Report No. 17
30. Section 20.-
The securities mentioned in the existing section have become outmoded. We, therefore, suggest that the existing Government securities and public securities may be included in the section.1 In this connection section 35 of the Bombay Public Trusts Act, 1950 may be generally kept in view. It is better not to enumerate particular securities but to give a general definition of all categories of securities which are in vogue in the market. The securities which have become obsolete may be omitted.
1. See also the discussion in para. 10, supra.
31. The provision in clause (f), enabling the High Court to prescribe the other valid securities, should be omitted with a view to obtaining uniformity. Besides, it may not be possible for the High Court to determine easily which are safe investments and which are not.
Deposit of money in the State Bank of India or its subsidiaries should also be allowed.