No act or proceedings of the Managing Committee of a Farmers' Organisation shall be invalid by reason only of the existence of any vacancy in, or defect in the constitution of the said Committee.
39. Deposit and administration of the funds - (1) The Farmers' Organisation shall keep their funds in a Nationalised Bank or a Co-operative Bank or a Post Office.
Explanation: - Co-operative Bank means a Primary Agricultural Co-operative Society or the District Central Co-operative Bank or the Rajasthan State Cooperative Bank.
(2) The funds shall be applied towards meeting of the expenses incurred by the Managing Committee of the concerned Farmers' Organisation in the administration of this Act and for no other purpose.
40. Sinking Fund - (1) The managing Committee of the Farmers' Organisation shall maintain a sinking fund for the repayment of moneys borrowed and shall pay every year into the sinking fund such sum as may be sufficient for repayment within the period fixed of all moneys so borrowed.
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(2) The sinking fund or any part thereof shall be applied in or towards, the discharge of the loan for which such fund was created and until such loan is wholly discharged, it shall not be applied for any other purpose.
41. Budget - In every financial year, the Managing Committee of a Farmers' Organisation shall prepare a budget in respect of the next financial year, showing the estimated receipts and expenditure of the committee and shall place before the General Body of the Farmers' Organisation for its approval in the manner, as may be prescribed.
42. Protection of acts done in good faith - No suit, prosecution or other legal proceedings shall be instituted against any person for anything which is in good faith done or intended to be done under this Act or under the rules made thereunder.
43. Power to remove difficulties - If any difficulty arises in giving effect to the provisions of this Act or as to the first constitution or reconstitution of any Farmers' Organisation after the commencement of this Act, the Government, as the occasion may require, by order published in the Official Gazette, make such provisions or take such measures not in consistent with any provisions of this Act as appears to it to be necessary for removing such difficulty :
Provided that no such order shall be made after the expiry of three years from the date of commencement of this Act.
44. Merger of Societies - All the Societies registered under the Rajasthan Societies Registration Act, 1958 (Act No. 28 of 1958) or the Rajasthan Cooperative Societies Act, 1965 (Act No. 13 of 1965) prior to the commencement of this Act for purposes of carrying out the functions for Participatory Irrigation Management shall cease to exist and shall stand merged with Water Users' Association having the same area of operation with effect from the date, the Managing Committee of the Water Users' Association is formed in accordance with section 5 of this Act.
45. Dissolution of Managing Committee of a Farmers' Organisation - In case of any embezzlement, fraud, abuse of powers and functions or any other act on the part of Managing Committee of a Farmers' Organisation in contravention of the provisions of this Act, the Competent Authority of the project area shall have power to dissolve the Managing Committee and to make transitional arrangements to carry out the functions of the Farmers' Organisation provided that in case of such dissolution the Managing Committee shall be re-constituted within a period of three months from the date of dissolution.
46. Savings - (1) Nothing contained in this Act shall affect the rights of or properties vested in, Panchayati Raj Institutions and Municipalities under any law for the time being in force.
(2) Nothing contained in this Act shall apply to the minor water bodies in the Scheduled Areas declared by the President of India under Part C of the Fifth Schedule of the Constitution of India, in the State of Rajasthan.
(3) All lawful acts performed/decisions taken, as well as any assets and liabilities created by Water Users' Association registered under the Rajasthan Societies 16 Registration Act, 1958 (Act No.28 of 1958) or the Rajasthan Co-operative Societies Act, 1965 (Act No. 13 of 1965) prior to commencement of this Act, shall be deemed to have been performed/taken or created by the Water Users' Association formed under section 4 of this Act for the respective area.
(4) The operation and maintenance of the main canal, its branches and larger distributaries of major and medium projects shall continue to be the responsibility of the Irrigation/Command Area Development Department.
47. Power to make rules - (1) The State Government may, by notification in the Official Gazette, make rules for carrying out the purposes of this Act .
(2) All rules made under this Act shall be laid, as soon as may be after they are so made, before the House of the State Legislature, while it is in session, for a period of not less than fourteen days which may be comprised in one session or in two successive session and if before the expiry of the session in which they are so laid or of the session immediately following, the House of the State Legislature makes any modification if any of such rules or resolves that any such rules should not be made, such rules shall thereafter have effect only in such modified form or be of no effect, as the case may be, so however, that any such modification or annulment shall be without prejudice to the validity of anything previously done thereunder.
48. Repeal and Savings - (1) The Rajasthan Farmers' Participation in Management of Irrigation Systems Ordinance, 2000 (Ordinance No. 5 of 2000) is hereby repealed.
(2) Notwithstanding such repeal, all actions taken or orders made under the said Ordinance shall be deemed to have been taken or made under this Act.
Harbans Lal, Secretary to the Government.