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Rule 21 - Government Funds | KartavyaDesk

RPR

Original Rule Text

21. Bar against money withdrawn from Government Account.– A Government officer shall not deposit moneys withdrawn from the Government Account under rule 14, in a bank account other than that maintained with the accredited bank, unless specially permitted by the Government.

What This Means

Rule 21 of the Receipt and Payment Rules is all about ensuring government funds are handled securely and transparently. Basically, it says that if you, as a government officer, withdraw money from the government account (following the procedures outlined in Rule 14), you can't just deposit it into any bank account you choose. You're generally required to deposit it into an account specifically maintained with an 'accredited bank' – a bank authorized to handle government transactions. This is to maintain proper oversight and audit trails for public funds.

The rule exists to prevent misuse or mismanagement of government money. It applies whenever a government officer withdraws funds from the government account for official purposes. It affects all government employees who are authorized to withdraw and handle government funds, ensuring they follow the prescribed banking channels. The only exception is if the government *specifically* allows you to deposit the money into a different bank account, which would likely require a formal written permission or order.

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

Key Points

  • •Government officers must deposit withdrawn funds into accredited bank accounts.
  • •This rule aims to prevent misuse of government funds.
  • •Rule applies to all government officers authorized to withdraw funds.
  • •Exceptions require specific permission from the Government.
  • •Rule 14 outlines the procedures for withdrawing money from the Government Account.

Practical Example

Mr. Sharma, a Block Development Officer, withdraws ₹50,000 from the government account to organize a rural development workshop. According to Rule 21, he cannot deposit this money into his personal savings account or an account held by a local NGO (unless that NGO is an accredited bank). Instead, he must deposit the ₹50,000 into the official government account maintained with the State Bank of India (assuming SBI is the accredited bank for that department). If, for some reason, he needs to deposit it into a different account (perhaps for a specific project with a partner organization), he needs written permission from the relevant government authority.

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 an 'accredited bank'?▼
An 'accredited bank' is a bank that has been officially authorized by the government to handle government financial transactions. The specific banks accredited may vary depending on the department or state government.
What happens if I violate Rule 21?▼
Violating Rule 21 can lead to disciplinary action, potentially including suspension, fines, or even legal proceedings, depending on the severity of the violation and the amount of money involved.
How do I know which banks are 'accredited' for my department?▼
Your department's finance or accounts section will have a list of accredited banks. You can also consult the relevant government orders or circulars.
If I receive permission to deposit funds in a non-accredited bank, what documentation do I need to keep?▼
You must keep a copy of the written permission from the government authorizing the deposit into the non-accredited bank. This documentation is crucial for audit purposes.
Does this rule apply to petty cash withdrawals?▼
Yes, this rule applies to all withdrawals from the Government Account, regardless of the amount, unless specifically exempted by the Government.

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 21 of the Receipt and Payment Rules, into which type of bank account must a Government officer generally deposit funds withdrawn from the Government Account under Rule 14?

Related Rules

GeneralReceipt & Payment Rules, 2022 - GeneralRule 1Receipt & Payment Rules, 2022 - Rule 1Rule 11Receipt & Payment Rules, 2022 - Rule 11Rule 23Receipt & Payment Rules, 2022 - Rule 23Rule 12Receipt & Payment Rules, 2022 - Rule 12

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