Section 40
Local Authority Fund and Local Treasury
of Local Authorities Ordinance, 1996
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All moneys received by a local authority on its own behalf by virtue of this or any other written laws shall constitute a fund which shall be called the Local Authority Fund, and shall be administered from an office which shall be called the Local Treasury, and shall, together with all property which becomes vested in the local authority, be under the direction and control of the local authority subject to this Ordinance.
40
(2)
All orders or cheques against the said Fund shall be signed by two officers authorized in writing by the local authority.
(3)
Any such moneys may be invested in any securities in which trustees are empowered under Trustee Act 1949 [Act 208] to invest or in such other manner as authorized by the Minister.
(4)
Notwithstanding subsection (1), the Minister may direct that all moneys received by a local authority shall be lodged on current or deposit account with one or more banks or financial institutions licensed under the Banking and Financial Institutions Act 1989 [Act 372], as may be approved by the State financial authority.