Para 11.18 — MSO (A&E)
Original Rule Text
11.18 The outstandings under the settlement Accounts should be verified in accordance with the rules prescribed in Chapter 5 of the Account Code for Accountants General.
What This Means
Outstanding balances under Settlement Accounts (which record inter-government transactions between Union, States, and Union Territories) must be verified following the rules prescribed in Chapter 5 of the Account Code for Accountants General. These are important accounts because they track financial flows between different governments.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Settlement Account outstandings must be verified per Chapter 5 of the Account Code
- 2Settlement Accounts track inter-government financial transactions
- 3Covers transactions between Union, States, and Union Territories
Practical Example
The AG of Maharashtra finds Rs. 200 crore outstanding under Settlement Accounts with the Union Government at year-end. Following Chapter 5 of the Account Code, the AG verifies these balances by exchanging confirmations with the Controller General of Accounts (for Union side) and reconciling any differences. Items outstanding for more than a year are flagged for priority resolution.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
What are Settlement Accounts?▼
Why is Chapter 5 of the Account Code referenced?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.