Rule 32 - Sanction Validity | KartavyaDesk
Original Rule Text
Rule32 tenders have been accepted (in the case of local or direct purchase of stores) or the indent has been placed (in the case of Central Purchases) on the Central Purchase Organization within the period of one year of the date of issue of that sanction, even if the actual payment in whole or in part has not been made during the said period.
What This Means
Rule 32 of the General Financial Rules (GFR), 2017, essentially sets a time limit for using a financial sanction. Think of a financial sanction as an approval to spend money. This rule states that if you've been given the green light to buy something, you generally have one year from the date that sanction was issued to either accept a tender (if you're buying directly) or place an order with a central purchasing organization (like the Government e-Marketplace, or GeM).
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- •Financial sanctions are valid for one year from the date of issue.
- •Within that year, a tender must be accepted for local or direct purchases.
- •For central purchases, an indent (order) must be placed with the central purchasing organization within one year.
- •The rule applies regardless of whether the full payment has been made within the one-year period.
- •This rule ensures timely execution of approved expenditures.
Practical Example
The Ministry of Rural Development sanctioned ₹5,00,000 on January 15, 2024, for purchasing computers for a rural development project. According to Rule 32, the department must accept a tender from a vendor for the computers or place an order through GeM by January 14, 2025. Even if the computers are delivered and partially paid for by December 2024, the key is that the tender acceptance or order placement happened within the one-year window. If the tender is accepted on January 16, 2025, the sanction would be considered lapsed, and a fresh sanction might be required.
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 we don't accept the tender or place the indent within one year?▼
Does this rule apply to all types of government purchases?▼
If the tender is accepted within one year, but the payment is delayed beyond one year, is that a problem?▼
Where can I find the official text of Rule 32?▼
Does this rule apply to advance payments?▼
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 32 of GFR 2017, what is the validity period of a financial sanction from the date of its issue?
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