Para 19.5 — CAM

19.5 BUDGETARY AND ACCOUNTING ARRANGEMENTS CONSEQUENT UPON REORGANIZATION OF MINISTRIES

19.5.1 An amendment to the Government of India (Allocation of Business) Rules, 1961, may involve transfer of some items of work as well as offices/departments dealing with them from one Ministry/Department of the Government of India to another. This may require special arrangements for provisioning of funds and operation of certain sub-heads under the Demand for Grants pertaining to former or the transferor Ministry/Department by the latter or the transferee Ministry/Department. In such cases, the Ministry of Finance would be required to issue necessary sanction for permitting the transferee Ministry/ Department to operate the provisions under the Demand for Grants of transferor Ministry/Department. – Hereafter, this type of case has been referred as Type `A'. Alternatively, the transferee Ministry/Department will take action to obtain supplementary budget allocation under its own DG wherever possible, and the transferor Ministry/Department will surrender the budget available with them - this type has been referred to as Type `B' hereafter.

19.5.2 Instructions pertaining to payment and accounting procedure to be followed in such cases are prescribed below:

General (applicable to both types `A' and `B')

(a) There is a need to avoid dislocation of work that might otherwise be caused due reorganization of Ministries/Departments and sudden switch over. Hence, the transfer of payment and accounting work in the office of the PAO (Transferee) in such cases, will be commenced from the 1st of the month following the date of Presidential Notification and on receipt of the sanction of the Ministry of Finance (DEA referred to above).

(b) The Transferor PAO will furnish a statement to the Transferee PAO, indicating -

(i) The provisions in the existing Demand for Grants against relevant sub-heads, plus supplementary grant if any obtained for the purpose, and break up thereof, if any, among various DDOs as authorized by the Grant Controlling Authority;

(ii) The expenditure booked by him against the respective heads u to the end of the month for which accounts are compiled, plus the amounts for the subsequent month posted in his Expenditure Control Register;

(iii) He will subsequently indicate the actual figure booked by him up to the month for which he was responsible for payment and accounting, as soon as compilation for the last month is finished; and

(iv) If any debits pertaining to the Transferred DDOs are received later, they will be duly forwarded by him to the Transferee PAO for necessary action, under intimation to the accounts authorities from whom the debits originated.

What This Means

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Key Points

• 1Reorganization of Ministries may require transferring budget provisions from one Demand for Grants to another
• 2The Ministry of Finance coordinates transitional budgetary and accounting arrangements
• 3Re-appropriation of funds and transfer of balances must be handled systematically
• 4PAOs must ensure continuity of accounting records during and after the transition
• 5Special instructions are issued for each reorganization case to avoid disruption of government operations

Practical Example

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Frequently Asked Questions

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.