Section 12. Delimitation of constituencies

12. Delimitation of constituencies. — The Delimitation of Parliamentary and Assembly Constituencies (Madras) Order, 1951[1] and the Delimitation of Parliamentary and Assembly Constituencies (Mysore) Order, 1951[2] shall, until other provision is made by law, have effect subject to the modifications directed by the Second Schedule. 12. (1) The public debt of the State of Madras attributable to loans raised by the issue of Government securities which are outstanding with the public immediately before the appointed day shall as from such day be the debt of the State of Madras; and the States of Andhra and Mysore shall be liable to pay to the State of Madras their shares of the sums due from time to time for the servicing and repayment of the debt. For the purpose of determining the said shares, the debt shall be deemed to be apportioned between the States of Madras, Andhra and Mysore as if it were a debt referred to in sub-paragraph (2) of this paragraph, and the shares of the States of Andhra and Mysore shall be determined accordingly: Provided that the liability for any public loan or portion thereof referred to in sub-paragraph (1) of paragraph 2 shall, for the purposes of this sub-paragraph, be deemed to be apportioned between the States of Andhra and Madras in the same proportion as may be fixed under sub-paragraph (1) of paragraph 2 in regard to the allocation of the proceeds of such loan or portion thereof. Explanation .—In this sub-paragraph, the expression "Government securities" has the same meaning as in clause (a) of section 2 of the Indian Securities Act, 1920 (10 of 1920). (2) The remaining public debt of the State of Madras, that is to say, the debt attributable to loans taken from the Central Government, the Reserve Bank of India or any other Bank before the appointed day, shall be apportioned between the States of Madras, Andhra and Mysore in proportion to the total expenditure on all capital works and other capital outlays incurred in the territories of the States of Madras and Andhra and the transferred territory up to the commencement of the appointed day including the terms dealt with in paragraph 9 of this Schedule: Provided that any loan taken from the Central Government before the appointed day in connection with the construction of buildings, roads or other works for the temporary capital of the State of Andhra or for purposes incidental thereto shall to the extent of the expenditure so incurred until that day be wholly the liability of the State of Andhra. (3) For the purposes of the allocation under sub-paragraph (2) of this paragraph, only expenditure on assets for which capital accounts have been kept (excluding the Buckingham Canal and any buildings for which such accounts have been kept) shall be taken into account: Provided that the amount of public debt on account of the expenditure on the Tungabhadra Project referred to in section 66 shall be re allocated on such basis as may be agreed upon between the States concerned, or, if no agreement is entered into within two years from the appointed day, as may be fixed by order of the President. (4) All sinking funds for loans raised before the appointed day by the Government of Madras shall remain with the State of Madras and the net amount of such funds shall be taken into consideration in allocating the dues on account of such loans between the States of Madras, Andhra and Mysore. (5) In order to compensate the State of Andhra finally for its relatively smaller share of buildings, its share in the liability on account of debt to be apportioned between the States of Andhra and Madras under sub-paragraph (2) of this paragraph shall be reduced by 230.4 lakhs of rupees and the share of the State of Madras in such liability shall be correspondingly increased.