Para 3.10.21 — MSO (Audit)

MSO (Audit)mso-audit

3.10.21 On receipt of the accounts from the Missions, the Controller of Accounts, Ministry of External Affairs, will pair off the debits and credits under the Deposit head and refund any amount found to be refundable to the organisation concerned; if, on the other hand, any amount is recoverable, he will initiate action to effect the recovery.
- D. Transactions financed out of foreign loans

What This Means

After receiving accounts from the missions, the Controller of Accounts, MEA matches (pairs off) the debits (payments made) and credits (deposits received) under the Deposit head. If the deposit exceeds the payments, the balance is refunded to the organization. If payments exceed the deposit, the Controller initiates recovery of the shortfall from the organization.

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

Key Points

1Controller of Accounts pairs off debits and credits under Deposit head
2Excess deposits are refunded to the organization
3Shortfalls are recovered from the organization
4Settlement happens after mission accounts are received
5Ensures no government funds are used for PSU/autonomous body payments

Practical Example

A PSU deposited Rs 40 lakh for payments in Washington. The actual payments totaled Rs 37 lakh at the applied exchange rates. The Controller of Accounts, MEA pairs off the figures, finds a credit balance of Rs 3 lakh, and issues a refund cheque to the PSU. Conversely, if payments had been Rs 42 lakh due to exchange rate movements, the Controller would bill the PSU for Rs 2 lakh.

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

Frequently Asked Questions

How long does the settlement process take?▼

It depends on when the mission's accounts are received and processed. Missions submit monthly accounts, and the Controller of Accounts typically reconciles within a month of receipt. The actual refund or recovery may take additional time based on administrative processes.

What if the organization disputes the settlement?▼

The Controller of Accounts maintains detailed records of the exchange rates applied and individual payments made. Any dispute would be resolved by reference to these records and the original sanction terms.

What does audit check in this settlement process?▼

Audit verifies that all debits are matched with valid deposits, that refunds are processed promptly, that recoveries are pursued for shortfalls, and that no amount remains unsettled under the Deposit head for extended periods.

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

Para 3.10.21 — MSO (Audit)

Original Rule Text

What This Means

Key Points

Practical Example

Frequently Asked Questions

Related Rules