Para 5.1.3 — MSO (Audit)
Original Rule Text
5.1.3 The accounts of receipts and disbursements which are rendered to the Accountant General (A&E) by the Divisional Forest Officers in the forms prescribed in Chapter VII of Account Code, Volume III, should be checked to see that:
(i) the Cash Account shows merely the totals of the month in respect of those items enumerated in Articles 282
(a) and 282
(b) of the Account Code, Volume III, and that all other items of receipts and charges have been entered in detail in the said accounts; and
(ii) charges have been incurred with reference to the relevant sanctions and allotments and various advances and recoverable payments are covered by proper authority.
Further, the certificate recorded on the Monthly Cash Account in terms of Article289 of the Account Code, Volume III, should be scrutinised to ensure that:
(i) cash recoveries of service payments have not been shown in the Cash Account as separate items;
(ii) refunds of forest revenue have been accounted for by deduction from revenue in the Cash Account; and
(iii) receipts and recoveries on Capital Account have been deducted from expenditure under 'Capital outlay on Forestry and Wild Life' in the Cash Accounts.
- Charges
What This Means
Auditors must verify that the Monthly Cash Account of Forest Divisions correctly shows only totals for certain categories while listing other items in detail. They must also check that all charges have proper sanctions and budget allotments, and that advances are properly authorized. Additionally, the certificate on the Cash Account must be scrutinized to ensure cash recoveries, revenue refunds, and capital receipts are accounted for correctly.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Cash Account must show only totals for items in Articles 282(a) and 282(b), with other items in detail
- 2All charges must be verified against relevant sanctions and allotments
- 3Advances and recoverable payments must be covered by proper authority
- 4Cash recoveries of service payments must not appear as separate items in the Cash Account
- 5Refunds of forest revenue must be shown as deductions from revenue, not as expenditure
- 6Capital account receipts must be deducted from expenditure under 'Capital outlay on Forestry and Wild Life'
Practical Example
An auditor reviewing the March Cash Account of a Forest Division notices that a refund of Rs 25,000 for excess timber royalty is shown as a separate expenditure item instead of being deducted from forest revenue. She flags this as a classification error, since the rules require such refunds to be adjusted against revenue within the Cash Account.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
Why must some items show only totals while others appear in detail?▼
What is the certificate under Article 289?▼
Why are capital receipts deducted from expenditure rather than shown as revenue?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.