(1)There shall be a Fund constituted by the State Government to be called the Development Fund, to be utilised for—
(a) meeting emergency preparedness;
(b) meeting containment of pollution caused by discharge of oil, mixtures, obnoxious substances, chemicals and other noxious and harmful substances, to preserve and protect inland waters;
(c) supporting, part or whole of expenses of owners or economically backward sector involved in activities of trade and living depending solely on inland waters;
(d) removal of unidentified wreck or obstruction affecting and impeding navigation; and
(e) boosting up development works of inland water navigation with respect to safety and convenience of conveyance.
(2) For the purposes of constitution of the Development Fund under sub-section (1), endeavour shall be made to design schemes of contribution from—
(a) the State Government;
(b) stake holders;
(c) the amount collected from sale of wreck or cargo or remains thereof after deducting the expenses incurred;
(d) excess fund out of judicial sale of vessels or any property or cargo after meeting the expenses incurred or set-off against the court to meet damages or functioning of the court or administrative machinery; and
(e) part or proportionate disbursement of fees collected by the respective State Government as provided in this Chapter.