Para 3.10.33 — MSO (Audit)
Original Rule Text
3.10.33 In all cases of sanctions involving expenditure in foreign exchange, a specific mention should be made in the sanction about the clearance from the foreign exchange angle obtained from the Ministry of Finance or other competent authority.
What This Means
Every sanction that involves expenditure in foreign exchange must explicitly mention that foreign exchange clearance has been obtained from the Ministry of Finance or other competent authority. This is a universal requirement applicable to all sanctions across all missions, regardless of who is making the payment or on whose behalf.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1All foreign exchange sanctions must mention forex clearance
- 2Clearance from Ministry of Finance (DEA) or other competent authority
- 3Specific mention required in the sanction document
- 4Universal requirement for all missions
- 5Applies to all types of payments involving foreign exchange
Practical Example
A sanction from the Ministry of Health for payment of USD 50,000 to WHO through the Geneva mission arrives at the Controller of Accounts. The auditor checks the sanction document and finds it mentions: 'Foreign exchange clearance obtained from DEA vide their reference No. F.12/3/2026-FE dated 15.02.2026.' This satisfies the requirement. Had this mention been missing, the payment could not proceed until the sanction was amended.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
Why is foreign exchange clearance mandatory?▼
Who grants foreign exchange clearance?▼
What happens if a sanction lacks the forex clearance mention?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.