Chapter III - Local Committee

Section 8: Grants and audit

Provides the funding and audit framework for Local Committees through Government grants and the designated agency.

Act No. 14 of 2013Authority: Central or State Government and designated agencyData reviewed on 17 July 2026

In 2 minutes

Provides the funding and audit framework for Local Committees through Government grants and the designated agency.

Statutory text

8. Grants and audit.—(1) The Central Government may, after due appropriation made by Parliament by law in this behalf, make to the State Government grants of such sums of money as the Central 1. Subs. by Act 23 of 2016, s. 3 and the Second Schedule, for “Internal Complaints Committee” (w.e.f. 6-5-2016). 2. Subs. by s. 3 and the Second Schedule, ibid., for “Local Complaints Committee” (w.e.f. 6-5-2016). Government my think fit, for being utilised for the payment of fees or allowances referred to in sub- section (4) of section 7. (2) The State Government may set up an agency and transfer the grants made under sub-section (1) to that agency. (3) The agency shall pay to the District Officer, such sums as may be required for the payment of fees or allowances referred to in sub-section (4) of section 7. (4) The accounts of the agency referred to in sub-section (2) shall be maintained and audited in such manner as may, in consultation with the Accountant General of the State, be prescribed and the person holding the custody of the accounts of the agency shall furnish, to the State Government, before such date, as may be prescribed, its audited copy of accounts together with auditors’ report thereon.

Source transcription: India Code consolidated Act PDF. Check the official source for a live matter.

Rule, authority, record and consequence map

Related Central Rule	Rule 5: Fees or allowances for Chairperson and members of Local Committee
Primary authority	Central or State Government and designated agency
Core record	Grant, allowance and audit records
Compliance consequence	Funding and accounting failures can impair Local Committee functioning and attract audit scrutiny.

Practical example

The District Officer should maintain auditable records of allowances and expenditure funded for Local Committee proceedings.

Finin2min Q&A

What should an employer or committee do first?

Create the record identified above, check the linked Rule and preserve a dated decision trail. Do not replace the statutory process with an informal HR discussion where the Act applies.

What needs jurisdiction-specific checking?

State rules and notifications, District Officer and Local Committee details, service rules, standing orders, appellate forum and any sector regulator requirements.

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