Custody of cantonment fund and cantonment development fund
Section 120 of the Cantonments Act, 2006 deals with custody of cantonment fund and cantonment development fund. The cantonment fund and the cantonment development fund shall be kept in separate accounts which shall be maintained in State Bank of India or any of its subsidiary banks or any nationalised bank or any scheduled commercial bank having its branch either in the cantonment or in the municipal area adj The Act came into force on 18 Dec 2006.
(1) The cantonment fund and the cantonment development fund shall be kept in separate accounts which shall be maintained in State Bank of India or any of its subsidiary banks or any nationalised bank or any scheduled commercial bank having its branch either in the cantonment or in the municipal area adjoining the cantonment.
Explanation.--In this section,--
(i) "nationalised bank" means corresponding new bank specified in the First Schedule to the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 (5 of 1970) or the Banking Companies (Acquisition and Transfer of Undertakings) Act,1980 (40 of 1980);
(ii) "State Bank of India" means the State Bank of India constituted under the State Bank of India Act, 1955 (23 of 1955);
(iii) "subsidiary bank" means a subsidiary bank as defined in the State Bank of India (Subsidiary Banks) Act, 1959 (38 of 1959).
(2) The Chief Executive Officer may with the previous sanction of the President Cantonment Board may invest any portion of cantonment fund or cantonment development fund in securities of Central Government or in such securities, including fixed deposits in banks in the best interest of the Board and may dispose of such investments or vary them for others of a like nature.
(3) The income resulting from any fixed deposit or from any such securities as is referred to in sub-section (2) or from the proceeds of the sale of any such security shall be credited to the cantonment fund or, as the case may be, the cantonment development fund.
(4) Every action taken under sub-sections (2) and (3) may be subsequently brought to the next meeting of the Board.
Section 120, The Cantonments Act, 2006 (Act 41 of 2006).
Questions about Section 120
What does Section 120 of the Cantonments Act deal with?
Section 120 of the Cantonments Act is headed "Custody of cantonment fund and cantonment development fund". The cantonment fund and the cantonment development fund shall be kept in separate accounts which shall be maintained in State Bank of India or any of its subsidiary banks or any nationalised bank or any scheduled commercial bank having its branch either in the cantonment or in the municipal area adj
How do I find court cases under Section 120 of the Cantonments Act?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Cantonments Act 2006 120, section 120 Cantonments Act 2006, section 120 of the Cantonments Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome.
When did Section 120 of the Cantonments Act come into force?
Section 120 of the Cantonments Act, cited as Cantonments Act 2006 120, came into force on 18 Dec 2006, having been enacted on 13 Sep 2006. It is in force as at the date shown on this page.
Other sections of this Act
- 2. Definitions2106 words
- 348. Power to make bye-laws1392 words
- 30. Interpretation1175 words
- 289. Penalty for causing nuisances993 words
- 283. Powers of entry and seizure755 words
- 64. Discretionary functions of Board736 words
Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 20 Oct 2026. This page is not a substitute for legal advice.