The Kerala Road Safety fund is established under Section 11 of Kerala Road Safety Authority Act. Following are the sources of the fund.
(a) the amount transferred under sub section (6) of section 10;
(b) grants, loans or advances made by the Government:
(c) grants, loans or advances made by the Government of India;
(d) contributions from public or private institutions or organizations;
(e) compounding fee collected under section 28.
The Government shall contribute to the Fund every year, an amount equal to fifty percent of the compounding fee collected in the previous year under section 200 of the Motor Vehicles Act, 1988 (Central Act 59 of 1988).
As per GO (Rt) No. 7341/08/Fin dated 05-09-2008 a separate head of account was opened for accounting receipts under Compounding fee as shown in Column No.(2) below under the existing head(s) of account shown in column No.(1).
|MH-0041-Taxes on vehicles MH-102 Receipt under the State Motor Vehicles Taxation Act||SH-97 compounding fee under Section 200 of Motor Vehicles Act 1988 (Central Act 59 of 1988)|
Section 12(3) of the Kerala Road Safety Authority Act 2007 stipulates that all amounts forming part of the Fund shall be deposited in the SBT or any Nationalized Bank, as may be decided by the Authority and the account shall be operated by the chairman of the Executive Committee and the Chief Executive Officer of the authority jointly in such manner as the Authority may decide. As such, as per G.O(Rt) No. 4840/08/Fin dated 30-05-2008 sanction was accorded for opening a Bank Account in the joint account of the Chairman of the Executive Committee and Chief Executive Officer of Kerala Road Safety Authority in SBT, Vazhuthacaud, Thiruvananthapuram. Accordingly an account in the name of Kerala Safety Authority with Account No. 6706068838 has been opened with SBT, Vazhuthacaud .24,41,00000/- was received from Government. . 16,55,16,588/- was collected as cess up to 31.03.2009.