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Question

Which of the following statements about the urban local bodies is not correct ?

A There is acute shortage of funds
B The recommendations of State Finance Commission are binding on the respective state government
C 74th constitutional amendment Act grants substantial financial authority to the Municipal bodies to mobilise their own resources
D Article 243 Z of the constitution provides for the mandatory audit of the accounts of the urban local bodies

Answer & Explanation

Answer: The recommendations of State Finance Commission are binding on the respective state government

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