Para 11.19 — MSO

11.19 The duty of watching the balances of the State in the Bank and Treasuries and Sub-treasuries devolves on the Finance Department of the State Government or on the Accountant General if the State Government so desires. For the purpose of Accounts, the cash balance of each State in the Books of the Accountant General will be reconciled each month with the Cash Accounts rendered by Treasury Officers and with the statements of closing balances received from the Central Accounts Section of the Reserve Bank. As regards balances in the Bank, process of reconciliation will be as follows:-

(a) the head 'Reserve Bank Deposits' on the books of the Accountant General will contain 3 sub-heads namely:-

(i) Reserve Bank DepositsTreasury.

(ii) Reserve Bank DepositsHeadquarters.

(iii) Reserve Bank DepositsCentral Accounts OfficeReserve Bank.

At some State Headquarters where there is an Accountant General as well as a Treasury Officer, and the daily sheets of the Bank are rendered to the Treasury Officer, the net remittances to and from the Bank including those on account of transactions of the local Accountant General will be taken to the Sub-head "Reserve Bank Deposits Treasury".

(b) For facility of reconciliation the Statement of balances rendered monthly by the Central Accounts Section of the Reserve Bank will show separately.

(i) net transactions of the State during the month at each Branch of the State Bank of India operating at District and SubDivisional Headquarters of the State;

(ii) net transactions of the State at the Branch of the State Bank or at the offices of the Reserve Bank operating at the State Headquarters and;

(iii) particulars of adjustments booked against the balances of the State in the Central Accounts Section of the Reserve Bank in the accounts of the month.

(c) The net debits and credits under

(i) will be reconciled by the Accountant General with figures accounted for in the State Section of his books under the head "Reserve Bank DepositsTreasury". The Cash Account of each treasury will contain a certificate of the Treasury Officer that the net amount debited or credited under the Head "Reserve

Bank Deposits-State" in his accounts of the month agrees with the net disbursements or net receipts as the case may be, shown in the daily statements of state receipts and disbursements received from the Branches of the Bank. In effecting this reconciliation, allowance has to be made for transactions in bank sub-treasuries towards the close of a month which, except for the accounts for March, are not brought on the treasury accounts till the accounts of the next month.

The figures under

(ii) will be verified in the same way with the adjustments in the State Section of the accounts under the head "Reserve Bank DepositsHeadquarters" or, where necessary, with the adjustment under the sub-head "Reserve Bank Deposits-Treasury".

The net adjustment under

(iii) will be reconciled with the net figure accounted for by the Accountant General under the head "Reserve bank Deposits-Central Accounts Office, Reserve Bank'. The latter figure will also be agreed with the monthly total of adjustments entered in the Register of Adjustments with the Reserve Bank (Form AC 3, Account Code for Accountants General).

The net debit or credit under the head "Reserve Bank Deposits (State)" verified in the manner indicated above will be transferred before the accounts of the month are closed to the head "8999-Cash Balance-Deposits with Reserve Bank". The balance under this head at the end of the month will then be checked with the balance of the State on the books of the Bank as shown in the statement of balances rendered by the Central

The Procedure indicated in this para should apply mutatis mutandis for the reconciliation of balances on 31st March. NOTE:- The provisions of this paragraph will apply to the reconciliation of balances of the Central Government with such modifications as may be considered necessary.

PUBLIC WORKS BALANCES Accounts Section of the Reserve Bank. The fact of the reconciliation will be noted in the monthly accounts rendered by the Accountant General to the State Government.