Section 25 of The Export-Import Bank of India Act, 1981
Saving.
Save as otherwise provided in sub-section (4) of section 19, nothing contained in this Chapter shall apply to the Export Development Fund.
Summary
- This provision clarifies that the general rules for the bank's accounts and audit do not apply to the Export Development Fund.
- The Export Development Fund is a separate fund with its own specific set of rules.
- There is one major exception found in Section 19 of the Act.
- According to that exception, certain specific audit procedures from the general chapter must still be followed for the Export Development Fund.
Practical examples
FAQ
1. Does this mean the Export Development Fund is never audited?
No, it is still audited, but it follows the specific audit rules mentioned in Section 19 rather than the general ones in Chapter VII.
2. Why is this section called a saving provision?
In law, a saving provision protects certain items or funds from being affected by a general set of rules.
3. Who decided that these two funds should be treated differently?
The Indian Parliament decided this when they wrote the Act to keep the special Export Development Fund separate from the bank's general money.
Test yourself
Q1.Under Section 25 of The Export-Import Bank of India Act, 1981, which specific part of the Act contains the only rules that can apply general audit procedures to the Export Development Fund?
Q2.Under Section 25 of The Export-Import Bank of India Act, 1981, do the rules for the General Fund apply to the Export Development Fund?
Q3.If an auditor is performing a task under Section 24 of The Export-Import Bank of India Act, 1981, how does Section 25 affect their work on the Export Development Fund?
Q4.Under The Export-Import Bank of India Act, 1981, why does Section 25 exist?