(1) In granting or sanctioning a loan, the State Government may prescribe any fu:ther conditions not inconsistent with the Act, and wit4 these rules, as it :nay think fit.
(2) In particular and without prejudice to the generality of sub- rule
(i), the followingconditions shall be prescribed, namely:-
(1)In the case of every loan, the state 30vemment shall determine and the Panchayat shall pay the cost :- -_,
(a) of any inquiry made under rule 5; \!
_ 1
(b) of inspections made and other measures of control taken under rule 13; and
(c) of any other proceeding taken by order of the State Government under these rules. -
(ii) In the case of every loan, the Panchayat shall furnish-to the Accountant General, Madhya Pradesh and to the State Government any information which they may require regarding its funds and regarding the expenditure of the loan.
(PR)586 PAlv-. LOANS FROM GOVT. OR FIN. INSTl. RULES, 1999 R.13 I I I I II ,!
(iii)In the case ofGovernment loan, the Government if it considers that the Panchayat has failed to complywith any of the conditions prescribed in respect of the loan or"with any of the requirements of these rules, may at any time order that no further payments shall be made on account of such loan, and that any amount advanced with interest thereon shall berepaid immediately.
(iv) In the case of loan raised from any other authority or financial institution constituted under any law for the time being in force and which is in receipt of a grant by.the State Government the Panchayat shall not, without the previous approval of the State Government, vary the dates within which raising of the loan or of the first installment of it, has been sanctioned and that, if the loan is raised by installments, the Panchayat shall report, for the prior approval of the Government, the dates Within which each further installment is to be raised. If the loan is misapplied the State Government may order that the loan with interest shall be repaidimmediately.