Section 14: Permanent reserve to cover recurring charges.

The University shall invest, and keep invested, in securities in which trust funds may be invested, in accordance with the provisions of the law relating to trusts in India, a sum of forty-five lakhs of rupees as a permanent endowment to meet the recurring charges of the University other than charges in respect of scholarships, prizes and rewards:

Provided that—

(1) any Government securities, as defined by the Indian Securities Act, 1920 which may be held by the University shall, for the purpose of this section, be reckoned at their face-value, and

(2) the aforesaid sum of forty-five lakhs shall be reduced by such sum as, at the commencement of the Banaras Hindu University (Amendment) Act, 1966 (52 of 1966) the Central Government shall, by order in writing, declare to be the total capitalised value, for the purposes of this section—

(a) of all permanent recurring grants of money which have been made to the University by any Ruler of any Indian State and

(b) of the total income accruing from immovable property which has been transferred to the University.