Para 3.9.13 — MSO

Expenditure Control 3.9.13 Financial rules provide that the Head of the Administrative Department should exercise effective control over expenditure. The following aspects could be looked into by Audit in this context:

(i) Systems and arrangements available for determination of allotment of funds to various drawing and disbursing officers and their timely release and the adequacy of these arrangements.

(ii) Arrangements for communication of allotments to the drawing and disbursing officers concerned, the Accountant General and the Treasury Officers.

(iii) Machinery for exercising expenditure control and monitoring expenditure incurred by field units and its adequacy.

(iv) Timely receipt of monthly expenditure statements from the drawing and disbursing officers, arrangements for their documentation and analysis and the extent to which these are utilised for the purpose of exercising effective control over expenditure. Statistical information may also be compiled for inclusion in the Review on

(a) the number of drawing and disbursing officers and others from whom the monthly statements were to be received;

(b) the total number of expenditure statements due in a year; and

(c) the number of statements actually received. The reasons for their non-receipt or belated receipt may also be analysed and deficiencies in the relevant systems and procedures highlighted.

(v) Review of as many Plan and Non-Plan schemes implemented by the department as possible to focus attention on the following:

(a) Unconscionable or persistent delays in release of funds to the drawing and disbursing officers for implementation of the schemes.

(b) Instances of drawal of funds in anticipation of requirements.

(c) Irregular diversion of funds and arrangements available centrally for control over utilisation and prevention of diversions.

(d) Arrangements for monitoring expenditure on schemes and their adequacy.

(e) Rush of expenditure towards the close of the financial year.

(f) Instances of drawal of funds to avoid lapse of grants and their irregular retention outside government accounts.

(vi) Unusual or extraordinary items of expenditure.

Grants to autonomous bodies, non-governmental organizations, etc.

(vii) Outstanding loans and advances to departmental personnel and outside parties and adequacy of arrangements for their pursuance and settlement.

(viii) Aspects relating to Appropriation Audit and analysis of reasons for excesses over voted grants and charged appropriations, savings in grants and appropriations and surrenders.

(ix) Reconciliation of departmental expenditure with that accounted for by the Accountant General and its impact. Non-adherence to the procedures prescribed in this regard and its adverse consequences may also be highlighted.