(1) The money from time to time credited to the Corporation Fund, shall be applied in payment of all sums, charges of cost necessary for carrying out the provisions of this Act and of the rules, regulations and bye-laws made thereunder or of which payment is duly directed, sanctioned or required by or under any of the provisions of this Act, and in payment of such sum as may be required to meet the establishment charges and the salary, allowances, provident fund, and gratuity of the member of municipal services :
Provided that the total expenditure on establishment shall not exceed one third of the total expenditure of the Corporation.
(2) The moneys referred to in sub-section (1) shall likewise be applied in payment of all sums payable out of the Corporation Fund under any other enactment for the time being in force :
Provided that an amount allotted to the Corporation by the Central or State Government or any other person or local authority for any specific work or purpose shall be utilised exclusively for such work or purpose and in accordance with such instructions as the Government may either generally or specially issue in this behalf.
(3) Notwithstanding anything contained in this Act, the moneys referred to in sub-section (1) may also be applied in payment of all sums, charges and cost on all acts and things which are likely to promote the safety, health, welfare, or convenience of the inhabitants or expenditure whereof may be declared by the Corporation with the sanction of the Government to be an appropriate charge on the Corporation Fund.