Rule 13 GFR Internal Check Internal Audit

7
10) Every officer incurring or authorising expenditure from public funds should
be guided by high standards of financial propriety. Among the principles
on which emphasis is generally laid are the following: -
i. Every public officer is expected to exercise the same vigilance in respect
of expenditure incurred from public moneys as a person of ordinary
prudence would exercise in respect of expenditure of his own money.
ii. The expenditure should not be prima facie more than the occasion
demands.
iii. No authority should exercise its powers of sanctioning expenditure to pass
an order which will be directly or indirectly to its own advantage.
iv. Public moneys should not be utilised for the benefit of a particular person
or section of the community unless-
(1) the amount of expenditure involved is insignificant, or
(2) a claim for the amount could be enforced in a court of law, or
(3) the expenditure is in pursuance of a recognized policy or custom.
v. The amount of allowances granted to meet expenditure of a particular type
should be so regulated that the allowances are not on the whole a source
of profit to the recipients.
CONTROL OF EXPENDITURE.
11) Each head of a department is responsible for enforcing financial order and
strict economy at every step. He is responsible for observance of all
relevant financial rules and regulations both by his own office and by
subordinate disbursing officers.
12) A Controlling officer must see not only that the total expenditure is kept
within the limits of the authorized appropriation but also that the funds
allotted to spending units are expended in the public interest and upon
objects for which the money was provided. In order 'to maintain a proper
control, he should arrange to be kept informed, not only of what has
actually been spent from an appropriation but also what commitments and
liabilities have been and will be incurred against it. He must be in a
position to assume before Government and the Public Accounts
Committee, if necessary, complete responsibility for departmental
expenditure and to explain or justify any instance of excess or financial
irregularity That may be brought to notice as a result of audit scrutiny or
otherwise.
INTERNAL CHECK AGAINST IRREGULARITIES, WASTE AND FRAUD
13) In the discharge of his ultimate responsibilities for the "administration of an
appropriation or part of an appropriation placed at his disposal, every
Controlling officer must satisfy himself not only that adequate provisions
exist within the departmental organization for systematic internal checks
calculated to prevent and detect errors and irregularities in the financial
proceedings of its subordinate officers and to guard against waste and
loss of public money and stores, but also that the prescribed checks are
effectively applied. For this purpose each Head of the Department will get
the accounts of his office and those of the subordinate disbursing officers,
DAO/FSD/MUHAMMAD AKHTAR
8
if any, inspected at least once in. every financial year by a Senior Officer
not connected with the account matters to see whether': -
i. rules on handling and custody of cash arc properly understood and
applied.
ii. effective system of internal check exists for securing regularity and
propriety in the various transactions including receipt and issue of stores
etc., if any, and
iii. satisfactory arrangements exist for systematic and proper maintenance of
Account Books and other ancillary records concerned with the Initial
Accounts.
The results of these inspections should be incorporated in the form of an
inspection report copy of which should be endorsed to Audit. The head of the
Department should, after his scrutiny of the report, communicate to Audit a copy
of his remarks thereon and any orders issued in that connection.
Note: The term 'Senior Officer' should be taken to mean that
the officer who inspects the accounts should be higher in
status than the officer who maintains or prepares the
accounts. It has necessarily to be left to the discretion of the
competent authority to appoint such an officer for the
inspection of the accounts as could give him an independent
report of the state of accounts, records etc., proposed to be
subjected to review. In exercising his discretion in the matter,
the competent authority would no doubt, ensure that the
contemplated inspection is entrusted to a senior Class 1
Officer who has had sufficient background of the Financial
Rules and orders and could carry out the check satisfactorily.
DELAYS IN PAYMENT.
14) Delay in the payment of money indisputably due by Government is
contrary to all rules and budgetary principles and should be avoided vide
also paras 105 and 106.
III-DUTIES AS REGARDS ACCOUNTS
MAINTENANCE OF ACCOUNTS
15) Every officer whose duty it is to prepare and render any accounts or
returns in respect of public money or stores is personally responsible for
their completeness and strict accuracy and their dispatch within the
prescribed date.
16) An officer who signs or countersigns a certificate is personally responsible
for the facts certified to, so far as it is his duty to know or to the extent to
which he may reasonably be expected to be aware of them. The fact that
a certificate is printed is no justification for his signing it unless it
represents the facts of the case. If in its printed form it does not represent
the facts, it is his duty to make any necessary amendment which will call
attention to the deviation and so to give the authority concerned the
opportunity of deciding whether the amendments cover requirements.
DEMAND FOR INFORMATION BY AUDIT.
DAO/FSD/MUHAMMAD AKHTAR

Rule 13 GFR Internal Check Internal Audit

Uploaded by

Copyright:

Available Formats

Rule 13 GFR Internal Check Internal Audit

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Rule 13 GFR Internal Check Internal Audit

Uploaded by

Copyright:

Available Formats

7

You might also like