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Para 4.13.1 - GFR Applicability | KartavyaDesk

Goods Manual

Original Rule Text

75Notified vide OM No. F.20/42/2021-PPD issued by Department of Expenditure dated 20.05.2024. Scientific Ministries/ Departments on which this OM is applicable are (i) Department of Science and Technology, Department of Biotechnology, Department of Scientific & Industrial Research, Department of Atomic Energy, Department of Space, Ministry of Earth Sciences, Defence Research & Development Organization, Indian Council of Agricultural Research (ICAR), including its affiliated institutions and Universities, Department of Health Research (DHR), including Indian Council of Medical Research (including all Autonomous Bodies under these Ministries/ Departments) (ii) Educational and Research Institutes conducting post-graduate/ doctoral level courses or research, under any Ministry/ Department. (iii) It is also clarified that GFRs are not applicable to the projects executed by State level Institutions or by the Private Universities/Institutions/Organisations, even if they are funded by Ministries/ Departments/ Organizations mentioned above. (iv) In such cases, it is for the Ministry/ Departments/ organization to put in appropriate financial controls to achieve the intended purpose. 76As stipulated in Department of Expenditure OM No. 6/1/2018-PPD dated 19.01.2018. 77Notified vide OM No. F.6.18.2019-PPD issued by Department of Expenditure dated 11.06.2021.

What This Means

Para 4.13.1 of the Manual for Procurement of Goods, 2017, primarily clarifies the applicability of the General Financial Rules (GFRs) to specific scientific ministries, departments, and educational/research institutions. It essentially defines which organizations within the government's scientific and research ecosystem must adhere to the GFRs when procuring goods. This rule is particularly important because it ensures financial accountability and transparency in the procurement processes of these entities. It also specifies that GFRs do not apply to state-level institutions or private universities, even if they receive funding from the central government ministries or departments mentioned in the rule.

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

Key Points

  • •GFRs apply to scientific ministries/departments like DST, DBT, DSIR, DAE, DOS, MoES, DRDO, ICAR, DHR, and their autonomous bodies.
  • •GFRs also apply to educational and research institutes conducting post-graduate/doctoral level courses or research under any ministry/department.
  • •GFRs do NOT apply to projects executed by state-level institutions or private universities/institutions/organizations, even if funded by the specified central government entities.
  • •Ministries/Departments/Organizations are responsible for implementing appropriate financial controls for projects executed by state-level or private entities they fund.

Practical Example

The Department of Biotechnology (DBT) wants to fund a research project at the 'Advanced Research Institute of Biology' (ARIB), a private university. According to Para 4.13.1, the GFRs would not directly apply to ARIB's procurement activities for this project. However, the DBT is responsible for putting in place appropriate financial controls to ensure the funds are used effectively and for the intended purpose. This might involve requiring ARIB to submit regular financial reports, conduct audits, or adhere to certain procurement guidelines established by the DBT. Similarly, if DBT funds a project at a state-run agricultural college, the GFRs would not directly apply to the college's procurement; DBT must establish financial controls instead.

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

Frequently Asked Questions

Does Para 4.13.1 mean we can ignore financial regulations when funding private universities?▼
No. While GFRs don't directly apply, your ministry/department is responsible for establishing appropriate financial controls to ensure proper use of funds.
Which departments are considered 'scientific ministries/departments' under this rule?▼
The rule specifically mentions departments like DST, DBT, DSIR, DAE, DOS, MoES, DRDO, ICAR, and DHR, including their affiliated institutions and autonomous bodies.
If my department funds a project at a state-level research institute, do we need to follow GFR for their procurement?▼
No, GFRs do not apply to the state-level institute's procurement. However, your department must establish its own financial controls to oversee the project.
What kind of financial controls can we implement for projects at private institutions?▼
This can include requiring detailed budget proposals, regular financial reports, audits, and adherence to specific procurement guidelines established by your department.

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

Which of the following organizations is explicitly mentioned as being subject to the General Financial Rules (GFRs) according to Para 4.13.1 of the Manual for Procurement of Goods, 2017?

Related Rules

Para 9.4Manual for Procurement of Goods, 2024 - Para 9.4 - Chapter 9Para 9.5.5Manual for Procurement of Goods, 2024 - Para 9.5.5 - Chapter 9Para 1.8.2Manual for Procurement of Goods, 2024 - Para 1.8.2 - Chapter 1Para 2.2.2Manual for Procurement of Goods, 2024 - Para 2.2.2 - Chapter 2Para 2.2Manual for Procurement of Goods, 2024 - Para 2.2 - Chapter 2

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