Section 101. Custody and investment of fund

101. (1) the Zila Nidhi or Kshettra Nidhi shall be kept in the Government treasury be sub-treasury or in the bank to which the Government treasury business has been made over or with the previous sanction of State Government in one or more of the Scheduled Banks or Co-operative Banks specified by it in this behalf. (2) In places where there is no such treasury or bank, the Zila Nidhi or the Kshettra Nidhi may be kept with a banker, or person acting as a banker who has given security for the safe custody and re-payment on demand of the fund so kept as the State Government may in each case think sufficient. (3) Nothing in the foregoing provisions of this section shall be deemed to preclude a 1[Zila Panchayat] or 1[Kshettra Panchayat] from investing, with the previous sanction of the State Government, in any of the securities described in section 20 of the Indian Trusts Act, 1882, or placing on fixed deposit with the State Bank of India or with any other authority or institution any portion of its fund which is not required for immediate expenditure.