Establishment of the Fund
(1) For the purposes of this Act there is hereby established a fund (in this Act referred to as “the Fund”) to be administered and controlled by the Majlis.
(2) The Fund shall consist of—
(a) such sums as may be provided from time to time for that purpose by Parliament;
(b) such sums as may be allocated from time to time to the Majlis from loan funds;
(c) all sums from time to time received by or falling due to the Majlis in respect of the repayment of any loan made by the Majlis and the interest payable in respect of any such loan;
(d) moneys earned by the operation of any project, scheme or enterprise financed from the Fund;
(e) moneys earned or arising from any property, investments, mortgages, charges or debentures acquired by or vested in the Majlis;
(f) any property, investments, mortgages, charges or debentures acquired by or vested in the Majlis;
(g) sums borrowed by the Majlis for the purpose of meeting any of its obligations or discharging any of its duties; and
(h) all other sums or property which may in any manner become payable to or vested in the Majlis in respect of any matter incidental to its powers and duties.
(3) In this section the expression “loan funds” means such sums as may be made available from time to time to the Government by way of loan.
Balancing of revenue account
It shall be the duty of the Majlis to conserve the Fund by so exercising and performing its functions and duties under this Act as to secure that the total revenues of the Majlis are sufficient to meet all sums properly chargeable to its revenue account, including, without prejudice to the generality of that expression, provisions in respect of its obligations under sections 13 and 15 and depreciation and interest on capital, taking one year with another.
Reserve fund
(1) The Majlis shall establish and manage a reserve fund.
(2) The payment into and out of the reserve fund shall be determined by the Majlis:
Provided that no part of the reserve fund shall be applied otherwise than for the purposes of the Majlis.
Expenses to be charged on the Fund
The Fund shall be expended for the purposes of—
(a) paying all expenses incurred under sections 22 and 23;
(b) granting loans under section 24;
(c) paying any expenses lawfully incurred by the Majlis, including survey, legal and other fees and costs, and the remuneration of officers and servants appointed and employed by the Majlis, including superannuation allowances, pensions or gratuities;
(d) paying any other expenses, cost or expenditure properly incurred or accepted by the Majlis in the execution of its duty or in the discharge of its functions under section 6;
(e) purchasing or hiring plant, equipment, machinery, stores and any other materials and acquiring land and erecting buildings and carrying out any other works and undertakings in the execution of its duty or in the discharge of its functions under section 6, in contemplation of loans to be made for those purposes under section 24, so, however, that any sums expended by the Majlis under this paragraph shall be set off against the loans in contemplation of which they were expended upon the actual making of such loans.
Expenditure and preparation of Estimates
(1) The expenses of the Majlis up to such amount as may be authorized by the Minister for any one year shall be defrayed out of the Fund.
(2) Before the beginning of September of each year the Majlis shall submit to the Minister an estimate of the expenses (including those for development projects) for the following year in such form and containing such particulars as the Minister may require; and the Minister shall before the beginning of that following year notify the Majlis of the amount authorized for expenses generally or of the amounts authorized for each description of expenditure.
(3) The Majlis may at any time submit to the Minister a supplementary estimate for any one year and the Minister may allow the whole or any part of the additional expenditure included therein.
Accounts and audit
(1) The Majlis shall keep proper accounts and other records in respect of its operation and shall prepare statements of accounts in respect of each financial year.
(2) The accounts of the Majlis shall be audited annually by the Auditor General or other auditor appointed by the Majlis with the approval of the Minister.
(3) After the end of each financial year, and as soon as the accounts of the Majlis have been audited, the Majlis shall cause a copy of the statement of accounts to be transmitted to the Minister, together with a copy of any observations made by the Auditor General or other auditor appointed under subsection (2) on any statement or on the accounts of the Majlis.
(4) The Minister shall cause a copy of every such statement and observations to be laid before each House of Parliament.
Annual report
(1) The Majlis shall not later than 30 June of each year, cause to be made and transmitted to the Minister a report dealing with the activities of the Majlis during the preceding year and containing such information relating to the proceedings and policy of the Majlis as the Minister may from time to time require.
(2) The Minister shall cause a copy of every such report to be laid before each House of Parliament.
Source: Laws of Malaysia, Attorney General's Chambers of Malaysia (lom.agc.gov.my). Not a copy of the Gazette printed by the Government Printer (Interpretation Acts 1948 and 1967, s 61).
