Rule 13 - Personal Deposit Accounts
Original Rule Text
13. Withdrawal of money from Government Account.– (1) Except as otherwise provided in these rules, or unless the Government otherwise specifies in any case, the PAO shall be the authority for withdrawal of money from Government Account.
(2) Notwithstanding anything contained in sub-rule (1), the Controller General of Accounts, subject to certain conditions and on the advice of the Head of Accounting Organisation, may designate a Gazetted officer of an office or Ministry or Department, as Cheque Drawing and Disbursing Officer (CDDO) for withdrawal of money for specified purpose.
(3) The CDDO shall withdraw money and submit the details thereof, accounts and other records as specified by Controller General of Accounts to the concerned PAO.
(4) As regards non-civil Ministries or Departments, CDDO shall be designated by the concerned Ministry or Department on the advice of the Head of Accounting Organisation.
(5) Except as otherwise provided in these rules, or unless the Government otherwise directs in any case, moneys shall not be withdrawn from the Government Account other than through authorised mode for payment from Government Account by a PAO from an account opened in favour of the PAO, or by a CDDO from an assignment account opened in favour of the CDDO at a specified branch of the accredited bank.
(6)
(a) In so far as civil Ministries or Departments are concerned, the bank accounts in favour of PAO and CDDO shall be opened by the Head of Accounting Organisation of the Ministry or Department in consultation with the Controller General of Accounts.
(b) As regards non-civil Ministries or Departments, the bank accounts shall be opened with the approval of competent authority of the concerned Ministry or Department.
(7) The bank account in favour of a Government office including Mission or Post situated in a foreign country for the purpose of withdrawal in Indian rupees shall be opened in India in the accredited bank of the concerned Ministry or Department under the orders of the Head of Accounting Organisation.
(8)
(a) The Government office including Mission or Post situated in a foreign country shall be permitted to withdraw money from Government Account in foreign currencies and shall be opened by the Head of Office or Mission or Post in consultation with Controller General of Accounts through the Head of Accounting Organisation.
(b) The respective Ministry or Department shall arrange to remit foreign currency to such accounts from India through its bank by issuing an advice to its bank.
(c) The Ministry or Department shall arrange payment in foreign currency from India to a Government office or Mission or Post or foreign Government or a foreign organisation or agency situated in a foreign country by issuing an advice to its bank.
(d) On receipt of advice, the bank shall arrange to remit the requisite foreign currency to the payee and claim the equivalent value in Indian rupees, including incidentals and overhead expenses, etc., as agreed to by Head of Accounting Organisation of the concerned Ministry or Department, directly through the payment scroll of the day being submitted to the PAO of the Ministry or Department.
(e) Based on the payment scroll received from the bank, the PAO shall account for the expenditure under the respective functional head of accounts.
(9)
(a) The Ministry or Department concerned in consultation with the Controller General of Accounts may, only under special order or permission, authorise the opening of Personal Deposit Account in the Public Account portion of Government Account and the Ministry or Department shall maintain the list of such Personal Deposit Accounts opened under their control and comply the detailed procedure as specified in the Subsidiary Instructions.
(b) Personal Deposit Accounts are generally authorised to be opened in the following types of cases, namely: -
(i) in favour of an administrator appointed for the purpose of administering moneys tendered by or on behalf of ward and attached estates and estates under Government management and ensure that proper arrangements are made for the maintenance and audit of connected initial accounts;
(ii) in relation to Civil and Criminal Courts' deposits, in favour of the Chief Judicial authority concerned;
(iii) where, under certain regulatory activities of the Government, receipts are realised and credited to a Fund or Account under the provisions of an Act to be utilised towards expenditure thereunder and no outgo from the Consolidated Fund is involved;
(iv) where a personal deposit account is required to be created by a law or rules having the force of law and certain liabilities devolve on the Government out of the Special enactments;
officers commanding units and others concerned in the administration of public funds regimental funds in the Defence Departments:
Provided that regimental funds may, under authorised departmental regulations be deposited outside the Government Account with any branch of the accredited bank.
(10)
(a) A Personal Deposit Account of a type other than specified in items (i),
(ii) and
(v) of clause
(b) of sub-rule (9), may be opened only under the special order or permission of the Ministry or Department concerned with the approval of Controller General of Accounts on the recommendations of the Head of Accounting Organisation.
(b) Such special order or permission may be issued or granted by the Ministry or Department concerned after satisfying itself that the initial accounts of the moneys to be held in a Personal Deposit Account and disbursed, are maintained properly and are subject to audit.
(11) Every Personal Deposit Account shall form part of the Government Account and be located in the Public Account portion thereof and the detailed procedure to be observed by a Government Officer in regard to opening, operation, reconciliation of Personal Deposit Account shall be as specified in the Subsidiary Instructions.
(12) The PAO or the CDDO shall obtain sufficient information as to the nature of every payment he is making and shall not accept a claim which does not formally present that information, unless there are specific orders of Government against disclosure of the nature, on any individual claim or type of claims in the public interest.
(13)
(a) Subject to the general procedure specified in these rules, the detailed procedure to be adopted by Government officer in any Department of the Government for withdrawal of money from Government Account, presentation of claims for payment, modes of payment and banking arrangement shall be as specified in the Subsidiary Instructions.
(b) The systems and procedures established under the Subsidiary Instructions, are subject to general or special instructions or orders, which the Controller General of Accounts, Department of Expenditure, Ministry of Finance may issue from time to time.
Explanation.–For the purposes of this rule, the expression “non-civil Ministries or Departments” means the Ministries or Departments of Railways, Defence, Posts and Telecommunications.
What This Means
Rule 13(9)(a) of the Receipt and Payment Rules deals with opening a specific type of account called a 'Personal Deposit Account' within the government's Public Account. Think of the Public Account as a big holding area for government funds that aren't part of the main budget. This rule states that you can't just open a Personal Deposit Account willy-nilly. It requires special permission.
Specifically, the Ministry or Department that wants to open such an account needs to consult with the Controller General of Accounts (CGA). Only after getting a 'special order or permission' can they proceed. Furthermore, the Ministry/Department is responsible for keeping a record of all Personal Deposit Accounts opened under their authority and following the detailed procedures outlined in the Subsidiary Instructions. This ensures transparency and accountability in managing these special accounts.
In essence, this rule is about controlling and monitoring the use of Personal Deposit Accounts within the Public Account, ensuring they are only used when absolutely necessary and with proper oversight. It affects all Ministries and Departments of the Government of India and their employees who might be involved in managing government funds.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Opening a Personal Deposit Account requires 'special order or permission'.
- 2The concerned Ministry/Department must consult with the Controller General of Accounts (CGA).
- 3The Ministry/Department is responsible for maintaining a list of all Personal Deposit Accounts opened under their control.
- 4Detailed procedures as specified in the Subsidiary Instructions must be followed.
- 5This rule aims to ensure transparency and accountability in managing government funds.
Practical Example
The Ministry of Rural Development wants to establish a Personal Deposit Account to manage funds received from a specific international grant for a pilot project on sustainable agriculture. Ms. Sharma, the Under Secretary, cannot simply open the account. She must first prepare a detailed proposal justifying the need for the account and consult with the Controller General of Accounts (CGA). After presenting the proposal and receiving a special order from the CGA, the Ministry can open the account. Ms. Sharma's team is then responsible for maintaining a register of all transactions in the account and adhering to the guidelines outlined in the Subsidiary Instructions. For example, they must ensure that all withdrawals are properly authorized and documented, and that the account is regularly audited. If the grant amount is INR 50,00,000, every transaction must be meticulously recorded and reconciled.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
What is a Personal Deposit Account in the context of this rule?▼
Who is the Controller General of Accounts (CGA) and why is their consultation necessary?▼
What are Subsidiary Instructions and where can I find them?▼
What happens if a Ministry opens a Personal Deposit Account without proper authorization?▼
Does this rule apply to all types of government accounts?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Test Your Knowledge
Question 1 of 3
According to Rule 13(9)(a) of the Receipt and Payment Rules, what is required to open a Personal Deposit Account in the Public Account portion of Government Account?