No act or proceedings of the Authority shall be questioned or shall be invalidated merely on the ground of existence of any vacancy or defect in the constitution of the Authority.
9. Road Safety Commissioner: The Transport Commissioner shall be the exofficio Road Safety Commissioner for the purpose of this Act.
10. Levy and collection of cess: (1) There shall be levied and collected one-time cess for the purposes of this Act on every motor vehicle used or kept use in the State at the rate of 0.50% of the basic cost of the vehicle.
Provided that no such cess shall be levied on amotor vehicle kept by dealer or manufacturer of such vehicle forthe purpose oftrade:
Provided further that if the Government are of opinion that it is necessary in the public interest so to do, they may, by notificationin the Gazette, make an exemption in regard to cess payable under this Act in respect of any motor vehicle or class of motor vehicles.
(2) Every cess leviable under sub-section (1) shall be payable by the registered owner or any person having possession or control of the motor vehicle, as the case may be.
(3) The cess levied under sub-section (1) shall be collected by the taxation officer appointed under theNagaland Motor Vehicles Taxation Act, 1967 or in such manner and at such time as may be prescribed.
(4) The Government may, by notification in the Gazette, direct that for the purpose of collection of cess, the provisions of the Nagaland Motor Vehicles Taxation.
Act, 1967 shall apply, subject to such modification as may be specified in the mtilication
(5) where any person who is liable to pay the cess in respect of amotor vehicle fails to pay the cess within the time prescribed under sub-section (3), such person shall, for the default of each year, in addition to the cess, pay an amount of fme equal to ten percent of the cess due.
(6) The proceeds of the cess levied and collected under this Act by the Government togetherwith hes , interest and fees recovered thereunder shall first be credited to the Consolidated Fund of the State and after deducting the expenses of collection and recovery, as determined by the Government, the remaining amount shall, under appropriation duly made by law in this behalf, be entered into andtransferred to the Fund.
(7) Any amount transferred to the Fund shall be charge on the Consolidated Fund of the State.
11. Establishment of the Fund. (1)After the constitution oftheAuthority, within one year, there shall be establishment a Fund to be called the" Nagaland Road Safety Fund".
(2) There shall be credited to Fund.-
1. The amount transferredunder sub-section (6) of section 10;
2. Grants, loans or advances made by the Government.
3. Grants, loans or advances made by the Government of India;
4. Contributions fiom public or private jnstitutions or organizations;
5. Compounding fee collected under section 28.
(3) The Government shall contribution to the Fund every year, an amount equal to fifty percent of the compounding fee collected in the previous year under section200 of the Motor vehicles Act, 1988 (CentralAct 59 of 1988).
12. Vesting and administration of the Fund. (I) The Fund shall vest in and be administered by the Authority constituted under section 3.
(2) TheAuthority shall administer the Fund vested in it suchmanner, asmay be prescribed.
(3) All amounts formingpart ofthe Fund shall be deposited in the State Bank of India as may be decided by the Authority and the account shall be operated by the Chairman of the Executive Committee and the Chief Ejtecutive 085cer of the Authority jointly in such manner, as the Authority may decide.