Question

Who controls the consolidated fund of the state?

• A. The Chief Minister of the State
• B. The Governor of the State
• C. The Finance Minister of the State
• D. The Legislative Assembly

Answer 1

Answer: (B)

The Governor of the State

Under Article 266 (1) of the Constitution of India, a Consolidated Fund of State (a separate fund for each state) has been established. The Consolidated Fund receives all state government revenues as well as all loans raised by the issue of treasury bills. It also receives internal and external loans and all money received by the State Government in repayment of loans.