Municipality is empowered by law to function as selfGovernment and impose taxes as envisaged in the West Bengal Municipal Act, 1993 to generate their own funds. Further, in terms of Section 56(2) of the West Bengal Municipal Act, 1993, the Municipality may provide for pension, gratuity, provident fund, incentive, bonus, reward or penalty for its officers and employees in accordance with such rules, norms, scales and conditions as may be prescribed. Thus, the scheme of the Act appears not to put any unfettered obligation upon the State for payment of pension and gratuity to any retired employee of the Municipality. Further, the State has placed on record that as per the administrative arrangement, the State Government is granting fund for the purpose of payment of 40% of the pensionary amount and the rest 60% of the pensionary amount will have to be paid by the Municipality from their own funds and so far as gratuity is concerned, the Municipality have to bear the entire responsibility regarding payment thereof.