Rule 28 - Expenditure Sanctions
Original Rule Text
Rule 28
(1) Provision of funds for sanction. All sanctions to the expenditure shall indicate the details oft the provisions in the relevant grant or appropriation wherefrom such expenditure is to be met.
(2) All proposals for sanction to expenditure, shall indicate whether such expenditure can be met by valid appropriation or re- appropriation.
(3) In cases where it becomes necessary to issue a sanction to expenditure before funds are communicated, the sanction should specify that such expenditure is subjected to funds being communicated in the budget of the year.
Responsibility of Controlling Officer in respect of Budget allocation. The duties and responsibilities of a controlling officer in respect of funds placed at his disposal are to ensure:
() that the expenditure does not exceed the budget allocation. (i)) that the expenditure is incurred for the purpose for which funds have been provided.
(iii) that the expenditure is incurred in public interest.
(iv) that adequate control mechanism is functioning in his department for prevention, detection of errors and irregularities in the financial proceedings of his subordinate offices and to guard against waste and loss of public money,
(1) Date of effect of sanction. Subject to fulfillment of the provisions as contained in the Delegation of Financial Powers Rules, all rules, sanctions or orders shall come into force from the date of issue unless any other date from which they shall come into force is specified therein.
(2) Date of creation to be indicated in sanctions for temporary posts. Orders sanctioning the creation of a temporary post should, in addition to the sanctioned duration, invariably specify the date from which iti is to be created
Powers in regard to certain special matters. Except in pursuance of the general delegation made by, or with the approval of the President, a subordinate authority shall not, without the previous consent of the Finance Ministry, issue an order which-
()) involves any grant of land, or assignment of revenue, or concession, grant, lease or licence of mineral or forest rights, or rights to water, power or any
easement or privilege of such concessions, or
(i) involves relinquishment of revenue in any way
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What This Means
Rule 28 of the General Financial Rules (GFR), 2017, is all about making sure that when you approve spending, you clearly show where the money is coming from. Think of it like this: you can't just say 'spend ₹10,000' without saying which budget (or 'grant' or 'appropriation') that ₹10,000 is allocated from. This rule applies to every single sanction for expenditure within the government. It's a fundamental principle of financial accountability and transparency.
Essentially, whenever a government official with the authority to approve spending does so, they must explicitly state the specific budget head or fund from which the money will be drawn. This ensures that expenditures are properly tracked, that budgets are not overspent, and that there's a clear audit trail. It affects everyone involved in financial management, from the officer initiating the proposal to the final approving authority.
This rule is crucial for maintaining fiscal discipline and preventing unauthorized or unaccounted-for spending. By linking every expenditure sanction to a specific budgetary provision, the government can effectively monitor its financial resources and ensure that funds are used for their intended purposes.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1All expenditure sanctions must specify the source of funds.
- 2The source of funds must be a relevant grant or appropriation.
- 3This rule applies to all levels of government expenditure sanctions.
- 4The rule promotes financial accountability and transparency.
- 5It helps prevent overspending and unauthorized expenditure.
Practical Example
Mr. Sharma, a Section Officer in the Ministry of Rural Development, needs to sanction ₹50,000 for a training program for village-level workers. According to Rule 28, his sanction order cannot simply state '₹50,000 is sanctioned for the training program.' Instead, it must explicitly state something like: '₹50,000 is sanctioned for the training program, to be met from the provision under Grant No. 62, Demand No. 34, Major Head 2501, Sub-Head 01.001.01, Scheme for Capacity Building.' This detailed reference ensures that the expenditure is correctly charged to the appropriate budget head and is auditable.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
What happens if a sanction doesn't specify the source of funds?▼
Does this rule apply to petty expenses as well?▼
What is a 'grant' or 'appropriation' in this context?▼
Who is responsible for ensuring compliance with Rule 28?▼
Where can I find the details of the relevant grant or appropriation?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Test Your Knowledge
Question 1 of 3
According to Rule 28 of GFR 2017, what information MUST be included in all sanctions for expenditure?