(1) Parliament may by law establish a
Contingency Fund in the nature of an imprest to be entitled “the Contingency
Fund of India” into which shall be paid from time to time such sums as may be
determined by such law, and the said Fund shall be placed at the disposal of the
President to enable advances to be made by him out of such Fund for the
purposes of meeting unforeseen expenditure pending authorisation of such
expenditure by Parliament by law under article 115 or article 116.
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1 Subs. by the Constitution (Seventh Amendment) Act, 1956, s. 29 and Sch., for art. 264
(w.e.f. 1-11-1956).
153 THE CONSTITUTION OF INDIA
(2) The Legislature of a State may by law establish a Contingency Fund in
the nature of an imprest to be entitled “the Contingency Fund of the State” into
which shall be paid from time to time such sums as may be determined by such
law, and the said Fund shall be placed at the disposal of the Governor 1*** of the
State to enable advances to be made by him out of such Fund for the purposes of
meeting unforeseen expenditure pending authorisation of such expenditure by the
Legislature of the State by law under article 205 or article 206.
Distribution of Revenues between the Union and the States
Source: Constitution of India, Legislative Department, Government of India. Reproduced under Section 52(1)(q), Copyright Act 1957.