer in distinct entries.
365. No local fund is allowed to overdraw the balance at its credits, without obtaining beforehand a loan or contribution to cover the overdraft from the Government.
366. Service stamps may not be used by a local fund officer or any Government servant acting in a capacity connected with each local fund such as president or secretary of a local fund committee, but service labels may be used on the correspondences of a Government servant acting as such even though the correspondence may relate to the affairs of a local fund.
NOTETelegraphic messages, the charges for which are to be borne by local funds, should be classed as private and not as State.