Rule 42 — GAR

42. Inter-departmental adjustments For purposes of inter-departmental payments, the departments of a Government shall be divided into service departments and commercial departments according to the following principles. A. Service Departments: These are constituted for the discharge of those functions which either

(a) are inseparable from, and form part of the idea of Govt. or

(b) are necessary to, and form part of the general conduct of the business of Government. Examples of category

(a) are: the departments of Administration of Justice, Defence, Jails, Medical, Police, Public Health, Education, Forest. Examples of category

(b) are: the departments of Survey of India, Printing and Stationery, Public Works (Building and Roads Branch), Central Purchase Organisation under Director General of Supplies and Disposal, New Delhi. B. Commerical Departments or Undertakings: These are constituted mainly for purposes of rendering services or providing supplies, of certain special kinds, on payment for the services rendered or for the articles supplied. They perform functions which are not necessarily Government functions. They are required to work to a financial result determined through account maintained on commercial principles. NOTE:- Government shall specify whether a particular department or particular activities of a department shall be regarded as commercial department or undertaking.