(1) The Minister-in-charge of the Finance Department shall review every quarter, the trends in receipts and expenditures in relation to the budget and place the outcome of such reviews before both Houses of the State Legislature.
(2) Whenever there is either a shortfall in revenue or excess of expenditure over the pre-specified levels mentioned in the Fiscal Policy Strategy Statement and the rules, during any period in a financial year, the State Government shall take appropriate measures for increasing revenue and/or for reducing the expenditure, including curtailing of the sums authorised to be paid and applied from and out of the Consolidated Fund of the State under any law so as to provide for the appropriation of such sums :
Provided that, nothing in this sub-section shall apply to the expenditure charged on the Consolidated Fund of the State under clause (3) of article 202 of the Constitution of India or to any other expenditure which is required to be incurred under any agreement or contract, or such other expenditure which cannot be postponed or curtailed.
(3) (a) Except as provided under the first proviso to sub-section (2) of section 5 no deviation in meeting the obligations cast on the State Government under this Act, shall be permissible without approval of the State Legislature.
(b) Where owing to unforeseen circumstances, any deviation is made in meeting the obligations cast on the State Government under this Act, the Minister-in-charge of the Finance Department shall make a statement in both Houses of the State Legislature explaining,-
(i) any deviation in meeting the obligations cast on the State Government under this Act;
(ii) whether such deviation is substantial and relates to the actual or the potential budgetary outcomes; and
(iii) the remedial measures the State Government proposes to take.