Para 3.2.3 — CAM

3.2.3 The paying branch is responsible to ensure that at no time the amount assigned in the LoC is exceeded on account of the payment of any electronic payment or cheque issued by the CDDO. Except in respect of the first quarter where allocation on the basis of Vote on Account is involved, the fresh LoC issued after expiry of the period prescribed in the earlier letter of credit shall be treated as an addition to the unspent balance of the earlier letter of credit. The Pay and Accounts Officers while communicating the assignment for the second and subsequent quarters should indicate not only the amount assigned for that quarter, but also the progressive total of assignments upto the end of the quarter. This will enable the bank to ensure that the total cumulative drawals from the beginning of the year do not exceed the total progressive assignments. The unspent assignment of the last quarter of the financial year is not to be carried forward to the next year.