Flouting Financial Code

20/05/2019

Creating immense difficulties for the Government, executing agencies and Drawing and Disbursing Officers (DDOs) have been flouting Jammu and Kashmir Financial Code right under the nose of Administrative Secretaries and Heads of the Departments while incurring expenditure out of the public exchequer.The prevailing situation has invited sharp criticism from the Principal Secretary to Government Finance Department, who has once again laid stress on ensuring financial discipline in all the departments by issuing fresh instructions. Rule 9.3 of the Jammu and Kashmir Financial Code stipulates that no work should be commenced or any liability incurred until administrative approval has been obtained from the competent authority; sanction either special or general of the competent authority has been obtained authorising expenditure; a proper detailed design and estimate has been sanctioned and funds to cover the charge during the year have been provided by the competent authority. Moreover, any work for which expenditure is to be incurred should figure in the approved works programme of the department for the year and Rule 9.3 of the Financial Code also lays down the timelines for various authorities within which administrative approval has to be accorded.
Maximum time available for administrative approval is a month and the powers vested with various authorities for accord of administrative approval and technical sanction have clearly been defined in the Book of Financial Powers. Even detailed rules/regulations have been laid down in the Financial Code and Public Works Accounts Code regarding purchase of stores and execution of works. If in any case, whether on grounds of urgency or otherwise, an executive officer is required by superior authority to carry out work or incur a liability which involves an infringement of these fundamental rules, the orders of such authority should be conveyed in writing and on receipt of such written orders or in case of emergency, on his own responsibility, the officer may proceed to carry out the necessary work subject to the condition that he immediately intimates to the Accountant General concerned that he is incurring an authorised liability and states approximately the amount of liability which is likely to incur. Tenders are being invited without administrative approval and without specifying availability of funds which is unacceptable and since adherence to the codal procedures is imperative to ensure propriety in spending, all the DDOs are once again impressed upon to ensure adherence to the laid down procedures before incurring expenditure.

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