CENTRAL TREASURY RULES

VOLUME I
MAIN RULES
PART I GENERAL PRINCIPLES AND RULES
Short Title
1. These rules may be called the Treasury Rules of the Central Government.
Application
1-A. These shall apply to - -

(a) Union Territories of Chandigarh, Lakshadweep and Dadra and Nagar

Haveli;
(b) Payments of pensionary benefits to the Government pensioners in
the Central Government and Union Territories; and
(c) An office authorized to hold and operate and a Departmental
Treasure Chest.
1-B.

If the Government considers it necessary or expedient so to do for

avoiding any hardship or removing any difficulty that may arise as a result
of the application of these rules, it may, subject to such restrictions and
conditions, if any, as it may think fit to impose, dispense with or relax the
provisions of any of these rules in any case or class of cases.
Definitions
2. In these rules, unless the context otherwise requires; the following
expressions have the meaning hereby assigned to them, that is to say:(a)

Accountant General means the Head of an Office of Accounts

and Audit subordinate to the Comptroller and Auditor-General of
India. When used in relation to a treasury, this expression refers to
the authority to whom the accounts of the treasury are rendered.

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(b)

Accounts Officer means the Head of an Office of Accounts set up

under

the

scheme

of

departmentalization

of

Government

Accounts.
Chief Accounts Officer in relation to accounts of Railways means
the Head of a Railway Accounts Office.
(c)

Administrator means the Administrator of a Union Territory

specified in the First Schedule to the Constitution.

(d)

Audit Officer means any officer subordinate to or under the

superintendence of, the Comptroller and Auditor General, who
exercises audit functions.

(e)

The Bank

means any office or branch of the Banking

Department of the Reserve Bank of India, any branch of the State

Bank of India acting as the agent of Reserve Band of India in
accordance with the provisions of the Reserve Bank of India Act,
1934 ( 2 of 1934) and any branch of a Subsidiary Bank as defined
in Section 2 of the State Bank of India (subsidiary Banks) Act,
1959 (38 of 1959), which is authorized to transact Government
business as agent of the state Bank of India or any other agency
appointed by the Reserve Bank of India.
(f)

Collection means the Head of a District and includes any other

officer for the time being authorized to discharge the duties of the
collector for the purpose of these rules.

(g)

Competent Authority means the Government or any other

authority to whom the relevant powers may be delegated by the
Government.

(h)

Comptroller and Auditor-General means the Comptroller and

Auditor-general of India.

(i)

Constitution means the Constitution of India.

(j)

District includes any area whether described as a district or by

any other name which is served by a treasury placed in direct

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relation with an Accountant-General and the term District

Treasury shall be construed accordingly.
(k)

The Government means the Central Government.

(l)

Government Account means the account relating to the

Consolidated Fund, the Contingency fund or the Public Account.
Consolidated Fund means the Consolidated Fund of India as
referred to in Clause (1) of Article 266 of the Constitution.
Public Account means the Contingency Fund of India established
under the Contingency Fund of India Act, 1950 (49 of 1950), in
pursuance of Article 267 (1) of the Constitution.

(m)

State means any State specified in the First Schedule to the

Constitution.

(n)

Treasury includes a sub-treasury.

Bank Treasury means a treasury the cash business of which is
conducted by the Bank and a non-Bank Treasury means a treasury
other than a Bank treasury.
Central Treasury means and includes any treasury or sub-treasury
not being a treasury or sub-treasury under the control of a State
Government.
Note 1-

Treasuries in Union Territories are Central Treasuries.

Note 2- References to Treasury in these rules may be deemed to

include a Pay and Accounts Office set up under the scheme of
departmentalization of accounts, unless the context requires
otherwise.
(o)

Union Territory means any Union Territory specified in the first

Schedule to the Constitution and includes any other territory
comprised within the territory of India but not specified in that
Schedule.

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Location of moneys credited to Government Account.

3. Unless otherwise prescribed, money credited to Government Accounts shall
be held either in a Central Treasury or in the Bank.
The deposit of such moneys in the Bank shall be governed by the terms of the
agreement made with the Bank under Section 21 of the Reserve Bank of India
Act, 1934 (2 of 1934).
Note :- The agreement with the Bank is printed as Appendix-I to these rules in
Volume II of this compilation. [Not reproduced]
General System of Control over Central Treasury
District Treasuries

4.

(1)

There shall be a Central Treasury at such places as the Government

may direct after consultation with the Comptroller and Auditor General. If
moneys standing in the Government Account are, in any district so specified
not deposited in the Bank, the treasury of that district shall be divided into two
departments: a department of accounts under the charge of an Accountant
and a department of cash , stamps and opium under the charge of a
Treasury.
Subject as hereinafter provided in this rule, the general procedure of and
conduct of business in a district treasury shall be regulated by the provisions
contained in Part-II.
(2) The treasury shall be under the general charge of the Collector who may
entrust the immediate executive control to a Treasury Officer subordinate to
him but may not divest himself of administrative control. The Collector shall be
responsible for the proper observance of the procedure prescribed by or
under these rules and for the punctual submission of all returns required from

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the treasury by the Government, the Comptroller and Auditor-General , the

Accountant General and the Bank.
(3) The duty of verifying and certifying monthly cash balance, if any, in a
Central Treasury and of submitting the monthly accounts of such balance, in
such form and after such verification as the Comptroller and Auditor-General
may require, shall be undertaken by the Collector or by such other officer as
may be authorized by or under these rules to act in this behalf. It must be
performed by the Collector in person at least once in every period of six
months.
The procedure to be observed for the verification of cash balance, if any in
a Central Treasury shall be regulated by the provisions contained in this
behalf in Part-IV.
(4) When a new Collector is appointed to a district, he shall at once report
his appointment to the Accountant General and shall certify to the
Accountant-General the amount of the cash balance and stamp and opium
stores, if any, which he has taken over. The certificate shall be submitted after
the method of verification specified in Part-IV has been applied.
(5) No portion of the responsibility for the proper management and working
of treasuring shall devolve upon the officers of the Indian Audit and Audit and
accounts Department.
Sub-Treasuries
5. In the event of establishment of one or more sub-treasuries under a district
treasury, the arrangement for the administration thereof and for the proper
conduct of business therein shall be such as may be prescribed by the
Administrator after consultation with the Accountant-General. Where a Central
sub-treasury renders accounts to a district treasury under the control of a
State Government, the arrangements for the administration thereof and for the
proper conduct of business therein shall be such as may be settled by the

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Government after consultation with the Accountant General and the State
Government concerned.
The daily accounts of receipts and payments of moneys at a sub-treasury
must be included in the accounts of the district treasury.
Other Collecting and Disbursing Offices
6. (1) Officers in charge of Military Treasure Chests and such offices of the
Posts and Telegraphs Department or of any other department of the
Government as are authorized to maintain separate departmental cash
balances outside the balances of the Government in the treasury or in the
Bank may, Subject to the provisions of these rules, perform all or any
prescribed part of the duties of a Treasury Officer in respect of claims against
the Government that may be presented to them for disbursement and in
respect of moneys that may be tendered to them for credit to the Government
Account.
(2) An Accountant-General may, subject to such conditions and limitations. If
any, as the Government may think fit to impose, perform all or any prescribed
part of the duties of a Treasury Officer in respect of claims against the
Government that may fail due for disbursement and moneys that may be
tendered for credit to the Government Account at the office or within the
jurisdiction of the said Accountant-General; provided that the performance by
the Accountant-General of such duties shall be subject to the consent of, and
such conditions as may be prescribed by, the Comptroller and AuditorGeneral.
Payment of revenues of the Government
Into the Government Account
7. (1)

Subject to sub-rule (2) below, all the moneys received by or tendered to

Government officers on account of the revenues of the Central Government

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shall, without undue delay be paid in full into a treasury and shall be included
in the accounts of the Central Government. Moneys received as aforesaid
shall not be appropriated to meet departmental expenditure, not otherwise
kept apart from ten accounts of the Government.
(2)

Notwithstanding anything contained in sub-rule (1) of this rule, direct

appropriation of departmental receipts for departmental expenditure is

authorized in the following cases, that is to say:(1) In the case of cash receipts utilized in accordance with departmental
regulations by postmasters and other head of Offices of the Posts and
Telegraphs Department for departmental purposes;
(2) In the case of moneys received on account of the service of
summons, diet- money of witnesses and similar purposes, in Civil,
Revenue and Criminal cases and in the case of diet-money of
witnesses deposited by assesses with Income Tax Officers and also
of deposits made on account of traveling allowance and daily
allowance of witnesses with the customs and central Excise Officers;
(3) In the case of deposits received at a Civil Court ad utilized by the
Court to meet claims for the refund of such deposits;
(4) In the case of fees received by Government servants appointed
Notaries Public under the negotiable Instruments Act, 1881 (26 of
1881), and utilized to defray legal expenses incurred by them in the
discharge of their duties as such Notaries Public;
(5) In the case of the Public Works, Civil Aviation and other similar
departments for utilization under departmental regulations of cash
receipts temporarily for current works expenditure, or in very
exceptional cases for disbursement of pay and traveling allowance
charges wherever this course has been authorized by the Accountant
General to prevent any abnormal delay in payment;
(6) In the case of the cash collation of the Customs Collectorate utilized
under special authorization of the Government in meeting payments

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on account of departmental expenditure as well as drawbacks to

passengers on board and refunds of deposits to commercial travelers;
(7) In the case of cash received by the Forest Department and utilized in
meeting immediate local expenditure;
(8) In the case of cash found on the persons of prisoners at the time of
their admission to jail and used for the repayment by jail
Superintendents under departmental regulations of similar sums due
to other prisoners on their release;
(9) In the case of cash receipts of Railways utilized under Departmental
regulation or with previous approval, general or special, of the
Government, for departmental purposes.
(10) In the case of the Notational Library, calcutta, or any other
Government Library, to permit the replacement of books belonging to
the library, which are not returned by borrowers, out of their deposit
money;
(11) In the case of the Botanical Survey of India, to permit the refund to
indenters of quinine and purchases of seeds and plant, out of the
amount deposited by them, of such amount as may be in excess of
the cost of quinine or of seeds and plants including incidental charges
on packing, remittance, etc., connected therewith;
(12) Deleted.
(13) Deleted.
(14) In the case of the survey of India Department to permit the refund to
indentors of maps or other priced publication, out of the amount
deposited by them, of such amount as may be in excess of the cost of
maps or publications including incidental charges on packing,
forwarding, etc., connected therewith; the payment of commission to
selling agents out of sale re-maps, etc., of royalty charges and
scrutiny changes for checking of external boundary of India from out
of amount deposited in excess by them;

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(15) In the case of officers subordinate to the Ministry of External Affairs

and stationed outside India where a branch of the Bank or a
Government of India treasury does not exist, to permit the direct
utilization of fees and other receipts realized by them towards their
departmental expenditure;
(16) In the case of Branch Military Dairies located at stations where there
is no treasury, Military Treasury chest or authorized Bank, to enable
the sale proceeds of dairy produce being utilized for meeting their
current expenditure, the equivalent amounts being remitted into the
treasury by the parent Dairy Farm;
(17) In the case of sale proceeds of office furniture, etc., purchased from
the Office Allowance Fund of a Military Unit or Office and Utilized
under departmental regulations for the purposes of the Fund;
(18) In the case of the Publications Division of the Ministry of Information
and Broadcasting to permit the payment of commission to the agents
and refund of moneys deposited in advance in excess of the amounts
actually due for the supply of publications, out of the sale proceeds of
the publications;
(19) In the case of All India Radio, to permit payment of commission to
(i)sale agents of All India Radio programme journals, and (ii) to
advertising agencies, out of the sale proceeds of the journals and of
advertising time in Commercial Service of

All India Radio,

respectively;
(20) Deleted
(21) In the case of the Delhi Milk Scheme to permit refunds on account of
the

cost of milk not drawn by customers out of their monthly quota

for which they have made advance deposits;

(22) In the case of the Regional Poultry Farms, Hassarghatta, Bangalore,
Bombay and Bhubaneshwar, to permit refunds to private poultry
farmers of amounts paid in advance by them in excess of the cost of

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chicks, etc., supplied to them including incidental charges connected

therewith;
(23) In the case of Department of Publication, to permit
(i.)

the remittance by the sole concessionaire of the amounts due

towards advertisements in Government publication after
deducting the commission payable to him; and

(ii.)

the refund of moneys deposited in advance by indentors for

supply of publications, out of the sale proceeds of the
publications;

(24) in the case of Films Division to permit payment of commission to

commission agents out of sale proceeds of films for non-commercial
exhibitions in India;
(25) deleted
(26) in the case of the units of Assam Rifles to permit cash collections of
Field post Offices for departmental expenditure;
(27) in the case of the Social Welfare and Rehabilitation Department to
utilized the cash received on private order work for the payment of
wages to labour employed on that work;
(28) in the case of central Research Institute, Kasauli, to utilized with
effect from 1st April 1977, the cost received on account of sale of sera
and vaccines product at the Institute, for refund to the indentors of the
excess amount received from them;
Provided that the authority hereby given to appropriate departmental
receipts for departmental expenditure shall not be construed as authority to
keep the departmental receipts and expenses defrayed there from outside
the account of the payments in and the withdrawals from the consolidated
Fund.
(3) In Special cases authorized by the Government, moneys received at
tendered on account of the revenues of the Central Government may be
deposited with a bank other than the Reserve Bank or its agent for the

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purpose of Government transactions. The conditions under which such

deposits may be made and the manner in which the balances of such
deposits shall be included in the Government Account will be decided by
the Government in each case after consultation with the Comptroller and
Auditor-General
8. Deleted.
9. A Government officer may not, except with the special permission of the
Government, deposit in a Bank, other than the Reserve bank or its agent for
the purpose of Government

transactions, moneys withdrawn from the

Government Account under the provision of Rules 12 to 25.

10. the procedure to be adopted by Government officers and other authorized
colleting agencies in receiving moneys on account of the Central Government
revenues, granting receipts for such moneys and bringing then in the
Government Account, and by the treasury and the Bank in receiving such
moneys and granting receipts for them shall be regulated by the provisions
contained in Part-III.
Custody of money relating to or standing
in the Government Account
11. (1) Save as provided in sub-rule (1) of Rule 33, the procedure for the sage
custody of moneys in the hands of government office r or held in a central
treasury, shall be regulated by the provision contained in part-IV.
(2) The Bank is responsible for the safe custody of Government moneys
deposited in the banks.
Withdrawal of Moneys from the Government Account.
12. In Rules 13 to 25, the term withdrawal with its cognate expression refers to
the withdrawal of funds from the Government Account for disbursements of or
on behalf of the Government.

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13. Save as expressly provided by or under these rules, or unless the government
consultation with the comptroller and auditor General other wise direct in any
case, moneys may not be withdrawn from the Government account without
the written permission of the Treasury Officer or of an officer of the Indian
Audit and Accounts Department authorized in this behalf by an Accountant
General.
14. An Accountant General may, within the limit of his own jurisdiction, permit
withdrawal for any purpose. Unless expressly authorized by these rules or by
any special orders of the Government, an Accountant-General may not permit
withdrawal at a place outside the limits of his own jurisdiction.
15. (1) Subject as hereinafter provided, a Treasury officer may permit withdrawal
for all or any of the following purposes, namely:(i)

To pay sums due from the Government to the drawing officer;

(ii)

To provide the drawing officer with funds to meet claims likely to be

presented against the Government in the immediate future by other
Government servant or by private parties;

(iii)

To enable the drawing officer to supply funds to another Government

officer from which to meet similar claims;

(iv)

To pay direct from the Treasury or from the Bank sums due by the
Government to a Private party;

(v)

In the case of a Government officer or authority empowered to make

investments of moneys, standing in the Government Account, for the
purpose of such investments;

(vi)

To pay sums to the drawing officer on account of permanent advance

sectioned to his office;

(vii)

To pay sums on account of loans and advances;

(viii)

To pay sums on account of grants in-aid, contributions, scholarships,

stipends, etc.

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NOTE:- The term grants-in-aid, contributions, etc., includes such classes of

expenditure as grants to local bodies, religious, charitable or educational
institutions, contributions to public exhibitions and fairs, expenditure from
the discretionary grants and compensations to Government servant, both
Gazetted and non-Gazetted, for accidental losses, etc.
(2) Unless expressly authorized by an Accountant-General, a Treasury
Officer shall not permit withdrawal for any purpose not specified in sub-rule
(1) of this rule.
16. except as provided in Rules 24 and 25, a Treasury officer shall not permit
withdrawal for any purpose unless the claim for withdrawal complies with the
provisions contained in part-V as to the person by whom and the form in
which the claim shall be preferred and the checks to which the claim shall be
submitted by the Treasury Officer before directing payment thereof.
17. A Treasury officer has no general authority to make payments on demands
presented at the treasury, has authority being strictly limited to the making of
payments authorized by or under these rules. If a demand of any kind is
presented at a treasury for a payment which not authorized by or under these
rules, or is not covered by a special order received from the AccountantGeneral, the Treasury Officer shall decline payment for want of authority. A
Treasury officer has no authority to act under an order of the Government
sanctioning a payment unless the order is an express order to him to make
the payment; and even such special order should, in the absence of urgency,
be sent through the Accountant-General.
18. A Treasury officer shall not honour a claim which he considers to be
disputable. He shall require the claimant to refer it to the Accountant
General.
19. Except as otherwise provided in Section 1 of Part V, a payment shall only be
made in the district in which the claim arises.
20. Deleted.

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21. No withdrawal shall be permitted on a claim for the first of any series of
payment in a district, of pay or allowances to a Government servant other
than a person newly appointed to Government Service, unless the claim is
supported by a last pay certificate in the prescribed form. A Treasury Officer
may not permit any withdrawal in respect of pay or allowances of a
Government to whom he has granted a last pay certificate unless the
certificate is first surrendered.
NOTE 1:- Withdrawal for a claim for Travelling Allowance in respect of
journey, by a retiring Government servant and his family, from this last place
of duty to a place where he wishes to reside, may be permitted by a Treasury
Officer even without surrendering the last pay certificate.
NOTE 2:- In the event of death, retirement or discharge of a Government
servant, the Childrens Educational Allowance admissible to such Government
servant should be drawn and disbursed by the Head of the Office in which the
Government servant was last employed and withdrawal of funds, for the
purpose may be permitted by the Treasury officer even without surrendering
the last pay certificate.
21A. Deleted
22. The Treasury Officer shall be responsible to the Accountant-General for
acceptance of the validity of a claim against which he has permitted
withdrawal and for evidence that the payee has actually received the sum
withdrawn.
23. The Treasury Officer 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 valid reasons which he shall
record in writing for omitting to enquire it.

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24. The Treasury Officer may correct an arithmetical inaccuracy or an obvious

mistake in any bill presented to him for payment, but shall intimate to the
drawing officer any correction which he makes.
25. A collector may, in circumstances of urgency, by an order in writing authorize
and require a Treasury Officer to make a payment, not being a payment of
pension, without complying with the provisions of these rules. In any such
case, the collector shall at once forward a copy of his order and a statement
of the circumstances requiring it and the Treasury Officer shall at once report
the payment, to the Accountant-General.
NOTE:- The need for exercising the special power under this rule should not
arise at all in normal conditions. The power should be used only in real cases
of urgency, e.g., floods, earthquake and the like, and withdrawals of money
under this rule should, as far as possible, exclude all personal claims of
Government servants.
Transfer of moneys standing in the Government Account
26. (1) The Transfer of money from one Central Treasury to another, between
currency chest balance and treasury balance of a central Treasury and
between a Central Treasury and the Bank shall be governed by such
instructions as may be issued in this behalf by the Government after
consultation with the Reserve Bank
Subject as provided above, the previous of Part-XI and any subsidiary
instruction issued thereunder shall regulate the procedure with regard to the
matters aforesaid.
(2) The transfer of moneys from or to a small coin depot to or from a treasury
shall be governed by the procedure specified in Part-XI
Responsibility for Moneys Withdrawn
27. If a Treasury officer receives intimation from the Accountant General that
moneys have been incorrectly withdrawn and that a certain sum should be

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recovered from a drawing officer, he shall effect the recovery without delay
and without regard to any correspondence undertaken or contemplated with
reference to the retrenchment order; and the drawing officer shall without
delay repay the sum such manner as the Accountant-General may direct.
28. (1) subject as hereinafter provided in this rule, the procedure to be observed
by a Government officer in regard to moneys withdrawn fro m the Government
Account for expenditure shall be regulated by the provisions made in this
behalf in Part-V.
(2) A Government officer supplied with funds for expenditure shall be
responsible fro such fund until an account of them has been rendered to the
satisfaction of the Accountant-General concerned. He shall also be
responsible for seeing that payments are made to persons entitled to receive
them
(3) If any doubt arises as to the identity of the Government officer by whom an
account of such funds shall be rendered, it shall be decided by the
Government.
Inter-Government Transactions
29. (1) Save as provided hereafter in Rules 31 and 32, no transaction of the
Central Government with a State shall be adjusted against the balance of the
Central Government except in accordance with the direction as may be given
by the Comptroller and Auditor-General with the approval of the Government
to regulate the procedure for the accounting of such transactions.
(2) All adjustments against the balance of the Central Government by debit or
credit to the account of a State Government shall be made through the
Central Accounts section of the Reserved Bank.
30. Receipts and disbursements in a State on behalf of the Central Government
shall be adjusted, as far as practicable, directly against the balance of the
Central Government

held by the Bank, but where such transactions are

temporarily taken into account against the balance of the State Government,

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the Accountant-General of the State will on receipt of intimation from the

treasury, male the requisite adjustments in respect of the aforesaid
transactions through the central Accounts Section of the Reserve Bank
against the Balance of the Central Government haled by the Bank.
31. (1) The Treasury Officer in charge of a central Treasury may, subject to any
general or specific direction of the Government in this behalf, receive or
authorized the bank to receive moneys tendered on behalf of a state and may,
if so required by the Accountant-General, make or authorize payment of any
claim against a State. The necessary credits or debits in respect of such
receipts and payment against the balance of the State concerned shall be
make by the Accountant-General through the Central Accountant Section of
the Reserve Bank, but until such adjustments are made, the credits and
debits shall be entered in the central Government Account.
(2) Moneys paid or received in the Office of an Account-General on behalf of
a State or book entries made in the Office of an Accountant-General affecting
the accounts of a State, where such moneys or book entries are credited or
debited in the first instance against the balance of the Central Government,
shall be adjusted against the balance of the State concerned in accordance
with such directions as may be given in this behalf by the comptroller and
Auditor-General with the approval of the Government.
(3) The provisions of the preceding sub-rules shall apply, with or without
modification, to payments made or moneys received on behalf of the
Railways, posts and Telegraph and Defence Department.
32. (1) In order that the transactions pertaining to the Central Government may be
correctly recorded against the balance of the Central Government, all
challans, bills cheques, vouchers, etc., which sere as evidence for payments
into or withdrawal from the Government Account, or on the authority of which
adjustments in the initial accounts are made against the balance of the
Central Government by Treasuries and the Bank, shall be printed on blue
paper;

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Provided that in the case of any particular kind of document aforesaid

the government may after consultation with the Comptroller and AuditorGeneral suspend or waive the operation of this rule. This is subject to the
condition that whenever forms other that those of blue colour are used, such
forms must invariably be so prominently marked as to indicate clearly that
they pertain to transactions of the central Government.
(2) The requirements of this rule shall not apply to transactions of the
Government in the United Kingdom which are governed by the provisions of
Rule 33.
33. (1) Except as expressly provided in these rules, the procedure in respect of
the receipt and safe custody of moneys received in the United Kingdom on
account of the revenues of the Government, the payment of such moneys into
the government Account, withdrawal of moneys from te Government Account
for disbursements in the United Kingdom and any matters connected with or
ancillary to the matter aforesaid shall be such as may be prescribed by the
government after consultation with the Comptroller and Auditor General.
(2) until other provision is make by a State Government this behalf, moneys
received in the United Kingdom an account of the revenues of the State, may
be avoid into and funds require for disbursements of or on Account of India
accordance with such procedure as may be prescribed under sub-rule(1).
These transactions shall be adjusted in India at the earliest opportunity
against the balance of the State Government according to such directions as
may be given in this behalf by the Comptroller and Auditor-General with the
approval of the President.
Supplemental
34. An Accountant General shall. In exercise of any of his function under these
rules, be subject to the general control of the Comptroller and Auditor
general. An account Officer shall exercise the functions subject to the general
control of the financial authority concerned, which will act generally in

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consultation with the Comptroller and Auditor-General in all matter where his
powers and duties as respect accounts are involved.
35. nothing in thse rules shall have effect so as to impede or prejudice the
exercise by the Comptroller and Auditor-General of the powers vested in him
by or under the Comptroller and Auditor Generals (Duties, Powers and
conditions of service) Act, 1971 to give directions regulating the submission to
the Indian Audit and Accounts Department of the accounts kept in treasuries
or in departmental offices, accompanied by such voucher in support thereof
as the Comptroller and Auditor General may require for purposes of audit or
for the purpose of keeping the accounts for which he is responsible.
36. Nothing contained in, or in the application of, these rules shall have effect so
as to impose upon the Bank in connection with the business of the
Government any responsibility not imposed upon the bank by the terms of the
agreement referred to in Rule 3.
37. (1) where, under the provisions of these rules, the detailed procedure with
respect to any matter is required to be prescribed or regulated by
departmental regulation, such regulation to be observed by particular
departments shall be made by the Government, or with the approval of the
Government, by such departmental authorities as may be authorized by the
Government to act in this behalf.
(2) Nothing contained in this rule affects the validity of any order instruction or
direction contained in any authorized departmental regulating except in so far
as such order, instruction or direction is inconsistent with or repugnant to any
distinct provision contained in these rules.
ANNEXURE-A Deleted.

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SUBSIDIARY RULES
PART II- GENERAL ORGANIZATION AND WORKING OF CENTRAL
TREASURIES
General Organization
Management
38. Subject to any general or special orders of the Government, the ultimate
responsibility for the proper management and working of a Central Treasury
shall rest entirely with the Administrator.
Collector
39. The Collector, being in general charge of the treasury, shall be immediately
responsible to the Administrator for its general administration and working.
The appointment of a subordinate to the immediate charge of a treasury shall
in no way relieve the Collector from this responsibility. This responsibility
extends not only to the security of cash balance, stamps, opium and other
Government property and the immediate detection of any irregular practice on
the part of the subordinates, but also to the correctness of prescribed
accounts and returns and the punctuality of their submission and to the
implicit obedience of the Treasury officer to the instructions issued by the
Accountant- General, the Currency officer or any other competent authority.
40. The Collector shall send immediate notice to the Accountant general and
other concerned authoriti9es of any deflection or loss of public money,
stamps, opium or other property discovered in the treasury or a sub-treasury,
even when such loss has been made good by the person responsible for it.
Such notice shall be supplemented as soon as possible afterwards by a
detailed report after personal investigation into the case. In dealing with cases
of defalcation or losses as aforesaid and in reporting such cases to the

20 | P a g e

Accountant-General orders or instructions as may be issued in this behalf by

the Government and by the Administrator.
Petty cases, that is cases involving losses not exceeding Rs. 500 each,
need not be reported to the Accountant-General unless therere are, in any
cases,

important

features

which

merit

detailed

investigation

and

consideration.
41. The Collector shall remember that, when an irregularity of any kind is brought
to his notice by the Accountant-general, nothing but a report on his
knowledge, after personal investigation, can be considered satisfactory. It is
not enough for him to pass on the explanation of subordinate inasmuch as
reports prepared in this manner have very often, by lulling suspicion, led to
greater irregularity afterwards.
42. The Collector is bound to satisfy himself by periodical examination, at least
once in six months for cash and opium

and once a year for stamps,

securities, draft and cheque forms, that(i) The actual stock of cash, opium, stamps and securities is kept under
joint lock and key and corresponds with the book balance.
(ii) The treasurer does not hold a sum larger than is necessary for the
convenient transaction of the Government business and that this
sum, together with the value of stamps and opium, if any, in his sole
custody, is not larger than the security given by him;
(iii) The stock of draft and similar forms which are intended for use in
monetary transactions are carefully kept under lock and key by the
Treasury and periodically tallied with the normal balance of such
forms on the stock books; and
(iv) The sub-treasury balance is verified once a month by a Gazetted
Officer besides the verification done by himself during his tour.
Note:- the word stamps used in this and other rules in this part includes
match Excise Banderols.

21 | P a g e

43. The Collector shall satisfy himself at least once in every quarter that the
deposit registers are kept according to prescribed rules and that all necessary
entries are made and initialed without fail at the time of the transaction.
44. the collector shall specially careful, when assuming or making over charge, to
see that the cash balances and stock of stamps and opium are thoroughly
verified and tat a certificate of taking over charge in which the state of cash
stamps and opium balance is to be shown is invariably dispatched to the
Accountant-General with a certificate in Form TR-1 on the same day as the
transfer of charge takes place.
45. The collector when at headquarters must always verify the district treasury
balance in person on the first of each month and sign the account to be
rendered to the accountant-general and the Administrator. When, however, he
is absent on tour on the first of the month, or when he is unable to perform the
duties from physical inability, the duties may be entrusted the senior Gazetted
subordinate of the district staff present at headquarters not being the officer in
charge of the treasury, or to any of his assistant or district deputies in
permanent charge of talukas or sub-divisions. The reason for his inability to
sign the accounts must be distinctly noted in the returns and accounts.
If neither the Collector nor any Gazetted Officer or the district staff, other
than the treasury Officer himself is present at headquarters when the
accounts are ready for signature , the cash balance may be verified and the
accounts signed by the Treasury Officer , but the absence of all other officer
as above must be certified on the face of the accounts; and the cash balance
shall be certified by another officer and reported to the Accountant General
and the Administrator as soon as any such officer returns to headquarters.
46. Without prejudice to the generally of Rules 4 to 6 of Part-I, the provisions of
Rules 42 to 45 any be modified in particular points of detailed procedure to
suit local convenience under the orders of the Administrator issued after
consultation with the Accountant General.

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Treasury Officer
47. The appointment of a very junior officer to the charge of a treasury should not
ordinarily be made but if in a temporary emergency such an appointment is
made, the departure from the rule shall be reported to the Accountant-General
and the reasons for it explained to that officer.
48. As the collectors delegate

and representative, the Treasury officer is

responsible to the Collector primarily for the proper discharge of his duties for
thorough observance of all rules prescribed for his guidance in every branch
of his duties and for strict attenuation to all details of the daily routine of the
treasury work. He is responsible to the collector for the working of the treasury
and the conduct of the subordinate treasury official, and for the custody of
cash balance, stamps and opium, he is jointly responsibility with the
Treasurer. He must have carefully prepared instruction for the guidance of
every branch of his office.
49. The Treasury officer is responsible to the Collector for keeping the accounts
of the treasury strictly in accordance with the directions contained in the
Account Code, for the accuracy of all initial records and vouchers and for
regularity of all transactions taking place at the treasury.
50. The special precautions to be observed by the Treasury Officer in matters
relating to receipts, custody and payment of Government moneys are
specified in other relevant parts of these rules.
51. Subject to the provisions of Rule 19et seq and without prejudice to the
generality of provisions made in other Parts of these rules, the respective
responsibility of the Collector and of the Treasury Officer may laid down in
writing by the Administrator.
Relation with the Accountant-General
52. The Accountant General may direct his communications regarding Treasury
accounts and procedure either to the Collector or to the Treasury Officer, but

23 | P a g e

al important communications to the Accountant-general must issue over the

signature of the Collector or with his approval. The collector may not forward
the Treasury Officers explanation as his own in reply to questions or
enquiries concerning the Treasury work.
Relation with Currency Officer.
53. The currency Officer ordinarily directs his communications to the Treasury
Officer but, save in matters of daily routine, all communications to the
Currency officer must issue over the signature of the Collector or with his
approval. The currency officer will bring to the notice of the Collector the
cases in which the Treasury Officer appears to be neglecting his duties.
Note 1;- The control of the currency, resources and remittance
operations of the Government vests in the Reserve Bank ad this work is
conducted under the control of the Bank by a number of Currency officer s
each of whom is in charge of an office of the Issue Department of the Bank
and is responsible for the work of treasuries within his jurisdiction.
Note 2:- The procedure to be observed by the Treasury officer with
regard to Custody of currency chests and verification of currency chest
balances is regulated by executive instructions in part-XIV.

Treasure
54. Detailed rules for the custody of treasure, both specie and notes are laid down
in Part-IV.
Treasurer
55. The Treasurer is responsible for the handling of the money at the Treasury. It
is the duty of the Collector to see that the Treasurer furnishes sufficient

24 | P a g e

security to protect the Government against loss due to his negligence or

fraud.
56. A model form of the Treasurers Security Bond is given in Form T.R. 2.
Securities lodged as deposits may be returned after six months from the
date of vacation of office by a Treasurer but the bond shall be retained
permanently or until it is certain that there is no necessity for keeping it any
longer.
Accountant
57. The accountant is responsible under the orders of the Treasury Officer for
keeping complete records of cash and book transactions of the district and
subordinate treasuries and for the compilation of prescribed accounts and
returns strictly in accordance with the directions and orders in force. He is also
required to see tat the rules and orders in force are observed in respect of all
transactions of the treasury and to bring all cases of irregularity to the notice
of the Treasury Officer.
58. The Accountant may be required to inspect, under the orders of the Treasury
Officer, the account record of sub-treasuries and to check percentage of the
initial accounts.
Treasury Accounts.
Treasurers Records
59. the Treasurer shall maintain a simple cash book, without subordinate
registers, in which each receipt and payment shall be posted at the time and
on the date on which the actually occur and the order of occurrence. The
Treasurer shall sign and immediately return to the Accountant, after the
necessary entry in his accounts all receipts for money received. He shall
stamp all payment vouchers paid and retain them for delivery to the
Accountant Departments when the books are compared.
60. Deleted .

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Accountants Books
61. The form and procedure with regard to the initial accounts kept in the treasury
and the methods and principles in accordance with which the accounts are
kept, are governed by the directions contained in the Account Code. Volume
II. It is the duty of the Treasury Officer to satisfy himself that those directions
are strictly observed, that the accounts are correct in all respects and that the
record of receipts and payments are so clear, explicit and self contained as
to be producible, if necessary, as satisfactory and convincing evidence of
facts.
Note:- A complete record of cash transactions and book transfers relating to
the district treasury, including those of sub- treasuries within its jurisdiction,
will be kept in the Accountants Cash book. Every item received or paid as
well as all adjustments by transfer should be entered in the cash book or in
some register subsidiary to the cash book in accordance with the directions
contained in the Account Code, Volume II. The daily total form cash
subsidiary register should pass into the cash book.
62. The treasury Officer shall prohibit any erasures or overwriting in the cash
book and other registers of initial record or in any account or schedule and
verify and initial every correction in them

Sub-Treasury Accounts
63. The daily accounts of sub treasuries are incorporated in the accounts of the
district treasuries in accordance with the direction contained in the Account
Code, Volume-II. It is the duty of the Treasury Officer to Scrutinize and
examine every item of receipts and payments shown in the daily accounts and
point out and watch against all irregularities in the same was as those at the

26 | P a g e

district Treasury. He shall examine and regulate the procedure of subtreasuries, as far as he can, from the daily examination of their accounts.
Note: if the Treasury Officer, owing to the volume of sub-treasury
transactions, finds ti difficult to scrutinize each and every sub-treasury
voucher, he may at his discretion leave over the work to the Accountant a
percentage check not less than 20 per cent being effected by him. All
vouchers checked by the Treasury Officer himself must be initialed by him as
a token of the fact that he has exercised that check.
64. The treasury officer shall see that the cash balance of the sub-treasury has
been actually counted and certified by the Sub-Treasury officer on the closing
day. The cash balance of the sub treasury must be written in words as well as
in figures; the words being written in such manner as to leave no room for
alteration or interpolation. The treasury officer is also require to observe
special precautions to satisfy himself that the sub treasury officers signature
on the daily sheet and supporting documents is genuine and that the accounts
have not been tampered with in transit. The accounts must invariably be sent
by post.

Closing for the Day

65. Subject to the directions contained in this behalf in the Accountant Code,
Volume-II, the process of closing accounts for the day shall be as follows:(a)

The daily total of each subsidiary register will be entered in the

appropriate part of the cash book which will ten be totaled and the
balance memorandum at the top of the Accountants balance
sheet will be drawn up strictly in accordance with the directions
contained in the Account Code, Volume II. To the account
balance this brought out, the additions and deductions indicated at

27 | P a g e

the foot of the cash book form will be applied so as to bring out the
cash balance at the district treasury.
(b)

Meantime , the treasurer will also sum both sides of his cash book
and draw up his balance memorandum in the form of the
Treasurers daily balance sheet (Form T.R.-3)

(c)

If the results shown in the two balance sheets agree, the Treasury
Officer should sign the two cash books and the two balance
sheets. He should first satisfy himself of the correctness and good
order of all these documents and should give special attention to
the reconcilement of the account balance of the district with that
actually in the headquarters treasury; the latter excludes the
balance in sub-treasuries or under remittance within the district
which the former includes.

(d)

The following memorandum of some of the more important parts of

the verification. The Treasury Officer should
(i) Compare each entry of payment in a register with the payment
order, ticking off each voucher as it is passed. This will not be
necessary if the Treasury officer adopts the alternative plan of
having the account entry presented to him for initial at the same
time that he signs the order of payment;
(ii) Examine at least two of the totaling of each side marking the
totals as exd;
(iii) See that the totaling are correctly carried from the register to
cash book, initialing the total as he thus compares them.
Note:- this must be done in the case of receipts register even when
the total for the day is blank; but it is not necessary to initial blank
payment registers. If then number of blank receipt registers is great,
the following plan may be adopted. Such registers as are only rarely
required for entry may be bound in a single volume and kept under
the Treasury Officer own lock. When the volume is required for

28 | P a g e

entry, he should give out the register for the purpose and he should
receive it back at the time of signing the daily accounts, carefully
seeing in doing so that all new entries in it are correctly carried to
the cash book and initialing them accordingly. It is obviously
necessary to guard against fraud or mistake of omitting to bring all
entries from these registers upon the cash book and this precaution
is not complete if the Treasury Officer examines only those
registers from which an entry is made upon the cash book.
(iv) Verify the totaling of the cash book or get it done by some
principal subordinate officer other than the Accountant who
should initial it as correct;
(v) See twice every week that all vouchers are properly arranged.
(e)

Before signing the Treasurers daily balance sheet, the Treasury

officer should roughly verify the balance in the sole charge of the
Treasurer, as shown in that sheet, and satisfy himself on the
following points.
(i) That no uncurrent coins are left in the charge of the Treasurer;
(ii) That no more small coins are so left than are actually required
for current use;
(iii) That the whole balance in the sole charge of the Treasurer
never exceeds his current requirements.

(f)

The Treasury Officer should always be careful to sign the

Treasurers balance sheet in the evening of the day itself to which
it refers but the signature on and comparison of the Accountants
books need not be made till the following morning unless the office
is to be closed for two or more days. The Accountants balance
sheet must not be signed until it has been carefully agreed with the
Treasurers.

29 | P a g e

Note:- Ordinarily the Treasurers balance sheet should be compared and

agreed with that of the Accountant before closing the treasury for the day
and it is only when pressure of work renders this impossible that the
comparison may be postponed till the following morning. When this is
necessitated, the certificate over the treasury Officers signature at the
foot of the Treasurers balance sheet should be altered in manuscript by
canceling the words agreed with the Accountants daily balance sheet
and before the form is signed by the Treasury Officer which must be done
before the closing of the day. An additional certificate will then be added
and signed by the Treasury Officer the following morning, viz., agreed
with the Accountants daily balance sheet. For the 31st march and first
few days of April, it will be necessary for the Accountant to prepare a
separate rough balance sheet on each of these days for comparison with
that of the Treasurer as the completion of the Accountants balance sheet
for the 31st March has to await the receipt of the sub-treasury account.
(g)

The foregoing provisions of this rule apply also to Bank treasuries

subject to the modification that in the absence of the Treasurers
balance sheet the correctness often daily accounts should be
tested by a comparison of the totals of receipts and payments in
the Accountants cash book with the corresponding totals in the
daily accounts received from the Bank.

Note:- when with the concurrence of the Accountant-General, the daily

account of the Bank is submitted to the treasury in the morning of the day
following that to which it refers, the signature and comparison of the
Accountants book may be made in the evening instead of in the morning
if the day on which the Bank accounts are received, provided the
pressure of work renders it necessary so to postpone it.
66. (1) With the single exception of March for which the accounts of the district
treasury must be kept open until receipt of daily sheets of every sub-treasury

30 | P a g e

for 31st March, the monthly accounts shall be closed without fail on the last
day of each month. Every endeavour shall be made to close the March
accounts at the earliest possible date and, in the any case, not later than the
5th of April, except in the case of district treasury at Port Blair where these
accounts shall be closed not later than 15th of April.
(2) The accounts of the sub-treasury shall be closed as on he last day of the
calendar month, including therein all the transactions at the sub-treasury
during the month. The district treasury shall incorporate the accounts of the
sub-treasury in its monthly accounts.
67. (1) In closing the accounts of the district treasury for the months, months
totals of the subsidiary registers will be carried into the cash account in the
case of receipts and into the list of payments in the case of payment, the cash
account being closed in accordance with the direction contained in the
Account Code, Volume-II. The cash must be verified by actual counting and
the cash balance report made out in accordance with the procedure
prescribed in Part IV.
(2) The monthly cash shall be subjected to a very careful check by the
Treasury Officer when it is laid before him. He must satisfy himself that the
opening and closing balances of this account are not merely deductions from
accounts but are statements of facts certified to have been verified by actual
enumeration of coins and notes. The Treasury Officer also check cash entry I
the cash account and list of payments with the corresponding totals in the
cash book and see that the totals of all the registers are correctly carried into
the cash book.
Note:- If at any time the treasury Officer be unable to compare all entries he
may compare at least some; notably, he should compare the entries in the
plus and minus memorandum of deposits, stamps, etc., with the entries in the
account , e.g., the plus and minus memorandum shows a reduction in the
stock of judicial stamps to the value of Rs. 5000; if the credit in the accounts
be less, the difference must be traced and satisfactorily accounted for.

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Monthly Accounts and Returns

68. (1) A complete list of treasury accounts and returns to be rendered on
different prescribed dates to the Accountant-General, the Currency Officer
and other authorities shall be kept at each treasury. The accounts and returns
be written up in accordance with the directions contained in this behalf in the
Account Code, Volume-II and such orders and instruction as may be issued
by the Collector.
(2) With regard to the punctual submission of the accounts and returns the
administrator shall view with severe displeasure any avoidable delay on the
part of the collector or of the Treasury Officer in the dispatch of the prescribed
accounts and returns with complete schedules and vouchers particularly
those required by the Government, the Accountant-General and the Currency
officer concerned.
Note:- the returns de for dispatch on a holiday may be sent a day (but not
more than one day) late.
69. Vouchers pertaining to each schedule relating to the cash account or the list
of payments shall be numbered consecutively in separate monthly series and
kept under lock and key in the order of payment till they are dispatched.
Before the dispatch of the lists of payments and schedules the Treasury
Officer shall be inspection satisfy himself that the required vouchers are all
attached. He may find it profitable at intervals during the month to take up a
schedule and see that all its vouchers are present in proper order; as no
payment can be made without a voucher, there can be no excuse for the
absence of any, unless it be that for a specific remittance.

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Treasury Inspection
General Rules
70. Every Collector shall make a systematic inspection of the working the treasury
once a year with the object of ensuring that the procedure actually observed
at the treasury is in accordance with the rules and orders in all respects and
that the accounts and other records are properly maintained. The inspection
shall be carried out in accordance with the following instructions:(a)

The strong room should be first inspected, then the Treasurers

Branch and lastly the Accounts Branch.

(b)

The cash balance should be verified if not already done in the

month preceding that in which the inspection is held.

(c)

The following are some of the more important points to which

personal attention must be devoted at the inspection :(i) That arrangements connected with the strong-room for storage
and custody of treasure, stamps , opium, padlocks and keys and
other valuables are perfect and complete;
(ii) That cash, draft forms and cheque forms are handled strictly in
accordance with the rules;
(iii) That the arrangements for the examination of money received
and of claims to be paid are satisfactory;
(iv) That the Treasurer and potdars have given adequate security
and tat the former has in addition furnished a security bond in
proper form;
(v) That the Treasury Officer exercises a proper and adequate
check over the working of the treasury;
(vi) A general review of the various records, register, books of
reference, etc., should be undertaken to see whether the
detailed orders of competent authorities issued since the date of
last inspection relating to such matters as the issued of coins
and notes, remittances, custody of padlocks and keys, stamps

33 | P a g e

and opium, and maintenance of accounts are readily available

for reference and have been properly maintained.
These points are not exhaustive and the collector has full discretion
to add other items according to local needs. Neither the
specification of these points nor the inspection carried out by an
officer of the Indian Audit and Accounts Department shall in any
way diminish the Collectors personal must be made as
systematically and thoroughly as possible; it is open to the
inspecting officer to extend his personal scrutiny to points not
mentioned in this rule and which in his opinion require such
scrutiny.
71. Copies of inspection memorandum and orders passed thereon by the
Administrator shall be forwarded to the Accountant-General for information.
Miscellaneous Provisions
Deposit of cash and Valuables of other Department
72. if for special reasons, the Collector directs the cash chests belonging to any
Government Department to be lodged in the Treasury for safe custody, the
fact shall be reported for information of the Accountant General . A register
shall be kept in the treasury in which the receipt and return of the chest should
be duly acknowledged. The key or keys of the chests must not be kept in the
treasury not shall the amounts of such chest be brought into the accounts of
the Treasury. The accountant- general may report to the Administrator any
case in which the permission appears to have been improperly granted by the
Collector.
73. Bullion, jewellery and other valuable coming into the hands of a Government
Officer in his official capacity may be received into the treasury for safe
custody at the discretion of the collector. The procedure to be observed by the
Treasury Officer in dealing with such articles may be laid down by the

34 | P a g e

Administrator. The value of such articles must not be brought into the
accounts of the treasury.

Notices
74. Notices shall be exhibited conspicuously I the office of the hours at which the
treasury closes for receipts and payment of money which should be at least
an hour before the end of the days work, in order to gibe time for closing and
agreeing the accounts.
75. The Treasury Officer shall personally see tat the notices which he is required
to exhibit under standing orders or other instruction received from time to
time, such as those regarding encashment of notes, supply of small coins, are
exhibited conspicuously in places which the public enters freely and that no
favouritism is shown in the conveniences which the treasury can offer.
NOTE:- Notices regarding financial matters which may in any way commit the
Government with public other than those issued by the Revenue or other
Departments with which the Currency Officer is not concerned should not be
exhibited in any treasury unless its form is previously approved by the Currency
officer.
Custody of Security Bonds
75-A. The security bonds of Government servants employed in treasuries shall
be kept in a locked box in the double lock strong-room of the district treasury. The
Treasury Officer will be responsible for the safe custody of the bonds and shall
keep the key of the box in his personal custody.

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Part III- RECEIPT OF GOVERNMENT MONEY AND PAYMENT OF SUCH

MONEY INTO THE GOVERNMENT ACCOUNT
General Rules.
General instructions for handling cash
1

76.

Government dues or other moneys receivable on Government account may

be realized in cash, (i.e., in legal tender coins or notes), or by cheques 2[or drafts
drawn on any local branch of a scheduled bank] or by money orders or by postal
orders or in such other forms as ma be prescribed by government. Dues, etc., of
Ministries, Departments of Government of India and of their Attached/Subordinate
Offices are generally received by Departmental Officers or by specified branches
of the Banks accredited to them in the form of crossed local drafts or cheques or in
cash unless otherwise specifically notified. In the case of Union Territory
Governments/Administrations, dues may be received either by Departmental
officers or by ay and Accounts Officers or by Treasuries or by banks attached to
Treasuries, as the case may be. In the case of Departmental Officers, the amount
receivable in cash will not, however, exceed Rs. 100.00 in each case or such
higher amounts as they may be authorized to receive.
Note 1- The term local branch as used in this rule and in Rule 79 means a
branch of a Bank located in the station in which a departmental office with cheque
drawing powers/a pay and accounts office or a departmental office without cheque
drawing powers (set up under the Scheme of departmentalization of Accounts) or
a Bank Treasury, as the case may i.e, is situated.
2.

In the case of departmental officers not having cheque drawing

powers, local cheques/demand drafts should be accepted in favour of the

concerned Pay and Accounts Officers. However, when cheques / demand drafts
are received in the name of former officers under any Rule or Act or otherwise,
these may be endorsed by them for payment to their respective by such
departmental officers functioning at places other than those of their Pay and

36 | P a g e

Accounts Officers may be remitted to the latter officers by means of crossed bank
drafts, for being credited into Government account.
77.

Save as otherwise expressly provided in these rules or in any authorized

departmental regulations, the following rules shall be observed by all
Government officers who are required to received Government dues and
handle cash:(i) Every Officer receiving money on behalf of the Government
should maintain a cash book in Form T.R.-4.
(ii) All monetary transactions should be entered in the cash book as
soon as they occur and attested by the Head of the Office in
token of check.
1

[Exception.- Account Payee cheques issued by Pay and Accounts

Officers and also those issued by the Cheque Drawing and Disbursing Officers as
a result of Pre-check of bills submitted to them by non-cheque drawing DDOs, in
favour of Government servants and third parties, being payable only to the parties,
need not be entered in the cash book; their delivery, etc., is to be watched through
a separate register.]
(iii) The cash book should be closed regularly and completely
checked. The head of the Office should verify the totaling of the
cash book or have this done by some responsible subordinate
other than the writer of the cash book and initial it as correct.
(iv) At the end of each month, the Head of the Office should verify
the cash balance in the cash book and record a signed and
dated certificate to that effect. The certificate should also be
recorded on the monthly cash account, primary abstract or
account current is required to be submitted to the Accountant
General. Such certificates must be signed by the Head of the
Office who should invariably date the signature.

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2[Note:- In case the verification of cash balance is not possible on the last
working day of a month on account of disbursement of monthly salary and
allowances, it may be done on the first working day of the next month before
making any transactions on that day.]
(v) When Government moneys in the custody of a Government
officer are paid into the Treasury or the Bank, the Head of the
Office making such payments should compare the Treasury
Officers or the banks receipt soon the challan or his pass book
himself that the amounts have been actually credited into the
Treasury or the Bank. When the number of payments made in a
month is more than ten and the total amount involved there in
exceeds Rs. 1,000, he should, as soon as possible after the end
of the month, obtain from the treasury a consolidated receipt for
all remittances made during the month which should be
compared with the postings in the cash book.
NOTE:- Notwithstanding the provisions of this clause, the Head of the
Officer may at his discretion obtain a consolidated receipt irrespective of the
number of payments made I a month and the total amount involved therein.
(vi) An erasure or overwriting of an entry once made in the cash
book is strictly prohibited. If a mistake is discovered it should be
corrected y drawing the pen through the incorrect entry and
inserting the correct one in red ink between the lines. The Head
of the Office should initial every such correction and invariably
date his initials.
(vii) A Government officer who handles government money should
not, except with the special sanction of the Head of the Officer
be allowed to handle also in his official capacity money which
does not belong to the Government. Where under any special

38 | P a g e

sanction, a Government officer deals with both Government and

non-Government money in his official capacity, the Government
money should be kept in a cash box separate from the nongovernment money and the transactions relating to the latter
should be accounted for in a separate set of books and kept
entirely out of the Government Account.
(viii) The employment of peons to fetch or carry money should be
discouraged. When it is absolutely necessary to employ one for
this purpose, a man of some length of service and proved
trustworthiness should only be selected and in case where the
amount to be handled is large, one or more guards should
accompany the messenger.
Note 1:- The duties imposed by Clauses (ii0to (vi) of this rule on the Head
of the Office may be entrusted to a subordinate Gazetted officer nominated by the
Head of the Office for this purpose.
Note2:- The cash books should be bound in convenient volumes and their
pages machine- numbered. Before bringing a cash book into use, the Head of the
Office or the officer nominated by him under Note 1 should count the number of
pages and record a certificate of count on the first page of the cash book.
1

77-A.

Save as otherwise expressly provided in these rules or in any

authorized departmental regulations, the following rules shall be observed by all

Government officers who are required to (a) receive Government dues and handle
cash and / or (b) perform the functions of Drawing and Disbursing Officers (with or
without cheque drawing powers):(i) Every such officer (referred to in the rule as the Head of office) should
maintain a cash book in Form T.R-4.
(ii) All monetary transactions should be entered in the cash book as soon
as they occur and attested by the Head of the Office in token of Check.

39 | P a g e

EXCEPTION:- (a) An Account payee crossed cheque / bank draft drawn

in the personal name of a recipient (Government servant or third party ) by a Pay
and Accounts Officer (or by a cheque drawing DDO) and routed through a
departmental office merely for the purpose of delivery to the recipient thereof need
not be entered by the latter office in its cash book; the delivery, etc., of such a
cheque / demand draft to the concerned party may be recorded in and watched
through a separate register.
EXCEPTION:- (b) Cheques issued by cheque Drawing DDOs are required
to be enter in a Register of Cheques issued in form T.R. 74. therefore, only those
cheques drawn by him which are encashable in his capacity as Disbursing Officer
for arranging payments in cash, need be entered in the cash book.
1

[EXCEPTION(c) Receipts in the form of local cheque/bank drafts (to be

crossed) in favour of Pay and Accounts Officer (or received in favour of DDOs
under any Rule or Act but endorsed in favour of PAOs) accepted by non-cheque
drawing DDOs need not be entered in the cash book, but should be interned in the
register of valuables (Form T.R. 75) and remitted into the accredited bank, duly
supported by challans for credit to Government Account.1]
(iii) The cash book should be closed regularly and completely checked. The
head of the Office should verify the totaling of the cash book or have this
done by some responsible subordinate other than the writer of the cash
book and initial it as correct.
(iv) At the end of each month, the head of the Office should verify the cash
balance in the cash book and record a signed and dated certificate to
that effect. In regard to any discrepancy noticed therein, instructions
contained in Rule 16 of GFRs should be followed.
(v) Entries made in the cash book regarding remittance of receipts to the
accredited bank for credit into government accounts should be attested
by the Head of Office after verifying them with reference to the banks

40 | P a g e

receipt recorded on the pay in- slip or challans. When the credit
appears in the receipt scroll from the bank, the actual date of realization
of the cheque/bank draft should be indicated 2[by cheque drawing
DDOs] against the original entry in the cash book so as to keep track of
outstanding items.
(vi) An erasure or overwriting of an entry once made in the cash book is
strictly prohibited. If a mistake is discovered, it should be corrected by
drawing te pen through the incorrect carry and inserting the correct one
in red ink between the lines. The Head of the Office should initial every
such correction and invariably date his initials.
(vii) A Government officer who handles Government money should not,
except with the special sanction of the Head of the Officer be allowed to
handle also in his official capacity, money which does not belong to the
Government. Where, under any special sanction, a Government officer
deals with both Government and non-Government money in his official
capacity, the Government money should be kept in a cash box separate
from the non-Government money and the transaction relating to the
latter should be accounted for in a separate set of books and kept
entirely out of the Government account.
(viii) The employment of peons to fetch or carry money should be
discouraged. When it is absolutely necessary to employ one for this
purpose, a man of some length of service and proved trustworthiness
should only be selected and in cases where the amount to be handled is
large, one or more guards should accompany the messenger.
NOTE 1:- The duties imposed by Clauses (ii) to (iv) of this rule on the Head
of the Office may be entrusted to a subordinate Gazetted Officer nominated by the
Head of the Office for this purpose.
NOTE2:- The Cash books should be bound in convenient volumes and their
pages machine numbered. Before bringing a cash book into use, the Head to the

41 | P a g e

Office or the Officer nominated him under Note 1 should count the number of
pages and record a certificate of count on the first page of the cash book.
NOTE3:- If large number of bank drafts/cheques are received by any
departmental office, receipt thereof and remittance into bank need not be entered
individual itemwise in the cash book. If would be sufficient if the total of the daily
entries pertaining to the same classification from the register of valuables(Form
TR-750 maintained for the purpose is carried to the cash book giving cross
reference in the latter to the serial numbers thereof in the former.
78.

Deleted.
Cheques rendered in payment of Government dues

79.

(1) (a) At places where the cash business of the treasury is conducted by
the Bank, cheques drawn on local branch of a scheduled bank may be
accepted by departmental officers or the treasury or the Bank in payment
of Government dues or in settlement of other transactions with the
Government. The cheques should be crossed by the drawer before
tendering. However, until the cheque is cleared, the Government cannot
admit that payment has been received, consequently, the receipt of the
cheque alone may be acknowledged when it is tendered. A formal
payment receipt, if so desired by the tendered, shall be sent to his address
after the cheque bas been cleared. The preliminary acknowledgement of
the receipt of the cheque will be given in the form belowReceived

cheque

number

..

for

Rs.

.drawn on .. on account of . As per Challan

No. .
NOTE:- The bank reserves to itself the right to refuse to accept cheques,
collection of which in its opinion cannot reasonably be undertaken.
(b) In the event of the cheque being dishonoured by the Bank on presentation,
the fact shall be reported at once to the tenderer with a demand for payment in

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cash and the dishonored cheque should be returned to the tendere on

surrendering the preliminary acknowledgement of the receipt of the cheque or
any token preciously granted. The Government cannot, however, accept any
liability for loss or damage which may possibly occur as a result of delay in
intimating that the cheque has been dishonoured.
NOTE:- The challan accompanying the cheque should not be returned to
the tenderer when the dishonoured cheque is returned to him but should be
retained and destroyed in due course.
(c)

When Government dues which are payable by certain fixed dates

are paid by cheque, the person desiring to make such payments in this manner
without risk must take suitable precautions to ensure that his cheque reaches the
treasury or the receiving office at the latest on the working day preceding the date
on which the payment is to be made. Cheques received on the last day of
payment of Government dues may be refused at the discretion of the officer to
whom they are tendered and those received later will to be accept.
(2) The Government may, in relation to any particular class of transactions
involving payment of Government dues, issue orders varying or relaxing any of the
conditions prescribed n this rule.
80.

bank drafts shall not be distinguished from cheques for the purpose of
these rules and, provided that a cheque tendered in payment of
Government dues is accepted under the provisions of Rule 79 and is
honored on presentation, payment shall be deemed to have been made(i) if the cheque is handed over to the Governments bankers or to
a Government officer authorized to receive money on behalf of
the Government, on the date on which it is so handed over; or.

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(ii) If it is sent by post in pursuance of an instruction to make

payment by post, on the date on which the cover containing, if
is put into the post;
Provided that where a cheque is marked as not payable before a certain
date; the payment shall not be deemed to have been made until the date on which
it becomes payable.
NOTE:- The provisions of Clause (ii) above apply mutatis mutandis to
payments made to the Government by Postal Money Order or by any other
recognized mode of remitting money by post.
81.

Deleted.
Grant of receipt to the payer

82.

(1) The head of an Office where money is received on be half of the

Government must give the payer a receipt duly signed by him after he has
satisfied himself, before signing the receipt and initialing its counter foil,
that the amount has been properly entered in the cash book. If the
circumstances so justify, he may at his discretion authorize any other
officer subordinate to him, whether Gazetted or non-Gazetted to sign such
receipts for him
NOTE. It is not necessary to issue a receipt to a payer in cases where the

field staff of the National Savings Organization receive moneys on account of sale
of savings boxes.
(2) Where money is realized not in cash but by recovery from a payment
made on a bill setting forth full particulars of the deduction, receipt may be granted
only if specifically desired by the payer, the fact of the recovery having been made
by deduction from the bill being clearly recorded on the receipt.

44 | P a g e

(3) All receipts must be written in figures and in words in the original and
such other copies of challans in Form T.R-6, prescribed in Rule92, as are required
to be given to the tenderer of money, and signed in full over the Cash
Received/Received Payment stamp. Other copies of the challan may, however,
be initialed against the amount already indicated therein over the Cash
Received/Received Payment stamp.
Form and Custody of Receipt Books
83.

Receipt books in machine-numbered Form T.R.-5 may be obtained from

the Central Forms Store, Calcutta. This standard form shall b e used by all
Government officers receiving money on behalf of the Government to suit
the convenience of any special form of receipt is prescribed by
departmental regulations to suit the convenience of any particular
department or office.

84.

The receipt books must be kept under lock and key in the personal
custody of the officer authorized to sign the receipt on behalf of the
Government.

85.

Before a receipt book is brought into use, the number of forms contained
therein shall be counted and the result recorded in a conspicuous place in
the book over the signature of the Government officer in charge of the
book. Counterfoils of used receipt books shall be kept in his personal
custody.
Issue of duplicates or copies of receipts

86.

No Government officer may issue duplicates or copies of receipts granted

for money received on the allegation that the originals have been lost. If
any necessity arises for such a document, a certificate may be given that
on specified day a certain sum on a certain account was received from a
certain person. This prohibition extends only to the issue of duplicates on

45 | P a g e

the allegation that the originals have been lost and does not apply to cases
authorized by these rules or by these rules or by special orders of the
Government in which duplicates have to be prepared and tendered with
originals.

Departmental Regulations
87.

Subject as provided in the Rules 76 to 86, the detailed procedure to be

adopted in any particular department of the Government with regard to the
realization of the Government dues and granting of receipts for the money
realized may prescribed by departmental regulations.
Procedure for paying money onto the Government Account
Payment of money

88.

Deleted.

89.

Whenever under the provisions of sub-rule (2) of Rule 7 moneys received

on account of the revenues of the Government instead of being paid into
treasury or the Bank are utilized to meet departmental payments, the
gross receipts and the payments made there from shall be entered as
receipts and expenditure in any record that may be kept of the payments
into and withdrawals from the Consolidated Fund and accounted for to t he
Accountant General. If the receipts are in excess of payment made be,
and save where it is otherwise provided in these rules, t he officer making
such remittance shall note on the memorandum or challan prescribed
under Rule 92 the full amount of cash actually received by him and not
merely the net receipts.
When a departmental officer remits a cheque to the treasury or the

Bank in

adjustment of departmental receipts temporarily appropriated for

46 | P a g e

departmental

payments, the particulars of the cheque shall be noted on the

challan or remittance
90.

note.

An officer remitting a cheque to the treasury or the Bank for transfer credit
in the government Account must endorse the words Received payment by
transfer credit to (a), on the document . The officer who endorse a cheque
in blank shall be held primarily responsible for the loss if, by any chance,
such a cheque is paid in cash.
(a) The head of account to which the amount of cheque is creditable
should be inserted here.

91.

Cash may not be received by Treasury Officer from Officers of the

Government for supplies of service postage stamps; such supplied being
regulated by the procedure laid down in rule 317.
Memorandum or Challan

92.

Subject as otherwise provided in these rules or unless the Government

direct otherwise in relation to any particular class of transaction, any
person paying money into the treasury or the Bank on Government
Account shall present with it a memorandum ( or challan) in Form T.R.-6,
showing distinctly the nature of the payment, the person or Government
officer on whose account it is made, and all the information necessary for
the preparation of the credit and, where necessary for its allocation
between the Governments and the departments concerned. As far as
possible, separate challan shall be used for moneys creditable to different
head of account.
NOTE1:- Where under Rule 557 or under any other special rule or order,

revenue collected at outlaying stations is permitted to be remitted to treasuries by

means of money order, no challan will be required but the amount of the money

47 | P a g e

order may be adjusted by book transfer on a receipt signed by the Postmaster in

accordance with the procedure prescribed in Rule 322.
NOTE2:- Any person paying money into a treasury or the Bank or
Government Account to the credit of the Central Public Works Department shall
present with it a memorandum or challan in Form TR-6 with the letters CPWD
superimposed diagonally in red ink on the challan.
NOTE 3:- In making the rupee deposits to the Government Account in
respect of imports financed under Direct Payment Procedure applicable to various
foreign loans or credits, Form T.R. -6-A, shall be used invariably in quadruplicate.
93.

Except as provided otherwise in these rules, challans shall be presented in

duplicate. Save where any other arrangement has been authorized by the
Government for the supply of challan form, printed forms of challan which
may with advantage be bilingual will be supplied by the Treasury Officer
free of charge.
NOTE:- In every case of recovery of overpayment made in cash, a challan

shall be presented in triplicate, containing full particulars of the number and date
of encashment of the voucher and also the head of account under which the
amount was originally drawn, one copy of the challan being forwarded y the
treasury to the Accountant-General in support of the credits incorporated in the
monthly schedule of receipts of the department concerned.
94.

Duplicate challans are not required when remittances are made to the
treasury for obtaining Reserve Bank drafts or cash orders or when such
remittances are accompanied by remittance or pass books in which the
Treasury Officer is required to acknowledge receipt of the remittance.

95.

When money is paid by a private person into the treasury located in the
same place as the departmental officer concerned with the payments, the
challans will, before presentation to the treasury, be signed by the
departmental officer to whose account the money is to be credited or
affixed with facsimile signature of the departmental officer by an officer

48 | P a g e

authorized y him to fill in the challan. The departments concerned with the
receipt of taxes or other demands of a known or foreseeable nature which
have to be paid periodically or at fixed intervals will however, issue challan
form to the intending depositor in triplicate duly filled in and signed or
affixed with facsimile signature. Notwithstanding this arrangement, the
responsibility for prompt payment of Government dues will rest with the
party required to make such payment and he should tender the money
along with challan into the treasury. The challan should normally be
tendered in triplicate, one copy of the challan being forwarded by the
treasury to the departmental officer concerned.
NOTE 1:- A special form of challan has been prescribed for the payment of
income tax into treasury; the portion which is marked original should be sent to
the departmental officer.
NOTE 2:- In the case of Bank treasuries, money may be paid direct into the
Bank if the supporting challans are signed or affixed with facsimile signature of
the concerned departmental officer.
96.

At places where the cash business of the treasury is conducted by the

bank the challan must, except

as otherwise provided in Part-IV, be

presented to the Treasury Officer who will have it enfaced with an order to
the Bank to receive the money and to grant a receipt.
97.

Deleted.

Special procedure applicable to particular departments

98.

The procedure to be observed b officers of the Defence, Railway, Posts

and Telegraphs, Public Works and Forest Departments in paying into the

49 | P a g e

treasury or the Bank moneys received by them shall be regulated by the

rules laid down in Part-VII.
Procedure at treasuries in receiving money and granting receipts
Checks to be applied at Treasury
99.

The memorandum or challan with which money is presented shall be

handed first to the Accountant (Treasury Clerk) who, if it is in order in all
respects, shall initial it. Next the person making the payment shall present
it with cash to the Treasurer, who must count and test the money, enter
the amount in his cash books and sign the challan which will again be
taken to the Accountant for entry in his cash book and for preparation of a
formal receipt for his own or the Treasury Officers signature. Such a
receipt only shall be the proper quittance.

100.

Except as provided in Rule 103, receipts for some below Rs. 2,500 do not
require the signature of the Treasury Officer and may be signed by the
Treasurer and the Accountant. As regards receipts for sums received by
transfer in account, which don not required the signature of the Treasurer,
the Collector shall, by an office order, designate the person who shall
attached the second signature in the case of sums under Rs. 2,500,
Receipts for Rs. 2,500 and over must invariably be signed by the Treasury
Officer.

101.

Deleted.

102.

If the challan is in duplicated, triplicate or quadruplicate the challan marked

Original shall be returned to the tenderer duly signed as a receipt
provided that, where under any authorized rule or procedure the Original
challan is required to be returned to the departmental authority or to be
otherwise dealt with, the treasury receipt may be given on the duplicate or
such other copy as may be specially marked for this purpose. In cases in
which the challan is accompanied by a remittance book or a pass book,

50 | P a g e

the treasury receipts may be given on the remittance book or the pass
book, as the case may be.
103.

Receipts for supplies of service stamps, when such receipts are to be

given for cash received from the public or for cheques drawn by an officer
of an indenting department, shall be given in From T.R.-5 . such receipts
of respect of service stamps wroth below Rs. 2,500 may be signed by the
Accountant while those for service stamps wroth Rs. 2,500 and above
shall be signed by the Treasury Officer.
NOTE 1:- The Defence Department has a special form of requisition for

service postage stamps. The treasury Officer should return this form duly signed.
No separate receipt need be granted to the Indenting Officer.
NOTE 2:- when the value of stamps is paid by cheque and a separate indent in
Form T.R. -35 is sent to the treasury under Rule 317, the indent form should be
recorded in the treasury and should not be signed by the Treasury Officer as a
receipt.
Examination Fees
104.

Fees payable by candidates in India for examination conducted by the

Union Public Service Commission should not be received at the treasury
but should be remitted to the Secretary, Union Public Service Commission
by means of crossed Indian Postal Orders. Such fees in the case of
candidates residing outside India may be received by the Missions abroad.
Remittances of departmental officers

105.

The procedure to be observed by the Treasury Officer with regard to

remittances made by or in respect of the departments mentioned in Rule
98 shall be regulated by t he provisions contained in Part-VII.

51 | P a g e

Procedure at Sub-treasury and Bank treasury

106.

The provisions of Rule 99 et seq with regard to the receipt of money at

district treasuries apply to sub-treasuries also, but all receipts for sums
paid not exceeding Rs. 500 may be signed by the official who maintains
accounts at the sub-treasuries and those exceeding this amount by the
Sub-treasury Officer.

107.

Deleted.

108.

The procedure to be followed by treasuries, the cash business of which is

conducted by the Bank with regard to moneys tendered for credit into the
Government Account, and by the Bank in receiving such moneys and
granting receipts for them, shall be regulated by the rules laid down in
Part- VI.
PART V WITHDRAWAL FROM THE
GOVERNEMENT ACCOUNT
SECTION I General Rules
Claims for withdrawals
Mode of withdrawals

130.

Save as otherwise specially pro vided in these rules, money may not be
withdrawn from the Government Account except by presentation of bills.
The purposes for which and the conditions under which money may

be

withdrawn by cheques are specified in this and subsequent Parts.

52 | P a g e

EXPLANATION.- A bill is a statement of claims against the Government

containing specification of t he nature and amount of the claim, either in gross or
by items, and includes such a statement presented in the form of a simple
receipt.
A bill or a cheque becomes a voucher only when it is receipted and
stamped paid.

Presentation of Claims
131.

Save as hereinafter provided, bills presented by a departmental officer,

personal claims preferred by a Government officer and all cheques
tendered at the treasury or at an authorized office of disbursement shall be
stamped , where necessary, for all other payments made on bills shall be
given at the time of payment.
At places where the cash business of the treasury is conducted by

the Bank

132.

this rule shall apply subject to the provisions of Part- VI.

Except as expressly provided in these rules, or as the Collector may

arrange locally in special cases for particular classes of claims, no bill or
cheque may be presented at a sub-treasury without being first submitted to
and the payment directed by the Treasury Officer.
Provided that where under the provisions of these rules or under any

special order of the collector, a sub-treasury is permitted to cash a certain class

of bills or cheques without the orders of Treasury Officer, the payment of such
bills or cheques shall not, except under special arrangement and on particular
occasions, be made at the district treasury also.

53 | P a g e

NOTE.- Payments which have to be made at sub-treasuries may be

arranged by obtaining cash orders or Reserve Bank drafts issued by the district
treasury in accordance with the provisions of these rules.
133.

When a person not in the Government employment claims payment for

work done, service rendered or articles supplied, such claims shall, unless
there are express orders of the Government to the contrary, be submitted
through the Head of the Department or other responsible Government
officer under whose immediate order the service was done or the equivalent
was given for which payment is demanded. The officer to whom such a
claim is submitted, shall be responsible for completing the necessary
formalities and for making the payment with due expedition. The payment
may be made be made by the officer by any recognized mode of payment,
that is, in cash, or by cheque where the system of payment by cheque is in
vogue at the treasury, or by Bank Draft or Postal Money Order at the
request and expense of the payee concerned.

NOTE.- Payments to pensioners are governed by special rules prescribed in

section IV of this Part
134.

Deleted.

134-A

A. Government officers may make such payments as are authorized

to be paid out of permanent advances or imp rests which they are permitted to
hold under orders of competent authority, subject to recoupment on presentation
of bills.
135.

The procedures to be observed by disbursing officers of the

Defence,

Railways , Posts and Telegraphs, Public Works, Forest and other Central
Departments and officials specified in Part-VII in making withdrawals from
the Government Account shall be regulated by the provisions of that Part.
Arrear Claims
136.

[No claims against the Government, other than those by one department

against another or by a State Government not preferred within two years of

54 | P a g e

their becoming due, can be presented without an authority from the

Accountant General, provided that such claims not exceeding Rs. 500 if
presented within three years of their becoming due may be paid without
pre-audit by the Accountant-General,] Provided further that this rule shall
not apply to the following categories of such claims :(a)

Clains on account of pensions, the payment of which is regulate

by Rule 369;

(b)

Claim on account of pay and allowances of such non-Gazetted

Government servants whose names are not required to be shown
in the pay bills under Rule 220(s);

(c)

Claims on account of interest on Government securities; and

(d)

Any other class of payments which are governed by special rules

or orders of the Government.

137.

Deleted.
Preparation and Form of Bills

138.

the following instructions with regard to the preparation and form of bills
shall be observed:(i) printd forms of bills as prescribed under these rules or other departmental
regulation should as far as possible be used. Bills for all debt-head items
should be drawn in separate forms printed in red ink on white paper.

(ii) If, in any case, the use of a bill purely in Hindi or any regional language
becomes unavoidable, a brief abstract should be endorsed in English
under the signature of the preferring officer stating the amount, the name
of the payee and the nature of the payment.
NOTE:- It shall not be necessary to endorse an abstract in English in case
of bills prepared in Hindi in the States of Bihar, Gujarat, Haryana, Himachal
Predesh, Madhya Predesh, Maharashtra, Rajasthan, Uttar Predesh and Union
Territory of Delhi subject to the condition that only international numerals are used
therein.

55 | P a g e

(iii) All bills must be filled in and signed in ink; entries and signature with ballpoint pens are also permissible provided the same are clear and legible.
The amount of each bill should, as far as whole rupees are concerned, be
written in words as well as in figures. The fraction of a rupee may,
however, be written in figures after the word stating the number of rupees,
but in the event of there being no fraction of a rupee, the word only must
be inserted after the number of whole rupees and care should be taken to
leave no space for interpolation as in the following examples Rupees
twenty-six only, Rupees twenty-five and 25 paise.
(iv) All corrections and alterations in the total of a bill whether made in words
or figures should be attested by the full signature, with date, of the person
signing the receipt as many times as such corrections and alterations are
made.
Erasures and over writings in any bill are absolutely forbidden and
must be

avoided; if any correction be necessary, the incorrect entry should be

cancelled

neatly in red ink and the correct entry inserted. Each such correction

or any

interpolation deemed necessary should be authenticated by the

drawing officer

setting his full signature with date against each.

(v) The full accounts classification must be recorded on each bill by the
drawing officer, the classification should also show whether the
expenditure is voted or charged and as far as practicable its allocation
between departments or Governments, where necessary.
(vi) Charges against two or more major heads should not be included in one
bill, but the Treasury Officer or any other disbursing officer will not take
exception to a bill on this ground, unless the items require different action
in his office such as entry in different registers.
This does not apply to the allowances of a Government servant
drawn with pay, as in such cases, the whole of the allowances, even if belonging

56 | P a g e

to two or more major heads of accounts, should be drawn on a single bill, if

debatable wholly to the Central Government.
(vii) When bills are presented on account of charges incurred under any
special orders, the orders sanctioning the charge should be quoted.
Copies of sanctions accompanying a bill must be duly certified by a
Gazetted Officer or by a responsible subordinate specially authorized in
this behalf by the Head of the Office.
This provision does not authorize a Treasury officer or any other Disbursing
Officer to refuse payment of a bill on the ground that the chare has not been
sanctioned. The responsibility for incurring unsanctioned charges rests with the
drawing officer.
(viii) Dates of payment sold, when possible, be noted by the payees in their
acknowledgements in sub-vouchers, acquaintances rolls, etc. if, for any
reason, such as illiteracy or the presentation of receipts in anticipation of
payment it is not possible for the dates of payment to be noted by payees,
the dates of actual payment should be noted by disbursing officers on the
documents under their initial either separately for each payment or by
groups as may be found convenient.
(ix) When the drawing officer requires payment to be made through some
other person or agency, he must specifically endorse an order or furnish
such authorization as may be necessary to pay to that specified person or
agency.
NOTE:- The general position in regard to endorsements on bills is set out in
Rule.
(x) When payment is desired wholly or partly by a Bank Draft, or in cases
where payments are made by the treasuries, like the treasuries in New
Delhi, by cheques in favour of another payee a formal application for the

57 | P a g e

draft or cheque should accompany the bill and the manner in which the
payment is desired should also be indicated in the drawers receipt on the
bill.
(xi) When it is desired that either the whole or a part of the amount of a bill
should be remitted d to a person or persons by Postal Money Order, the
bill should be accompanied by a p0roperly prepared Money Order Form
or Forms, as the case may be amount of the money order as well the
amount of commission due thereon should be shown as deductions in the
bill. The purpose of the money order must be briefly stated on the
acknowledgement portion of the money order form in continuation of entry
Received the sum specified on the reverse on . ,
sufficient space being left below the manuscript entry thus made for the
signature or thumb-impression of the payee.
(xii) The spaces left blank either in the money column or in the columns for
particulars of the bill should invariable be covered by oblique lines.
(xiii) A note to the effect that the amount of the bill is below a specified amount
expressed I whole rupees, which is slightly in excess of the total amount
of the bill, should invariably be recorded in the body of the bill in red ink.

139.

Deleted.

140.

The forms prescribed for the preparation of bills relating to various classes
of claims such pay and allowances of Government servant, contingencies,
pensions, etc., and the procedures to be observed in the presentation of
such claims are specified in the rules in Section II to V of the Part.
Signature and countersignature on bills

141.

Unless the Government have expressly authorized it to the case of any

specified office, no payment may be made on a bill or order signed by a

58 | P a g e

clerk instead of by the Head of an Office, although in the absence of the

letter the clerk may be in the habit of signing letter for him. Nor, may any
money be paid o a bill or order signed with a stamp. When the signature on
the bill is given by a mark or seal or thumb/great toe-impression, it shall be
attested by some known person. Signature in Indian characters other than
Hindi must always be transliterated.
NOTE1:- Bill affixed with facsimile signature of the authorized officer presented by
the Posts and Telegraphs Department for telegram and trunk cal charges, by the
Municipalities and Corporations for water and electricity charges and by the Ai
India on account of their dues against Government (for Passage fares, cargo and
excess luggage charges) forming sub-vouchers of the contingent bills may be
accepted for payment, if otherwise in order. Similarity, the recovery claims and
credit notes affixed with facsimile signature of the authorized officer of the Marine,
Shipping, Electricity and Forest departments of the Andaman and Nicobar
Administration may be accepted, if they are otherwise in order.
NOTE 2:- unsigned bills, prepared on computer, presented by the Indian Airlines
on account of its dues against the Government(for passage fares, cargo and
excess luggage charges) forming sub-vouchers of the contingent bills may be
accepted for payment if otherwise in order. The disbursing officer should, however,
maintain a record containing the complete details of journeys, etc., so that the
claim when presented can be verified.
142.

The Dead of an Office may authorize any Gazetted Officer serving under
him to sign a bill or order for him, communicating the name and specimen
signature of the officer to the disbursing office concerned. This will not,
however, relieve the Head of the Office in any way of his responsibility for
the accuracy of the bill or for the disposal of the money received in
payment.

I[ When the above arrangements are made due to his temporary absence from
headquarters on account of leave or tour, he should immediately, on return,

59 | P a g e

check that the bills passed and cheques issued by the nominated officer during
the period of his absence are correct, the payments have been properly
accounted for and record a certificate to this effect in the cash book. Similar
action may also be taken in case the arrangements are made due to his transfer
but in that case, the prescribed verification, etc.. may be made by the successor
officer, soon after he takes over new charge.]
143.

Bills requiring previous countersignature shall not be presented at a

disbursing office before such countersignature has been obtained.

144.

Bills which under any rule or order require to be pre-audited by the AccountGeneral before disbursement shall not be presented to the Treasury Officer
except through the Accountant-General.
Duplicate and Copies of Bills, etc.

145.

(1) No Government officer may issue duplicates or copies of bills or other

documents for the payment of money which has already been paid, on the
allegation that the originals have been lost. If any necessity arises for such
a document, a certificate may be given that on a specified day a certain
sum was paid to a certain person. This prohibition extends only to the issue
of duplicates on the allegation that the originals have been lost and does
not apply to cases, if any, in which, by any rule or order, duplicates have to
be prepared and tendered with the originals.
(2) In the case of a bill passed by the Drawing Officer/Controlling Officer for

presentation at a treasury but lost either before payment or before presentation

at the treasury, the Government officer, who drew the original bill, shall ascertain
from the treasury that payment has not been made on it before he issues a
duplicate thereof. The duplicate copy if issued must bear distinctly on its face
the word duplicate written ink. The fact that duplicate bill has been issued shall

60 | P a g e

be immediately communicated to the Treasury Officer with instructions to refuse

payment on the original bill if presented.
NOTE.- For the purposes of this rule, the Treasury Officer on receipt of a
request from any Drawing/Controlling Officer shall, after due verification from his
records furnish a certificate in the following form:Certified

that

Bill

No..,

Dated,

for

Rs(Rupees..) reported by .to have been

drawn by.him on this Treasury in favour of has not been
paid, and will not be paid if presented hereafter.
(3) When any kind of bill is required to be prepared in duplicate or triplicate, only
one copy shall be signed or countersigned in full and the other copy or copies
may be only initialed. If the pre-audit by the Accountant-General is required, only
the original copy shall be sent to that authority.
Stamps for Receipts
146.

Receipts for all sums exceeding 1[Rs. 5,000] must be stamped under
section 3 read with item 53 of Schedule I of the Indian Stamp Act, 1899 (2
of 1899), unless they are exempt from stamp duty.

A list of authorized exemptions relating to receipts is given in Appendix-2 [Not

reproduced].
NOTE 1:- The limit of 1[Rs. 5,000] up to which a receipt is not required to be
stamped should be applied to the net amount payable on a bill and not to the
gross claim preferred therein.
NOTE 2:- Receipts for payments made outside India should be obtained from
the payees and stamped in accordance with the local laws, if any, governining
the stamping of such receipts.

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Cheques
147.

Save as expressly provided in these rules, no person is authorized to draw

on a treasury by means of cheques without special order of the
Government and before he has been placed in account with that treasury
by the Accountant general.

148.

(1) Subject as hereinafter provided in this rule, cheques shall be drawn on

forms in cheque-books supplied by the district treasury to the disbursing
officer concerned.
Cheque-books required for use on the Bank shall also be obtained

from the

treasury and not from the Bank

(2) Drawing officers of the Defence, Railways and Posts and Telegraphs
Departments and Ministries/ Departments, the accounts of which have been
departmentalized, shall obtain their supplies of

cheque books under

departmental arrangements.
(3) Officers specially authorized by the Government to write cheques by means
of cheque-perforating machines will obtain their supply of cheque forms by
requisition from the Deputy Controller of Stamps, Central Stamps Stores, Nasik
Road. Such cheque forms will be in continuous lengths and will not be bound in
books.
149.

The Treasury Officer shall supply a cheque book only on receipt of the
printed requisition form which is inserted in the cheque book towards the
end and never more than on e cheque book on a single requisition. The
requisition must be signed by the officer authorized to draw on the treasury.

150.

A separate cheque book shall be used for each treasury or sub-treasury

except by offices using cheque perforating machines. Cheques from
books obtained from a particular treasury shall not be drawn on other
treasuries or sub-treasuries of other districts.

151.

The drawing Officer shall notify to the treasury upon which he draws the
number of each cheque book which from time to time he brings into use
and the number of each cheque book which from time to time he brings into

62 | P a g e

use and the number of cheques it contains. In the case of sub-treasuries

the advice shall ordinarily be sent through the district treasury; but in case
of emergency, it may be sent direct to the Sub-Treasury Officer, a copy
being forwarded simultaneously to the Treasury Officer.
NOTE:- In cases where cheques are authorized to be written by means of
cheque-perforating machines, there will be no separate book number on the
cheque forms, nor will any separate series of numbers be assigned to the
cheques to be drawn on a particular treasury, but cheques bearing numbers in
the same series may be drawn on different treasuries throughout India. The
numbers assigned to cheque forms in use during a particular period will be
intimated to all Treasury officers in India and the Officer in charge of a
particular treasury should honour a cheque if it bears one of the numbers
included in the series intimated to him periodically by the concerned drawing
officer.
152.

Cheques books shall on receipt be carefully examined by the drawing

officer who should count the numbers of forms contained in each and
record a certificate of count on the fly-leaf.

153.

Before a cheque book is brought into use, all the cheque forms in it shall be
marked by a distinguishing letter. Cheques drawn by a drawing officer on a
particular treasury shall be distinguished by a different letter from those
drawn by his subordinate officers against his drawing account on that
treasury and also from those drawn by himself on any other treasury or subtreasury.

154.

Each cheque book must be kept under lock and key in the personal custody
of the drawing officer who, when relieved shall take a receipt for the exact
number of cheques made over to the relieving officer.

154-A. In case where withdrawal of funds by cheques is no longer necessary, all

the cheque forms of cheque books, which remain partly or wholly unused, shall
be cancelled by writing the word cancelled prominently across each cheque
form and counterfoil, without signature of the drawing officer and thereafter

63 | P a g e

returned to the Treasury Officer concerned who shall destroy them by

incineration in the presence of the Collector after keeping a note of the fact in
the relevant records of the Treasury under proper attestation.
155.

The loss of a cheque book or a blank cheque form shall be notified promptly
to the Treasury Officer with whom the disabusing officer concerned has a
drawing account.

156.

[All cheques shall have written above horizontally with bold letter UNDER

RUPEES] to the type, a sum a little in excess of that for which they are
drawn; thus under rupees thirty only will mean that the cheques for a sum
not less than Rs. 20, but less than Rs. 30 and similarly. under rupees eight
hundred only will mean that it is for less than Rs. 800 but not less than Rs.
700. The amount shall be written in the manner prescribed for bills in
Clause (iii) of Rule 138 and no abbreviations such as eleven hundred for
one thousand one hundred is permissible.
NOTE 1:- In drawing or cashing a cheque, it should be remembered that a
common form of fraud consists in altering the word one into four by pre-fixing
a f , changing the e, into r, the figures being easily altered to correspond.
The word twenty written earlessly has also sometimes been changed into
seventy. The drawer of a cheque in which these words occur should therefore
so write them as to make the fraud impossible and the Treasury Officer should
examine the worked and corresponding figures with special care.
NOTE 2:- 2[
NOTE 3:- All cheques should be written and signed in indelible ink only.
3

NOTE 4:- All Cheques, irrespective of the category, drawn for Ts. 10 lakhs and

above shall bear two signatures. The Head of the Accounting organization shall
nominate another Gazetted officer/ senior most non-gazetted officer, as second
signatory for the purpose.
157.

(1) Cheques drawn in favour of Government officers or departments for

payments on account of inter-Departmental or inter- Governmental dues

64 | P a g e

shall be crossed and the words for credit to Government Account foot
payable in Cash written between the lines.
(2) Cheques payable to officers of the Government to enable them to
make disbursement of pay and allowances of staff, contingent expenditure, etc.,
on behalf of the Government shall be issued in favour of the Government official
concerned by designation, the word only being added after the designation of
the payee officer on the cheque. Such cheques shall not be crossed but shall
bear the superscription Not Transferable.
(3) (a) Subject to the provisions of sub-clause (b), all cheques in payment
of personal claims of Government servants and pensioners shall invariably be to
the order of the payee.
(b) Cheques, coming within the purview of sub-clause (a), if drawn on
the Bank, shall be crossed with the superscription A/c payee only wherever the
amount exceeds Rs. 1,000. Such cheques for amounts not exceeding Rs. 1,000
shall also normally be crossed unless the payee specifically asks for open
cheque in which case it need not be crossed.
(4) In all other cases, cheques, if drawn on the Bank, shall invariably be
crossed with the superscription A/c payee only added between the lines of
crossing. Where the payee is believed to have a banking account, further
precaution shall be adopted, where possible by crossing the cheque specially
9instead of by the general crossing ..& Co.) by quoting the name of
the Bank through which the payee will receive payment and by adding the word
A/c Payee only Not Negotiable. Such cheques for amount not exceeding Rs.
1,000 may, however, be issued as open cheques if so desired by the payee but
only as order cheques.
NOTE 1:- Cheques drawn on a treasury should invariably be to the order of the
payee and should not be crossed. In cases in which any such cheque has been
crossed inadvertently, such crossing will have no significance in making
payment.

65 | P a g e

NOTE 2:- The procedure prescribed in this rule applies mutatis mutandis to
Indian Postal Orders used for remittance of money on Government account.
158.

Ordinarily a cheque payable to order shall not be cashed by the Treasury

Officer unless it is receipted by the payee himself or other person in whose
favour it is regularly endorsed for payment. In special cases when the Head
of an Office is unable himself to receipt cheques payable to his order, owing
to his being absent on tour or for other causes, and when he considers that
strict compliance with the rule will cause inconvenience, he may specially
authorize in writing a subordinate Gazette officer to endorse for him
cheques drawn in his favour by his official designation.

NOTE 1:- Endorsements by duly constituted and authorized attorneys of

cheques payable to the order of their principals may be acted upon by the
Treasury Officer. it is, however, necessary that such powers of attorney should
be followed
NOTE 2:- In cases in which a cheque is presented not for cash payment but for
transfer credit in the Treasury accounts, the procedure prescribed in Rule 90
should be followed.
159.

Deleted

160.

As a general rule, cheques shall not be issued for sums less than Rs. 10
unless that is permissible under the provisions of any law or rule having the
force of law; but the following 1[cases are exceptions to this rule]:(i) Cheques of the Defence Depatment drawn for payment elsewhere
than at that station where the drawing officer himself is located, may
be drawn for a sum not less than one rupee.
(ii) Cheques for sums of one rupee and upwards for payment of stores
bills at head quarters and elsewhere may be drawn by officers
specially authorized by the Government.
(iii) The Customs Collectorate is authorized to issue cheques is favour of
the Post Office for sums less than Rs. 10 for remittance by Money

66 | P a g e

Order of refunds arising out of reassessment of customs duty on

Postal parcels.
(iv) The Income Tax Department is authorized to issue cheques in favour
of the Post Office for sum less than Rs. 10 for remittance by Money
Order of refunds of income tax and surcharge.
(v) The Central Excise Collectorate is authorized to issue cheque for
sums less than Rs. 10 for making refund of the Union Excise Duty.
NOTE:- In the case of the Postal Section of the Posts and Telegraph
Department, the lowest sum for which a cheque may e issued is Rs.
100.
161.

All corrections and alterations in a cheque shall be attested by the drawing

officer by his full signature.

162.

Cheques shall be payable at any time within three months after the month
of issue; thus a cheque bearing any date in January is payable at any time
up to 30 April.
If the currency of a cheque should expire owing to its not being

presented at the treasury within the period specified above, it may be received
back by the drawer who should then destroy it and issue a new cheque in lieu of
it. In the event of the non return of the time barred cheque to the drawer, the
drawer should, on the expiry of the prescribed period of three months after the
month of issue of the cheque require the payee either to return the cheque or
explain the causes for its non-return. If, as a result of this enquiry, the cheque is
reported as lost, the Treasury Officer drawn on should be required to furnish a
non-payment certificate with reference to Rule 165 (1)
NOTE:- The provisions of this rule do not apply to cheques drawn on local bank
by the Indian Missions and Posts abroad. The period of currency of cheques in
these cases will be determined according to local regulations of the country
concerned.

67 | P a g e

163.

A Government officer authorized to draw cheques on sub-treasury shall

give notice to the Treasury officer from time to time of the probable amount
of his drawings on each sub-treasury in order that funds may be provided
as far as possible.

164.

When it is necessary to cancel a cheque, the concealment must be

recorded on the counterfoil and the cheque, if in the drawers possession
shall be destroyed. If the cheque is not in the drawers possession, he must
promptly address the Treasury Officer to stop payment of the cheque and
on ascertaining that the payment has been stopped, shall make the
necessary entry in his accounts. A cheque remaining unpaid for any cause
for twelve months after the month of its issue should be cancelled in the
above manner and its amount written back in the accounts

NOTE:- Fanfold cheques used in the Defence Accounts Department and

cheque forms in continuous lengths permitted to be used by certain officers
under the provisions of Rule 148 (3) have no counterfoil. The cancellation of
such cheques should therefore be recorded by the drawing officer on the copy
of the Schedule of Cheques Issued and the Register of Daily Payments, as the
case may be.
165.

(1) If a drawing officer be informed that a cheque drawn by him has been
lost, he shall .address the Treasury Officer drawn on, forwarding for
signature a certificate in the following form:Certified that Cheque No. , dated , for

Rs. .. reported by (the drawing officer) to have been drawn by

him on

this treasury in favour of . Has not been paid and

will not be paid if presented hereafter.

(2) If, after search through the lists of cheques paid, the Treasury Officer
finds that the cheque has not been cashed, he will sign and return the certificate
taking care to note the stoppage for the cheque; a board showing the particulars
of stopped cheques being hung up before the Clerk concerned. If the original

68 | P a g e

cheque be presented afterwards, the Treasury Officer shall refuse payment and
return the cheque to the person presenting it after writing across it Payment
stopped.
NOTE:- If the currency of a cheque expires on a Saturday, the Treasury Officer,
shall also verify the list of cheques paid for the subsequent working day of the
Bank before the issue of non payment certificate wherever necessary.
(3) The drawing officer, on receipt of the certificate duly signed by the
Treasury officer, shall enter in his account the original cheque as cancelled and
may issue another.
165-A. (1) If the Pay and Accounts Officer of a Departmentalized Accounts
office is approached with the request that a fresh cheque, in lieu of the one
issued by him earlier but since lost, may be issued, the Pay and Accounts
Officer shall proceed with such a request in the manner stated below(i) The pay and Accounts officers should send an intimation by registered
post A.D. to the bank drawn on regarding the alleged loss of the
cheque and advise it to stop payment if the cheque alleged to have
been lost is presented for payment thereafter. If the currency of such a
cheque has not expired in terms of Rule 162 ibid at the time of sending
such an intimation, the Bank shall acknowledge in writing in the
following form, that it has kept a note of the stop payment Order. In
case, however, the currency of the cheque alleged to have been lost
has expired when the intimation regarding loss of cheque is sent to
Bank, no acknowledgement of the Stop payment Order may be
insisted from the Bank. The Postal acknowledgement may be treated
as sufficient fro the record of the Pay and Accounts Office.
We acknowledgement receipt of your Letter No. ., dated
, and advice having noted to stop payment of Cheque
No. dated. , for Rs. ..
Rupees. . Reported by the drawing offier to have

69 | P a g e

been drawn by hm on this Bank in favour of . Will not be paid if

presented thereafter.
(ii) The Pay and Accounts officer should satisfy himself with reference to
the records maintained in his office, viz., the payment error scrolls
received from the paying Bank and register of cheques delivered, etc.,
that the payment of the cheque in question has not been made. He
should also keep a suitable note on the counterfoil of the lost cheque
against the relevant entries in the register of cheques delivered and
paid voucher(s) regarding the issued of a fresh cheque in lieu of the
lost one.
(iii) The party requesting for the issuance of a fresh cheque in lieu of the
lost one should execute and indemnity bond in the form enclosed as
annexure in this rule. However, in the case of a Government
Department or a Bank, the execution of such an indemnity bond is not
necessary but a fresh cheque in these cases, he issued only on
receipt of a certificate that the cheque alleged to have been lost was
received by them or having received the same, it was lost and further
that it will be returned to the Pay and Accounts office if found
afterwards.
(iv) On completion of the requirement I Clauses (i) to (iii) above the Pay
and Accounts Office may issue a fresh cheque in lieu of lost one under
intimation to the drawee office.
NOTE:- If the currency of the lost cheque expires on Saturday, the Pay and
Accounts Officer shall also verify the scroll of cheques paid for the subsequent
working day of the bank before issuing non-payment certificate mentioned in
Clause (iii) above.
(2) When a Drawing and Disbursing Officer vested with cheque drawing
power reports to the paying branch of his Bank about a cheque having been lost ,

70 | P a g e

the latter shall record a stop against the cheque and issue an acknowledgement
in the form given in sub-rule (1) above. On receiving a copy of this
acknowledgement from the said DDO, the PAO concerned will, after verification of
his relevant records, i.e., register of cheques delivered, etc., and after keeping a
suitable note against the relevant entry in that register, issue a non-payment
certificate to the DDO in the following form:Certified

that

Cheque

No.

..dated, for Rs. reported

by the Drawing Officer to have been drawn by

him on ..

branch of .Bank in favour of has not been paid.

The DDO will note particulars of the non payment certificate received by
him against the relevant entry in the office copy of the list of payments, to
indicate tat the original cheque has not been paid and it has been cancelled. A
similar note will also be make by him on the counterfoil of that cheque and
officer copy of the relevant paid vouchers before issuing a fresh cheque in lieu
thereof. The number and date of the fresh cheque will also be noted on the list
of payments, paid vouchers and counterfoil of the old and cancelled cheque.
While the paying Banks need not issue non-payment certificate there will be no
change in their responsibilities in regard to lost cheque. All usual precautions will
continue to be exercise by them with a view to ensuring that a cheque in respect
of which advice has been received is not subsequently paid.
(3) If the original cheque is found to have been paid afterwards, the Pay
and Accounts Officer will take up this matter with paying branch telegraphically
1

[ and stop a pyment of the renewed cheque], if not already paid. He will also

revers3e the entries made in the relevant records (including counterfoils) on this
account on receipt of confirmation of this fact from the paying branch. In case
the renewed cheque is reported to have been paid by them, he will place the
amount paid under the Head PAO suspense cheque cancelled and paid till
the matter is investigated and the amount recovered or written off. The paid

71 | P a g e

cheque will also be removed form the payment scroll and kept in the personal
custody of the Pay and Accounts Officer till then. In case the fact of such
payment is noticed by the DDO, he will report the matter immediately to the
paying branch and inform the Pay and Accounts Officer accordingly by a
telegram for further action.
This Deed of Indemnity made on the

day of .

BETWEEN .. son of .. resident of .or

(1) . son of resident of

..(2)

.. son of resident of .., etc., carrying on

business in co-partnership under the name and style of ..
ator .. a company registered under the Indian Companies Act,
1913/ Companies At, 1956,which expression shall unless excluded by or
repugnant to the context be deemed to include his heirs, executors,
administrators, legal representatives, successor s and permitted against of the
one part) and the President of India (hereinafter called the Government which
expression shall unless excluded by or repugnant to the context be deemed to
include his successors or assigns) of the OTHER PART.
WHEREAS

on

the

..

Date.on

day

of

..Cheque

(name

of

the

No
Bank)

Rswas drawn by in favour of the Indemnifier.

AND WHEREAS the Indemnifier has represented to the Government that
the said cheque has been lost by him/during transmission by post to him.
AND WHEREAS at the reaquest of the Indemnifier the Government has
agreed to issue a second cheque for Rsbeing the amount of the
said previous Cheque No,date.,upon the Indemnifier
giving such indemnity as hereinafter contained.

72 | P a g e

NOW IT IS HEREBY AGREED by and between the parties hereto as follows :(1)

In consideration of the said premises and of the agreement on the

part of the Government in issuing in favour of

the Indemnifier a second

Cheque No,dated,, the indemnifier doth hereby agree

and undertake to refund to the Government of demand and without demur
the said sum of Rs. .
In the event of the said previous Cdheque No.., dated , being
present to an paid by the bankers and to indemnify the Government and keep the
Government harmless and indemnified from and against all expenses which may
be incurred by the Government in relation thereto or in connection therewith.
(2)

The Government agrees to bear the stamp duty, if any, chargeable

on these presents.
IN WITNESS WHEREOF the parties thereto have set and subscribed their
respective hands hereunto on the day and year first above written.
Signed by the said Indemnifier in the presence of:
(1)
(2)...
Signed for and

on behalf

of

the

President

of

India

by Shri..

..
(name and designation) in the presence of:

(1).
(2).

73 | P a g e

166.

If a cheque is issued by the Government in payment of any sum due by the

Government and that cheque is honoured on presentation to the
Governments bankers, payment shall be deemed to be made
(i) If the cheque is handed over to the payee or his authorized messenger,
on the date it is so handed over, or

(ii) If it is posted to the payee in pursuance of a request for payment by post,

on the date on which the cover containing it is put into the post.
NOTE 1.The provisions of Clause (ii) above apply mutatis mutandis to payments
made by the Government by postal Money Order or by any other recognized
mode of remitting money by post.
NOTE 2.Cheque marked as payable on or after a specified date should not be
charged to the accounts until the date on which they become payable. All such
cheques should bear the superscription payable on or after
(specific date of payment to the indicated in the blank space). The superscription
should invariably be affixed with a rubber stamp in bold letters just below the date
issue of the cheque. The contemplated due date of payment should preferably be
written in red ink.
167.

The provisions of Rules 147, 150 to 157 and 160 to 162 as also of Rules
164 and 165 apply to cheque drawn on the Bank.

74 | P a g e

Endorsement on cheques, bills etc.

171.

All cheques, bills, etc., preferable at a treasury for payment, being nonnegotiable instruments, can be endorsed only once in favour of the specific
party to whom the money is to be paid:
Provided that

(1) When the endorsement is made on a cheque or a bill in favour of a banker,

a second endorsement can be made by the banker in favour of a
messenger or an agent for collection only;
(2) in the case of a contingent bill which has been endorsed in favour of a firm
of suppliers, etc., under sub-rule (1) of Rule 303, the firm, etc., can reendorse to its bankers or to a messenger for collection only, and the banker
can in turn endorse it to a messenger or an agent for collection only; thus in
all three endorsements are permissible in such cases provided that of the
three, one is to the payees banker and one is to a messenger or agent for
collection only; and
(3) an agent may, notwithstanding anything contained in Clauses (1) and (2),
endorse it in favour of his messenger for the purpose of collecting the
cheque or bill.
EXPLANATION. In this rule, a banker includes a Post Office savings
Bank and an agent means any Bank, including Post office Savings Bank, acting
as a collecting agency for and on behalf of the payees banker.
NOTE. Cheques drawn directly on the Bank without the intervention of
the Treasury Officer are negotiable instruments and are not subject to the
provisions of this rule.

75 | P a g e

Specimen Signature and other safeguards

172.

Every Government officer who is authorized to draw cheques or sign or

countersign bills payable at a treasury shall send a specimen of his
signature to the Treasury Officer through some superior or other officer
whose specimen signature is already with the treasury. When such an
officer makes over charge of his office to another, he shall likewise, send a
specimen of the signature of the relieving officer to the Treasury Officer
concerned.
Specimen signatures when forwarded on a sheet of paper, other

than the forwarding letter itself, must be dully attested by the officer signing the
forwarding letter.
The procedure prescribed in this rule shall be observed mutatis mutandis by
all Government officers who are authorized to draw upon the Bank or any other
office of disbursement.
NOTE. The Mint Masters are exempted from circulating the specimen
signature of their

officers issuing Mint out-turn Certificates payable at the

treasuries or the Bank.

173.

The Accountant-General will supply all Treasury Officers and other

disbursing officers within hi audit circle as also other Accountants-General
to whom he may issue authority for payment direct, with an attested copy of
the specimen signature of all Gazatted Officers serving under him who are
authorized to draw cheques or sign payment orders on bills or to issue
letters of authority for payment to be made by such Treasury Officers,
Disbursing Officers and Accountant-General. Attested copies of specimen
signature of such Gazetted Officers serving under him as are authorized to

76 | P a g e

draw cheque or sign payment orders upon the Bank will also be supplied by
the Accountant-General to the Bank.
When any change of office occurs among the Gazetted Officers
afore-said

the fact will be intimated and attested copies of specimen signature

of the relieving

officers supplied to the Treasury Officers, Disbursing Officers

and the Accountant- General concerned as well as to the Bank.

NOTE.The provisions of this rule are not applicable to cases in which an
authorization of payment is issued by a Defence Accounts Officer upon other
Accountants-General and vice versa.
174.

All orders and authorities for payment issued from one AccountantGenerals office on another will be stamped with a special seal, which will
remain in the personal custody of the officer signing them, and specimen
impression of the seal duly attested will be supplied to all AccountantGeneral concerned.

NOTE. The provisions of this rule are not applicable to payment orders issued
by or upon Defence Accounts Officers.
Payment of Claims at the Treasury
Introductory
175.

The procedures prescribed in Rules 176 to 204 are designed primarily for
the guidance of Treasury Officers in dealing with claims upon the
Government that may be presented to them for disbursement. Special rules
applicable to treasuries the cash business of which is conducted by the
Bank are laid down in Part-VI.

176.

Unless there by anything repugnant in the subject or context and subject to

such variation or modification as may be authorized by departmental
regulations, these rules shall be forward generally by officers in charge of
Military treasure chests, post Officers and other offices of disbursement

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mentioned in Rule 6 in dealing with claims against the Government that

may be presented to them for

disbursement.

Check to be applied at treasury

177.

The bill, cheque or other document presented as a claim for money shall be
received and examined by the Accountant and then laid before the
Treasury Officer who, if the claim is admissible, the authority good, the
signature and countersignature, where necessary, genuine and in order and
the receipt a legal quittance, will sign the order for payment at the foot of
the bill, taking care to adopt the precautions prescribed in Clause (iii) of
Rule 138. Careful attention must also be given to the instructions contained
in these rules regarding the completion of bills, cheque, etc., presented in
support of claims against the Government.

178.

(1)

All corrections and alteration in orders of payment must be attested

by the dated initials of the Treasury Officer.

(2)
Treasury
179.

Corrections and alterations in orders of payment given by the

Officer on the Bank must be attested by his full signature.

Special care shall be taken that all bills, cheques, etc., passed for payment
at the treasury are paid on the same day and that no payment is made
except under the written pay order of the Treasury Officer.

180.

(1)

When a bill is presented by a person who is not the Drawing Officer

himself or his duly authorized agent (banker), he shall be required to

produce a letter in Form T.R.-72 authorizing him to receive the payment.
The signature of the messenger or his thumb-impression, if illiterate, shall
be taken on the bill as a proof that the messenger actually received the
money on behalf of the Drawing Officer.
(2)

In cases in which the endorsement on a bill is unauthorised,

incomplete or

otherwise irregular, the Treasury Officer shall refuse payment

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of the bill the return it to the person who presents it with a memorandum
explaining why payment is refused.
181.

Special precautions must be taken by the Treasury Officer as regards all

bills and documents showing signs of alteration and if such documents be
frequently received from any office, the attention of the Head of the Office
shall be formally drawn to the irregularity.
No document bearing an erasure can be accepted and payment on

such document shall be refused by the Treasury Officer and a fresh document
called for.
182.

With regard to claims presented either on bills or on cheques, the signature

of drawing officer shall be compared carefully with his specimen signature
received under

Rule 172 before payment is ordered. In the case of

payment to be made on the authority of an order purporting to have been

issued from the office of an Accountant-General, the Treasury Officer shall
verify the signature on the order by comparison

with the specimen

signature of the signing officer received under Rule 173.

NOTE. Specimen signatures received by the Treasury Officer should be
carefully pasted in guard files which must be kept in the personal custody of the
Treasury Officer.
183.

Treasury Officer shall check the arithmetical computations on bills.

NOTE. When bills presented for payment contain obvious arithmetical mistakes
or trifling mistakes which can easily be corrected, the Treasury Officer should not
return such bills but should correct them and pay the corrected amount of the bill.
Similarly where bills contain doubtful items which can easily and pay the
remainder of the bill. In all cases, the corrections made and the reasons therefore
should be intimated to the presenter of the bill and, if necessary, to the
Accountant-General (or the Treasury Officer in the case of payments made at a
sub-treasury).
184.

Deleted.

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185.

Deleted.

186.

A treasury officer shall not undertake correspondence for Government

servant or a private individual making a claim to any special allowance or
concession by request the person concerned in address the AccountantGeneral either direct or through his own official superior, as the case may
be.
Payments to persons not in Government employment.

187.

(1) When a person not in government employ claims payment for work
done, services rendered or articles supplied, the Treasury Officer shall,
subject as provided in Rule 133, require the submission of the claim by the
Head of the Department or other responsible Government officer
concerned.
(2) Failing the above, in cases where it may be necessary to pay the

amount of a bill drawn by a person not in the Government service and also when
the authority of the Head of the Department or responsible official is insufficient,
an order from

the Accountant-General must be sought by furnishing that

officer with any

necessary particulars for obtaining the sanction of the

Government should such be

needed.

(3) In any event, if a bill drawn by a bill be drawn by a person not in

Government employment, the Treasury Officer shall take special precautions for
satisfying

himself of the identity of the applicant for payment

(4) In all doubtful cases the Treasury Officer shall take the orders of the
Collector

who is expected to assume the responsibility of his position and

exercise a proper

amount of care and discretion in this matter. When this

necessity occurs the

Collector shall immediately report the fact to the

Accountant-General.
NOTE.- Payments due to contractors may, if so desired by them, be made
to their Banks instead of direct to contractors provided that the department

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concerned obtains (1) an authorization from the contractors in the form of a legally
valid document such as a power of attorney or transfer deed, conferring authority
on the Bank to receive payment, and (2) the contractors own acceptance of the
correctness of the amount made out as being due to him by the Government, or
his signature on the bill or other claim preferred against the Government before
settlement of the account or claim by payment to the said Bank. While the receipt
given by a Bank will constitute a full and sufficient discharge for the payment
contractors should, wherever possible, be induced to present their bills duly
receipted and discharged through their bankers.
Nothing herein contained should operate to create in favour of the Bank any
right or equity vis--vis the Government.
188.

The Treasury Officer shall furnish to the Commissioner of Income Tax

concerned quarterly statements of individual payments of Rs. 250 and
above made by him to non-officials either on behalf of the Government or
any local authority on account of fees, commission, bonus and
remuneration of any kin, indicating the names and addresses of the payees
together with the amounts paid. The monetary limit in case of payments to
contractors etc,., shall however be Rs. 1,000 for each payment.
Cheques and Letters of Credit

189.

Stocks of cheque books required for supply to the drawing officers under
Rule 148 shall be kept by the Treasury Officer, supplies being obtained
periodically from the Accountant-General. Cheque books shall on receipt be
examined carefully and the number of forms in each book counted, a
certificate of count being recorded by the Treasury Officer on a fly-leaf.
They shall be examined again when issued to drawing officers, care being
taken to see that they are acknowledged by the latter promptly.

190.

When a cheque is presented, special care shall be taken to ascertain by

examination of its printed number that it really was taken from the book

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notified under Rule 151 an in use by the drawing officer who has signed it.
The provisions of Rule 156 to 162 shall be specially borne in mind.
191.

If the payee is unknown at the treasury, the Treasury Officer shall make
such enquiries as he thinks necessary and shall specially consider the date,
serial number and amount of the cheque as well as hand-writing, and if
suspicions arise, he may defer payment until he has referred the matter to
the drawing officer.

192.

Pass Book sent to the treasury to be written up shall ordinarily be returned

to the drawing officer on the same day.

NOTE. At places where Pass Books maintained by drawing officers are required
to be completed by the band and the number of entries to be made is large, the
Bank may furnish pen carbon copies of the payment scrolls containing full details
of the paid cheques duly attested by an authorized official,. In such cases, the
number of the first cheque paid may be written in full in the scroll and thereafter
only the last three digits of the numbers of the subsequent cheques in the same
series may be recorded. In cases where pen carbon copies of the payment scrolls
are furnished, the daily total of the cheques paid may only be indicated in the
relative Pass Books which should be written up once a month.
193.

In the case of a cheque lost before payment, in respect of which a

certificate of non-payment has been furnished by the Treasury Officer to the
drawing officer, the pre cautions prescribed in sub-rule (2) of Rule 165 shall
be carefully observed with a view to preventing the payment of the cheque
in question.

194.

(1) Every payment made on the authority of any letter of credit or

assignment must without fail be noted at the time of payment under the
Treasury Officers initials either in the appropriate register of payments or
on the reverse of the letter of credit or assignment itself.
(2) The Treasury Officer must bear in mind that the letter of credit or

assignment shows the maximum amount he has authority to pay or the

departmental officer

credited has authority to ask for and that any further

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payment is made at the

Treasury Officers own risk, the progressive total of his

payment must, therefore, be so recorded that there can be no risk of

overpayment
NOTE.- The instructions in this rule do not apply to letters of credit opened
at Bank treasuries.
Payment by Postal Money Order
197.

In cases in which money due by the government is paid by Postal Money

Order, the cost of remittance shall, in the absence of any special rule or
order to the contrary, be borne by the payee.

198.

(1) when the whole or a part of the amount of a bill is required to be

remitted by a Treasury officer to a person or persons by Postal Money
Order, he shall, if the bill is I order, pass it for the net amount after
deduction of the amount to be remitted and the commission due therein,
credit the deductions by transfer to the Post Officer and sent the money
Order Form or Forms to the Post Office, with a certificate to the effect that
the amount of the Money Order with the commission due, which must be
specified in the certificate, has been credited to the post Office bvy book
transfer. The words adjusted by book transfer shall invariably be written in
red ink across the Money Order Form. The Treasury officer shall also see
that the purpose of the Money order is stated in the acknowledgement
portion of the Money Order form as required by Clause (xi) of Rule 138.
(2) On obtaining the Money Order Receipt the Treasury officer shall check it

with

the amount deducted from the bill.

Responsibility for Moneys Withdrawn.
Vouchers for Payment

205.

Subject as hereinafter provided in this rule, a Government officer entrusted

with the payment money shall obtain for every payment he makes, including

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repayment of sum previously lodged with the Government, a voucher

setting forth full and clear particulars of the clam and all information
necessary for its proper classification and identification in the accounts.
Every voucher must bear or have attached to it, an acknowledgement of the
payment signed by the person by whom or in whose behalf the claim is put
forward. The acknowledgement shall be taken at the time of payment.
NOTE 1:- As adjustment bills s for Nil amount involves no payment, it is
not necessary to insist upon any acknowledgement of payment in respect of such
bills.
NOTE 2:- A single receipt, stamped where necessary , given by a payee in
acknowledgement of several payments or la lump sum payment, either in cash or
by cheque, made to him on one occasion, shall constitute a valid quittance and the
disbursing officer, in such cases, should give cross reference on all vouchers to
which the receipt relates.
206.

In all cases in which it is not possible or expedient to support a payment by

a voucher or by the payees receipt, a certificate of payment duly signed by
the disabusing officer and countersigned by his superior invariably be
placed on record and submitted to the Accountant-General where
necessary. Full particulars of the claims should invariably be set forth; and
where necessitates the use of a regular bill form, the certificate itself may
be recorded thereon.

NOTE 1:- In the case of articles received by Value payable post, the value payable
cover together with the invoice or bill showing the details of the items paid for, may
be accepted as a voucher. The disbursing officer should endorse a note on the
cover to the effect that the payment was made through the post office and this also
covers charges for the money order commission.
NOTE 2:- A certified copy, marked duplicate, of a receipted voucher may be
retained by the disbursing officer, should this be necessary to complete the record

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of his officer, but payee should not be required to sign such a copy or give a
duplicate acknowledgement of the payment.
207.

The provisions f Rules 138 and 146 regarding the preparation of bills and
giving of stamp3d receipts shall be carefully observed n regarding claims
presented at a departmental office of disbursement.

NOTE:-

Cash memoranda which do not contain an acknowledgement of the

receipt of money from persons name therein are not receipts within the meaning of
Section 2 (23) of the Indian stamp Act 1899 (2 of 1899).further, the mere writing of
the purchasers name and address on a cash memorandum for delivery purpose
does not transform it into an acknowledgement to purchaser that the money has
been paid. Cash memoranda will not , therefore, be regarded as sub-vouchers in
audit unless they contain an acknowledgement of the receipt of money from the
person named therein (with stamps affixed when the amount exceeds 1[Rs. 5,000],
or, in cases where this is not practicable , they are stamped paid and initialed by
the Drawing and Disbursing Officer.
The cash memoranda submitted in support of the claims for reimbursement
of the cost of special medicines purchased from the market under the Medical
attendance Rules need not, however, be stamped or bear the suppliers
acknowledgment.
208.

Every voucher must bear a pay order signed r initialed by the responsible
disbursing officer, specifying the amount payable both in words and figures.
All pay orders must be signed by hand and in ink.

209.

All paid vouchers must be stamped paid or so cancelled that they cannot
be used a second time. Stamps affixed to vouchers must be also cancelled
so that they may not be used again.

210.

Vouchers and acutance which are not required to be submitted to the

Accountant-General shall be filed and retained carefully in the officer

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concerned s important document till they are destroyed under the orders of
competent authority.
211.

All sub-vouchers to bills must be cancelled in such a manner that they

cannot be subsequently used for presnet6ing fraudulent claims or other
fraudulent purposes.
The provisions of Rule 297, with regard to cancellation and

destruction of sub-vouchers relating to contingent expenditure shall apply

generally to sub-vouchers in respect of other classes of payments, unless they are
governed by special departmental regulations or orders of the Government to the
contrary.
Audit Objections and Recoveries

213.

Every Government servant must attend promptly to all objections and

orders communicated to him by the Accountant-General.

214.

Where an Accountant General disallows a payment as unauthorized, the

disbursing officer is bound not only to recovery the amount disallowed
without listening t any objection or protest but to refuse to pay item future till
the Accountant-General authorizes the payment to be resumed; that no
warning slip has been received by the Government servant against whom
the retrenchment has been ordered or, that , being received, it has been
answered, are facts with which the Disbursing Officer shall have no
concern.

NOTE1:- If a Government servant from whom a recovery is ordered is transferred

to the jurisdiction of another Disbursing Officer, the order of recovery should be
passed on to that Disbursing Officer without delay.
NOTE2:- A Disbursing Officer must not, when a retrenchment is ordered, enter
into any correspondence with either the Accountant-General or the Government
servant concerned. It is his duty simply and promptly to carry out the orders he has
received and to leave to person aggrieved to refer the case to the proper authority.

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NOTE 3:- Representations and pretests against retrenchments ordered by the

Accountant-general may not ordinarily e considered by the Administrative
Authorities if submitted later than three months from /after the date of receipt of the
intimation the aggrieved Government servant. This provision does not remove
from the disbursing officer the duty of enforcing immediately the recovery of ta
retrenchment ordered under this rule.
NOTE 4:- While a Government servant is under suspension and is in receipt of
subsistence grant, the retrenchment order in respect of any overpayment caused
to him in the past shall be issued by the Accountant General in consultation with
the authority compte3nt to place the Government servant under suspension. The
aforesaid Administrative Authority will exercise discretion whether recovery could
be held wholly in abeyance or it should be effected at full or reduced rates
depending on the circumstances of each such case.
215.

Recoveries may not ordinary be made at a rate exceeding one third of pay
unless the Government servant affected has (a) in receiving or drawing the
excess acted contrary to orders or without due justification, or (b) taken an
advance for a specific purpose, not utilized it for the purpose (for which the
advance was sanctioned) within the prescribed period, and failed to refund
the outstanding amount within the stipulated date.

216.

A register shall be maintained at the treasury and every other disbursing

office for recording all retrenchments ordered b the Accountant-General.
Separate columns shall be provided to show the name and office of the
person from whom the recovery is to be effected, the nature and amount of
the overpayment and the method by which the overpayment has been
adjusted.

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PART V SECTION II
Personal Claims of Government Servants- General Rules
NOTE:- the provisions contained in the rules in this Section apply generally to
personal claims of Government servants, both Gazetted and non-Gazetted whose
pay, allowances, etc., are payable on bills drawn on a treasury. In their application
to personal claims payable at a departmental office of disbursement, these rules
are subject to such variation or modifications as may be authorized by
departmental regulations.
Due Date
217.

(1) Subject to such special orders as may be issued by the Government

from time to time in relation to specified Departments and/or places, bills for
monthly pay and fixed allowances of Government servants may be signed at
any time not earlier than 5 days before the last working day of the month by the
labour of which such pay and allowances are earned and shall be due for
payment on the last working day of the month to which they relate. However,
the pay and allowances for the month of March shall be paid on the first
working day of April.
(2) The Government may, in special cases, relax any of the conditions
specified in this rule.
EXPLANATION 1:- For the purpose of this rule, working day shall be
deemed to be a day on which the office in which the disbursement is to be
made and the Treasury/Bank are both open for transacting their respective
ordinary business so that withdrawal of moneys and disbursement thereof
become practicable on the same day.
EXPLANATION 2:- In the case of an industrial establishment where
payments are staggered and made on days specifically fixed for the
purpose the pay due on any of the specified days may be disbursed on the

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preceding working day if the specified day on which pay is due is a public
holiday.
1

[EXPLANATION 3:-

(In the case of industrial establishments) where

disbursements, of salaries to the officers and staff, are not staggered but
made on a single day, the amount required for such disbursement may be
drawn on the day preceding the day on which the disbursement is to be
made if the latter day happens to be a half working day subject to suitable
overnight security arrangements being made for the safe custody of the
amounts drawn.]
NOTE 1:- In the following cases, monthly bills for pay and allowances may
be signed and presented earlier than 5 days before the last working day of
the month:(a) Deleted.
(b) The monthly salary bills to be presented at the offices of the
departmental Pay and Accounts officers may be signed well in time to
ensure that they reach the Pay and Accounts Office by the 20th of the
month to which the bill relate;
(c) Deleted.
(d) The monthly bills for pay and allowances of all Government servants
posted at localities remote from the station of the concerned Drawing
and Disbursing Officer, to whom remittances of the monthly salary,
even by the quickest possible means, cannot reach within a
reasonable time, say , the first seven working days of the next month,
and as such bills in respect of Government servants who are on tour
and payment is required to be made to them at the station where they
are on tour, may be presented at treasuries not earlier that the 15th of
the month to which the pay and allowance relate and may also be
enchased before the end of the month to enable the Drawing and
Disbursing Officer to arrange for the remittance so as to reach the
claimants within the first 7 working days of the next month.

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NOTE2:- Deleted.
NOTE3:- In the case of the Indian Missions abroad the pay and
allowances of the locally recruited staff may be disbursed in accordance
with the local laws and customs.

218.

In the following cases separated bills may be presented for pay and

allowances or leave salary due for part of a month and such bills may be paid
before the end of the month:(a) When a Government servant proceeds on transfer, deputation leave
and / or vacation(i)

To or from a place outside India from or to a place in India, or

(ii)

From any place outside India to another place outside India.

NOTE:- If a government servant is permitted to draw his leave salary in

India, he will not be paid up to the date of his relief but will be allowed to
draw his pay and allowances for the broken period of the month along with
the leave salary for the rest of the month.
(b) When a Government servant is transferred to another account circle or
within the same account circle (i) to or from the Public Works or Forest
department, or (ii) from one Public Works Divisions to another.
(c) When a Government servant finally quits the service of the
Government or is transferred to Foreign Service.
(d) When a government proceeding on leave from a post in a country
outside India, draws in that country leave salary up to the date prior to
tat on which he leaves that country.
(e) When, on occasions of local importance and following local practice,
Heads of Indian embassies, High Commissions or other Missions
abroad, authorize payment of salary and allowances of the locally
recruited employees for the period not beyond the date preceding the
day of payment.

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219.

Deleted.

Form and Preparation of Bills

220.

(1) Bills for pay, fixed allowances (including permanent traveling allowance,

conveyance allowance) and leave salary shall be prepared in Form TR-22. Bills
for traveling allowance, other than permanent or fixed allowances, shall be
presented in Form TR-25
EXCEPTION:- Pay and fixed allowances of President, Vice President
Ministers and Officers appointed under the seal of the President , and nonofficials appointed on Committees, etc., set up by Government will be
claimed on bills in Form TR-16; their travelling allowance claims will be
presented on bills if Form TR-20.
1

[(2) A separate pay bill should be prepared for(i)

Establishment whose charges are debitable to different heads of

accounts;

(ii)

Personnel to whom salary is payable individually by cheques; and

(iii)

Group D employees.

Each of the bills may be prepared by including both permanent and

temporary establishments, and divided into separate sections comprising
the establishment and indicating the description of each section prominently
along with sanction number of posts included therein. (In the case of large
establishments, separate bills may be prepared for different sections, if
administratively found convenient). While for permanent posts, the
sanctioned strength need only be indicated at the top of each section of
posts, in the case of temporary posts, the number and date of the sanction
letter(s) shall also be indicated. In cases where sanction(s) for continuance
of posts has been applied for, the Drawing and Disbursing Officer shall

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indicate this fact in the bill and draw pay and allowances of the persons
concerned at earlier rates. Except as provided in sub-rule (4) of this rule,
the name of every incumbent shall be shown against each post and the
rates of pay and allowances claimed for each shall also be shown. When
pay and allowances are drawn for a portion of a month only, the concerned
Government servant(s) in the body of the bill, the other instructions printed
on the form of the bill should be carefully followed.]
(3) The entries in all the money columns of the bill shall be totaled
separately under each section/part and the totals written in red ink. The
totals must be checked by the drawing officer himself or by some
responsible person other than the person preparing the bill.
If, for any reason, the leave salary admissible to a Government
servant on leave is not known (as for example, when the kind of leave to be
granted to him has not been finally decided by the sanctioning authority) the
amount of pay to which he would have been entitled had he remained on
duty shall be entered in the money column of the form which is intended to
show leave salary, the amount being left undisbursed and treated as held
over pending the fixation of the amount of his leave salary.
(4) Names of non-Gazetted Government servants of the following
categories shall be omitted from pay bills:(a) All persons in Central Service Group D;
(b) All Head Constables and Constables.
The Government may, in consultation with the Comptroller and
Auditor General extend the provisions of this rule to other specified classes
of establishments where entry of names in the pay bills is not essential for
audit purposes.
Provided that in all such cases a certificate in the following form shell
be endorsed on the bill:certified that all persons whose names are omitted from, but whose
pay has been drawn in, this bill have actually been employed during the

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month, that full details of the emoluments drawn for them working up to the
total included in this bill have been duly shown in the Pay Bill Register and
that the emoluments drawn are according to the relevant rules and orders
The claims of Government servants whose names are omitted under
the provisions of this rule shall not be lumped together and entered as a
single item in the bills but the bills must show separately the numbers on
different rates of pay or with different designations.
NOTE:- A Pay Bill Register in Form T.R. -22-A and an abstract of
Pay Bill in Form T.R.-22-B shall be maintained, the former being in the form
of a ledger for recording the due payable and deductions made in respect of
each claim for pay and allowances of a Government servant and the letter
being an abstract of pay and allowance bills presented at a treasury. No
office copy of a regular monthly pay and allowances bill need be
maintained.
Absentee Statement
220-A. (1) the monthly bill shall be supported by an absence statement in Form
T.R. -23 if Government servant, other than that belonging to any of the categories
covered by sub-rule(5) of Rule 220, was absent during

the month either on

special duty or suspension, or with or without leave other than casual leave , or
when a post is left vacant substantively whether any officiating arrangements have
or have not been made against it.
(2) In the case of amalgamated establishments, a consolidated absence
statement showing the complete chain of arrangements shall be separately
furnished by the controlling authority within a period fixing by the Accountants
Officer. No separate absentee statement need be furnished by the drawer of the
bill along with the monthly pay bills, but in cases in which the power to sanction
leave and officiating arrangements within the office has been delegated to Head of
Offices, the requisite absentee statements shall be furnished by the controlling
authority.

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NOTE:- In the case of amalgamated establishments on time-scale of pay, the

arrangement made by Heads of offices should be reported to the controlling
authority for inclusion in the consolidated absentee statement.
Increment Certificate
220-B.(1) To the first bill in which a periodical incement is drawn for a Government
servant, a certificate in Form T.R.-24 shall be appended. In the case of
Government servants whose name are omitted from pay bills under sub-rule (5) of
Rule 220 which certificates need not be attached to the pay bills but should be
made available for test check during local audit.
(2) Of the two alternative certificates printed in Form T.R. -24, the former
may be used in any case in which the increment becomes due to the Government
concerned for having been incumbent of the post specified for the prescribed term
counting from the date of the last increment or of appointment to the post,
excluding periods of absence from duty not counting for increment and absence
on extraordinary leave, etc., and if he has held post in an officiating capacity, or if
the post held by him substantively was a temporary post, kinds of leave which are
shown in the tabular portion of the certificate.
In all other cases, the second alternative form shall be used and it will be
supported by an explanatory memorandum shoeing briefly but clearly the grounds
on which the increment is claimed.
(3) When increment claimed operates to carry a Government servant over
an Efficiency bar, it must be supported by a declaration from the authority
empowered to allow the increment that it has satisfied itself tat the Government
servant concerned is fit to cross the bar.
Deductions from Bills
Fund deductions
221.

The duty of noting the proper deduction to be made from pay bills on

account of Provident and other funds shall devolve on the drawer of the bill but

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no discretion is allowed in carrying out any order received from the Accounts
Officer to make any particular deduction. The procedure to be followed in
making such deductions is laid down in Part VIII.
Income Tax deductions
222.

Deductions from pay bills on account of Income tax shall be made strictly n

accordance with the relevant provisions of the Income Tax Act, 1961 (43 of
1961), as amended from time to time and the rules and orders issued
thereunder.
House rent deductions
223.

(1) When demands for license fees of public buildings recoverable from

Government servants are received from the Public Works Divisional Officer or
any other authority in charge of such buildings, the Head of Offices shall make
the necessary deductions as specified in the demands from the next bill in
which pay is drawn. After the recovery is made, one copy of the demand
statement (which will be rendered in duplicate if the Public Works Officer in
charge of the Government building and the Treasury Officer render accounts to
the same Accountant-General ) shall be returned to the Authority from which it
was received after noting the amount(s) recovered and recording a certificate
to the effect that the recovery is in order and has been made and that the
emolument are correct; the other copy should be attached to the bill form which
recovery is effected.
NOTE:- In cases where the Public Works Officer in charge of the Government
building and the Treasury officer don not render accounts to the statement in
Triplicate, of which one copy should be returned to him after effecting recovery
and the other two copies should be attached to the bill from which recovery is
effected.
(2) If the licence fee recoverable from a government servant is limited to a
certain percentage of his emoluments, the particular of such emoluments shall be

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noted in the remarks column of the demand statement before its return. If, after the
return of the demand statement, the emoluments of the Government servant are
changed retrospectively, such changes shall either be shown in the next demand
statement or intimated to the Authority concerned by a special letter.
(3) Notwithstanding anything contained in this rule,(i) The recovery of licence fee from Government servants of the Central
Government in respect of public buildings belonging to a State may be
made in accordance with such procedure as may be prescribed by the
Government of that State, and
(ii) Administrators and departments of the Central government may, after
consultation with the Accounts officer prescribe such detailed rules of
procedure as may be necessary for recovery of licence fee in respect
of public buildings under their administrative control.
(4) The provisions of this rule apply mutatis mutandis to recoveries of other
charges, e.g., additional licence fee for furniture, electric, water heating and
sanitary installations, charges for consumption of water, electricity, etc.,
which may under the orders of competent authority, be recovered in the same way
as,

and together with, licence fee for building proper.

NOTE:- The above procedure will not apply to the buildings at Delhi, New Delhi
and Simla under the control of the Directorate of Estates, the assessment and
recovery of licence fee for which is made under a special procedure.

Recoveries ordered by Accounts Officer

224.

Deductions on account of sums disallowed from pay bills shall be made

strictly in accordance with the instructions issued by the Account officer. The

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recovery of a sum disallowed from a pay bill may be made from the next pay
bill. A sum disallowed form a traveling allowance bill may be recovered from
the next payment of traveling allowance, or in cash or from the next pay bill if
the Government servant concerned does not, within a month, present another
traveling allowance bill.
Attachment for Debt.

225.

When the pay of Government servant is attached by any order of a Court of

Law, it is the duty of the officer receiving the attachment order to see that the
proper deduction is made in satisfaction of such order from the pay of the
Government servant concerned, and to keep a record of such deductions in
form T.R. -13.
If a Government servant is adjudged insolvent, the attachable portion his
salary vests in the Court that passed the order of insolvency or the Receiver
appointed by the Court. The amounts which have been under attachment is
execution of the decree against the insolvent shall also, after the order of
insolvency, vest in such Court or the Receiver, and the attached amounts in such
cases, instead of being sent to the various Courts which issued the orders of
attachment, should be sent to the Insolvency Court or the Receiver for Pro rata
distribution among all the creditors of the insolvent Government servant.
NOTE1:- the extent to which the emoluments of a Government servant are exempt
from attachment for debt is laid down in sub-section (1) of Section 60 of the Code
of Civil Procedure, 1908. 1[ The following is an extract of the relevant provisions of
the said sub-section as amended by the Code of Civil Procedure (Amendment )
act, 1976, brought into force from 1st February, 1977:60. (1) The following property is liable to attachment .. in
execution of a decree:Provided that the following particulars shall not be liable to such attachment
. namely :-

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(i) Salary to the extent of the first 1[one thousand] rupees ad twothirds of the remainder in execution of any decree other that a
decree for maintenance;
Provided that where any part of such portion of the salary as is liable to
attachment has been under attachment, whether continuously or intermittently for
a total period of twenty-four months, such portion shall be exempt from attachment
until the expiry of a further period of twelve months, and, where such attachment
has been made in execution of one and the same decree, shall, after the
attachment has continued for a total period of twenty-four months, be finally
exempt from attachment in execution of that decree;
(i-a) one-third of the salary in execution of any decree for maintenance;

(i) Any allowance forming part of the emoluments of any servant of the
Government which the appropriate Government may by
notification n the Official Gazette declare to be exempt from attachment and any
subsistence grant or allowance made to any such servant . While
under suspension;
*

EXPLANATION 2:- In clauses (i) and (i-a) , salary means the total monthly
emoluments, excluding any allowance declared exempt from attachment under the
provisions of Clause (e) derived by a person from his employment whether on duty
or on leave.
EXPLANATION 3:-In Clause (i) appropriate Government means(i) As respects any person in the service of the Central Government
the Central Government.
(ii) As respects any other servant of the Government or a servant of any
other local authority, the State Government.

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EXPLANATION 4- For the purposes of this proviso, Wages includes bonus and
Labourer includes a skilled, unskilled or semi-skilled labourer.
NOTE 2:- The following declarations have been issued by the Central
Government under Clause (e) of the proviso to sub-section (1) of Section 60 of the
Code of Civil Procedure:(1)

The following allowances payable to any public officer in the

service of the Government, or any servant of a Railway, or of a
Cantonment Authority or a Port Authority of a major port, shall be
exempt from attachment by order of a Court:(i) All kinds of traveling allowances,
(ii) All kinds of conveyance allowances,
(iii) All allowances granted for meeting the cost of
(a) Uniforms, and
(b) Rations.
(iv) Allowances granted as compensation for higher cost of living
in localities considered by the Government to be expensive
localities including hiss stations
(v) All house-rent allowances.
(vi) Dearness allowance or any other allowance granted to
provide relief against the increased cost of living
(vii) A foreign allowance or, frais de representation in the case of
Diplomatic Missions, assigned to officers serving in posts
abroad.
(viii) Childrens Education allowance (whether described as such
or as children educational assistance or any other manner.
(ix) All amounts paid by way or reimbursement of medical
expenses.

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NOTE 3:- Dearness Pay, which is really a part of the dearness allowance
and is treated as pay for certain specific purposes only, is also exempt from
attachment by order of Court.
226.

In accordance with the above provisions, the maximum amount attachable

by a Civil Court, for decrees other than decrees for maintenance, is to be

calculated thusIf the total gross emoluments earned by the Government servant are
represented by X , and the allowances declared to be exempt from attachment
(vide Note 2 below the preceding rule) and the subsistence grant or allowance to
such Government servant if he is under suspension, are represented by
Y, the amount attachable will be

1,000

3
1

[NOTE: The decrees awarded by Courts prior to 1-2-1977 would have been

based upon the limit of first two hundred rupees and one-half of the remainder, in
force from 4th September, 1963, or the limit of the first hundred rupees, and onehalf of the remainder, in force prior to that date. Such decrees would continue to
be valid until revised by the Courts.]
226-A. (1) If an order of attachment against a Government servant is received
before a previous order of attachment against the same Government servant has
been fully complied with, the recoveries shall be made by the Disbursing Officer so
long as the total amount recoverable with reference to attachment orders is within
the maximum limit prescribed in Rule 226.
(2) If a new attachment order has the result of the total attachable amount
exceeding the maximum limit prescribed, the Disbursing Officer shall return the
new attachment order to the Court concerned with a statement showing
(i) Particulars of the existing attachment(s),

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(ii) Particulars of the amount(s) withheld and paid up-to-date into the
Court (s) concerned.
(iii) The amount(s) remaining to be recovered.
227.

Any deductions which may have to be made on account of subscriptions to

Provident Funds recognized by Government, taxes on income payable by the

Government servants, dues of Co-operative Societies and debts due to
Government should be made from then on-attachable portion of the
Government servants salary.
228.

Without prejudice to the appropriate provisions of the Code of Civil

Procedure as amended from time to time, the procedure to be followed by the

Drawing and Disbursing Officers in making recoveries from payoff Government
servants of amounts in compliance with attachment orders issued by Courts
shall be regulated n accordance with the following rules:(1)

Subject as hereinafter provided in this rule, the gross amount of

pay and allowances shall be drawn on a pay bill, but only the net
amount after deducting the amount recoverable under the
attachment order shall be disbursed to the Government servant
concerned. The authority whose duty it is to make the deductions
is responsible for remitting the amount without undue delay to the
Court concerned.

(2)

In the case of an attachment order issued by a Court in India

against a Government servant whose pay and allowances are to
be disbursed outside the local limits to which the Code of Civil
Procedure extends, the Drawing and Disbursing Officer of the
Concerned Ministry/ Department in India will be responsible for
drawing the amounts recoverable monthly in compliance with the
attachment order and remitting them to the Court concerned,
unless timely intimation is received by him of the death of the

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Government servant or of any other event necessitating the

discontinuance of such payments.
(3)

In cases in which a judgment debtor does not sign the

acquaintance roll and intentionally allows his ay to remain
undisguised in order to evade payment on account of an
attachment order issued by a Court of Law, the Head of the
Office may draw the pay of the judgment debtor in satisfaction of
the attachment order, subject to the prescribed restrictions, and
remit the amount to the Court concerned.

(4)

The amounts drawn under sun-rules (2) and (3) above shall
treated in the accounts in the same way as leave salary or pay
drawn by the Government servant concerned, the particulars of
the attachment order being cited in the pay bill or the acquitance
roll as an authority for the charge and the Courts receipt for the
amounts shall be field with the attachment register or such other
suitable record as may be kept by the Drawing Officer.

229.

The cost, if any, of remittance to a Court of money realized under its

attachment order shall be deducted from the amount realized, and the net
amount remitted to the Court.
229-A. Recoveries from the salaries of Government servants, on account of
profession tax levied under an Act of a State Government, and dues of Cooperative Societies registered under the various Co-operative Societies Acts,
where such Acts impose a statutory obligation on the Government to effect such
recoveries, shall be made by the Drawing and Disbursing Officer in accordance
with such procedure as may be laid down by Government from time to time.
A Drawing and Disbursing Officer, even when not located within the
territorial limits to which any of the above mentioned Acts apply, may effect
recoveries on account of profession tax or dues of a Co-operative Society from the
salary payable to a Government servant, provided that such Government servant,
in the case of dues of Co-operative Societies, authorizes in writing the Disbursing

102 | P a g e

Officer to effect such recoveries and the Disbursing Officer ensures, before
effecting the recoveries, that the authorization given to him by the Government
servant is clear, unambiguous and his not been revoked.
First Payment of Pay, Allowances, etc.
230.

When the name of a Government servant appears for the first time in a pay

bill, the bill shall be supported by a Last Pay Certificate in Form 1[T.R. -73]
prescribed for the purpose; if the Government servant did not previously hold
any post under the Government or is re-employed after resignation or forfeiture
of past service, a certificate by the Drawing and Disbursing Officer to the effect
that the medical certificate of fitness in the prescribed form has been obtained
in respect of the Government servant must accompany the bill in conformity
with and if so required by any rule or order governing the conditions of the
service to which he belongs.
Where the competent authority under any rule or order authorize the drawal
of pay and allowances of a newly appointed Government servant for a period not
exceeding two months without a medical certificate of fitness, a certificate to this
effect shall be furnished in the first pay bill.
If a pensioner is re-employed, the fact shall be stated in the bill.
2

[NOTE : -Deleted]

231.

In all cases of transfers the responsibility for obtaining his own copy of the

Last Pay Certificate from his last Disbursing Officer shall rest with the
Government servant concerned.
232.

Deleted.

233.

Deleted.

234.

Deleted.

Place of Payment
Pay and Allowances

103 | P a g e

235.

(1) Save as hereinunder provided, and subject to any special procedure

that may be prescribed by departmental regulations, bills for pay and

allowances or leave salary are ordinarily payable only where the Drawing ad
Disbursing Officer who draws the claims is stationed.
NOTE1:- In cases where a Government servant is on tour and payment has to be
made to him at the station where he is on tour, the Drawing Officer shall remit the
amount to him by Bank Draft at par or Postal Money Order; the charges involved
in sending the Bank Draft by registered post or in remitting the dues by Money
order shall be charged to office contingencies.
NOTE2:- Deleted.
(2) Nothing contained in this rule shall have the effect of withdrawing any
concession that has been or may be allowed by the Government to individual
Government servant or class of Government servants for drawing a part of their
pay at places other than their headquarters.
236.

Deleted

237.

In case of transfer the pay due in respect of the old post which has not been

drawn at the time of the transfer may be drawn at the new headquarters or at
the place in which the pay in respect of the new post is drawn.
Pay due to Government servants absent out of India
243.

If pay, allowances or leave salary be due in India to a government servant

absent out of India, he must make his own arrangements to receive it in India.
Payment of Pay, leave Salary, etc., through Agents
244.

(1) Save as hereinafter provided, pay and allowances or leave salary may

be paid only upon the personal claim of the Government servant concerned,
and to his personal receipt, and not otherwise, except under the special
authority in each case of the Government or of the Comptroller and Auditor-

104 | P a g e

General. The government servant may be allowed to receive payment through

a messenger duly authorized by him to receive the money on his account, but
there can be no endorsement on the bill to pay to any such person; and in such
a case, the Government accept no responsibility in respect of money, cheque
or draft that may be handed over to the messenger.
NOTE:- Pay and allowances of a person who is certified by a magistrate to be a
lunatic should be paid in accordance with the detailed procedure * laid done under
the provisions of Section 95 (1) of the Ndian Lunacy Act, 1912.
(2) (a) Pay and Allowances and leave salary of a Government servant, who
is unable to present himself in person to receive payment, may be paid to a banker
or agent duly authorized by him to receive the money and give a legal quittance,
provided that the banker or the agent holds a legally valid power of attorney to act
in this behalf. In the absence of such a power of attorney, the Government servant
desiring to receive payment through a banker or agent must furnish the latter with
a legal quittance for the money claimed, signed by himself, which will have to be
surrendered to the Disbursing Officer, with a letter of authority for the payment to
be made. The banker or the agent must also furnish a formal receipt, which need
not be stamped, to show that the money has been actually received by him
NOTE :- Notwithstanding anything contained in this clause, the government may in
special circumstances authorize payment of such part of a claim of a Government
servant to be mad to a person and to the extent as may specifically be so asked
for in writing in this behalf by the Government servant concerned. In such a case
the receipt given by the person so authorized to receive the sum specified shall
constitute a valid quittance for the mount paid to him, and a receipt for the balance
only, if any, when paid, shall be obtained from the Government servant concerned.
(b) A Government servant or a single person cannot be constituted as an
agent for the purpose of this rule, except when he holds a legally valid power of
attorney to act for the Government servant concerned.
(3) Deleted.

105 | P a g e

245.

Deleted.

246.

(1) Government servants may make arrangements with their agents to draw

their leave salary, vacation pay, etc., granting suitable powers of attorney to
enable them to do so, the agents in their turn giving the Government a bond of
Indemnity as a security against any loss in the case of overpayment.
NOTE:- A register of power of attorney should be maintained by the Disbursing
Officer in the form prescribed in the Government Securities Manual and all cases
in which the Power of attorney has been granted should be recorded therein.
(2) The Bond of Indemnity which must be stamped may be in the following
form in the case of a firm or a Bank.
In consideration of our being permitted to draw pay/lave salary/ pension of Shri.
. during his absence from to we herby undertake to refund to
the Government, on demand and without demur, any overpayment that may be
made to us as his agent. In this respect the decision of the Government shall be
final and binding on us.
It must be seen that the person signing the Bond has authority to bind the
firm or the Bank.
247.

(1) It is not necessary for a separate Bond to be entered into for each

individual. Such a Banks

are as included in the Second Schedule to the

Reserve Bank of India Act, 1943, may be allowed to execute a General Bond
in Form T.R. -15 to cover the Pay ,leave salary, pension, etc., of their
constituents in general.
EXCEPTION:- State Co-operative Banks, State owned /controlled Banks, which
are not included in the Second Schedule to the Reserve bank of India Act, 1934,
may be allo0wd by the Government, in consultation with the Reserve Bank, to
execute a General Bond of Indemnity under this rule, provided such Banks
undertake commercial banking and their financial position is considered
satisfactory.

106 | P a g e

(2) Separate Bonds must be executed for payments relating to or for

persons whose salaries or pensions are debatable to the Central Government ad
those debatable to a State Government. The applications for such bonds will be
dealt with by the Government (Central or State) concerned.
(3) Nothing contained in this rule shall affect the validity of Bonds duly
executed ad continuing in force from dates prior to 1st April, 1937, unless in any
particular case the Government issue orders to the contrary.
(4) Deleted.
ANNEXURE A Deleted.
ANNEXURE B Deleted.
266.

(1)Subject to any special orders issued by the Government in this behalf or

to an special procedure that may be prescribed by departmental regulations,

the leave salary of a Government servant shall be drawn from the treasury or
officer of disbursement from which his pay was being drawn immediately
before proceeding on leave. Normally the Government servant must make his
own arrangement s for getting his leave salary remitted to him. However, if a
Government servant on earned leave exceeding one month specifically
requests for the remittance of his net dues by means of Demand Draft, the
Drawing and Disbursing Officer concerned shall arrange for the remittance in
accordance with the precisions of Note 910 below Rule for the remittance in
accordance with the provisions of Note 91) below Rule 235(1). IN cases where
a period of leave is followed by transfer, and portion of leave salary which was
not drawn at the old station; may be drawn at the treasury of office of
disbursement from which the payment in respect of the new post is drawn.
NOTE 1:- When a group D Government servant proceeds on leave for a
period exceeding one month, the net leave salary due to him shall, on his express
request, be remitted to him by the Drawing and Disbursing office by Postal Money
Order at Government expense.

107 | P a g e

NOTE 2:- Government servants serving in the Missions abroad may, for a
period of leave spent in India, draw their leave salary in India, on bills drawn by the
Ministry concerned on the basis of the last Pay Certificate issued by the Mission
concerned. This procedure will also apply for the payment of joining time pay and
emoluments or leave salary, as the case may be, and / or any other allowances
admissible in India for the period of voyage as also for any initial period of leave
spent abroad before embraking for India, which a Government servant can drawn
under Rule 91 of the Fundamental Rules.
(2) When leave salary is drawn for a Government servant other than that
belonging to any of the categories covered in sub-rule (5) of Rule 220, the Bill in
which it is first drawn shall be accompanied by a certificate the Drawing Officer,
showing the a calculation of the amount of the leave salary drawn or quoting the
rule or order under which the leave salary is based on actual pay. If the calculation
is based on pay drawn outside the Government servants substantive section or
office, a reference to the bills in, or the office from, which such pay was drawn
shall be given in the certificate.
1

[(3) A Government servant who is granted terminal leave/refused leave

under the provisions of Rule 39 of the Central Civil Services (Leave0 Rules, 1972,
shall be paid lumpsum, the amount equivalent to leave salary and allowances, if
any, admissible during such leave (excluding Compensatory City Allowance and
House Rent Allowance) for the entire period of such leave as one time settlement.
The compensatory city allowance / House Rent Allowance during refused leave, if
otherwise admissible shall, however, be paid each month in arrears on the expiry
of the refused leave for that month]
[This sub-rule comes into effect from the 1st January, 1977.]
(4) Whenever leave salary is drawn in respect of a Government servant
who has served under another Government or department which is treated as
separate unit for purposes of allocation of leave salary, a detailed statement

108 | P a g e

showing the allocation of such leave salary shall be prepared ad attached to the
Bill in which the leave salary is first drawn.
1

NOTE- Deleted
Arrear Bills

276.

Arrears of pay, fixed allowances of leave salary shall be drawn not in the

ordinary monthly bill, but in a separate bill, the amount claimed for each month
being entered separately with quotation of the number and date, together with
the date of encashment of the monthly bill from which the charge was omitted
or withheld or on which it was refunded by deduction, or of any special order of
competent authority granting a new allowance or an increase in pay. A note of
the arrear bill shall invariably be made in the office copy of the bill or in the pay
bill register in Form T.R. 22-A for the period to which the claim pertains over
the dated initials of the drawer of the arrear bill in order to avoid the risk of the
arrears being claimed once again. The Drawing Officer shall also record the
following certificates on the arrear bill under his dated signature:
(i) That no part of the amount claimed has been drawn previously.
(ii) That a note of the arrear claim has been made in the office copy of the
bill or the pay bill register for the period to which the claim pertains.
Subject to the conditions laid down in Rule 136, arrear bills can be
presented at any time and any include as many items as are necessary.

GOVERNMENT OF INDIAS ORDERS

(1) Procedure for payment of arrears of pay, allowances , etc., of a
Government servant transferred from one Division/office/Department to
another in respect of whom a last Pay Certificate has been issued:1. The practice obtaining for the payment of arrears of pay and allowances,
etc.,

of a Government servant transferred from one Division /Office

/Department to another and in respect of whom a last pay Certificate

109 | P a g e

has been issued. Varies from office to office and no uniform procedure
is being followed in this regard. The question of evolving a uniform
procedure has been under the consideration of the Ministry of Finance
for some time past. It has now been decided in consultation with the
Comptroller and Auditor-General of India that the following procedure
may be adopted by all the offices in the matter of drawing the arrear
claims of the Government servant who are working under their control.
2. The Drawing and Disbursing officer of the office in which the
Government servant is currently working, may prepare a Due and
Drawn Statement in respect of arrears of pay and allowances of such a
Government servant and send it to his earlier office(s)/parent office, as
the case may be, for verification of the claim. The latter office may check
these statements, make entries in their record (i.e., in the office copies
of the bills) and return to the concerned Drawing Officer with a certificate
that the arrears relating to the Government servant have been noted in
the relevant office copies of the bills. On receipt of the Due and Drawn
Statement duly verified by the earlier/parent office, the Drawing an
Disbursing Officer may prepared the arrear bills of the Government
servant in the proper forms, record the necessary certificate as required
in Rule 276 of CTRs., and draw the bills from the Treasury and disburse
the arrears to him on proper acquittance. The expenditure in this behalf
may be debited to the budget provisions of his office.
3. In the case of Government servant working in Defence, Railways, P. &
Ts. and other Governments transferred to Civil and vice Versa, the
procedure referred to in Para. 2 above is further modified to the extent
that while accepting the Due and Drawn Statement of arrear claims;
the concerned office should also accept the debit thereof, record the
classification and return it to the Drawing and Disbursing Officer of the
office in which the Government servant is currently working for drawal
arrears and payment to him.
th

[G.I., M.F., O.M. No. F. 10 (49)-B-73,dated the 7 January, 1974]

110 | P a g e

(2) Provisional payment to non-Gazetted staff without LPC:- In order to

avoid hardship, the President has been pleased to decide that provisional
payment of substantive pay may be allowed to non-Gazetted Government
servant pending receipt of theire LPC either on reversion from a Gazetted
post or on transfer from one non-Gazzetted post to another. Cases of the
latter kind should, however, be very rare as, in the case of non-Gazetted
staff, there would not normally be ay difficulty to get the LPC in time from
the Head of the Office (Drawing Officer) where the non-Gazetted officer
was serving prior to cash transfer.
The Head of the Office may sanction provisional payment in such
cases and suitable indication of the payment should be given in the
Establishment bill by the Head of the Office/Drawing and Disbursing Officer
for purposes of Audit.
st

[G.I., M.F., O.M. No. F. 7 (15)-E-III (A)/64, dated the 1 October, 1974]

(3) Arrears of DA sanctioned with retrospective effect can be paid by the

new DDO without verification of Due and Drawn statement:- Arrears of
dearness allowance/additional dearness allowance sanctioned by the
Government retrospectively after the transfer of a Government servant from
one Department to another Department or one office to another, in the
same Department shall be drawn and paid by the DDO responsible for
drawal and disbursement of the emoluments of the Government servant
against the new posts , without getting the due and drawn statement
verified from the Service Book, leave account and LPC that there is no spell
of unauthorized absence/half pay leave/extraordinary leave during the
period for which the arrears are payable in respect of a Government
servant. (Cases involving such spells will be regulated by the provisions of
the main rule). However, an intimation of the payment of such arrears
having been made shall be sent by the new DDO to the DDO of the earlier
office for keeping necessary note in the pay bill register. He may check the
details of payments authorized by the new DDO and in case any
discrepancy /overpayment is noticed he may intimate it to the new DDO
111 | P a g e

shall send a confirmation to the present DDO about his having kept a note
of the payment of arrears in the pay bill register. The new DDP shall watch
the receipt of such a confirmation from the previous DDO and shall make a
note to this effect in the pay bill register.
Travelling Allowance Bills
277.

Subject as provided in Rule 281 below, for traveling allowance other than

permanent or fixed traveling allowance shall be prepared and presented in

accordance with the following provisions:(i) The bills shall be prepared in Form T.R. -25, the instructions printed on
the form being strictly observed. When a circuitous route is taken, the
reason for doing so must invariably be stated in the bill.
(ii) When actual expenses are drawn on account of carriage of horses or
conveyance, details of horses or conveyances transported should be
furnished in the bill. For the purpose of drawing the allowance on
account of a family for whom the allowance is claimed. No other details
in these or other cases need be furnished but every claim for the cost of
transportation of personal effects and horses or conveyance should be
supported by a certificate that the actual expenses incurred were not
less than the amount claimed.
(iii) Separate bills shall be submitted for Government servants of different
grades under the traveling allowance rule if the bills require different
treatment in the Office of the Account-General.
(iv) All traveling allowance bills must bear a certification the Drawing Officer
in the following form:Certified that I have satisfied myself that the amounts included in the
bills drawn one /two/ three months precious to this date with the exception
of those detailed below (total amount of which has been refunded by
deduction from this bill), have been disbursed to the Government servants

112 | P a g e

named therein and their receipts taken on the office copy of the bill or in a
separate acquittance roll.
278.

The bill completed as above may be encashed on the receipt of the Head of

the Office; but no bill requiring previous countersignature of a controlling

authority shall be presented before such countersignature is obtained.
279.

The traveling allowances bills of government servant proceeding on tour

shall be presented at convenient intervals during the period of their tour or

immediately on return to the headquarters and, as far as practicable before 31st
March if the tour has been completed before that date.
280.

Deleted.
In the Public Works Department, save were any special procedure has

been authorized by the departmental regulations, traveling allowance bills can be

presented for payment only after the claims have been passed by the controlling
officers concerned.
The subordinates shall prepare their traveling allowance journals in
FormT.R.-26 and after these are duly countersigned by the controlling authority,
an abstract bill showing the totals user each head of claim for each person shall be
prepared in Form T.R. -27 by the Divisional officer for presentation for payment in
accordance with Rule 544, the original journals being either submitted direct to the
Accountant General or attached to the abstract bill.
Cost of medical treatment
281.

Bills for reimbursement of the expenditure incurred by Government servants

on account of medical attendance and treatment may be drawn in Form T.R.

27-A under the sub-head allowances, honoraria, etc.. The amount drawn in
the bills must be supported by proper receipts and vouchers in all cases.
282.

Deleted.

283.

(1) The Head of an Office is personally responsible for the amount drawn

on a bill signed by him or on his behalf until he has paid it to the person(s)
entitled to receive it and has obtained a legal quittance on the office copy of the

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bill or in Form T.R. -28; the particulars in Form T.R. -28 will be filled I from the
bill in Form T.R. -22 or form a Bill Check Register which may be maintained in
Form T.R. 28-B, if considered necessary.
In cases where the payee Government servant is physically unable
to sign the quittance, the Head of the Office shall disburse the amount or hand
over the cheque, as the case may be, to such member of the government
servants family as has been nominated by the Government servant to receive his
Provident Fund dues.
(2) If, for any reason, payment cannot be made within the course of the
month, the amount drawn for the payee shall be refunded by short drawing in the
next bill, and when the occasion for making the payment arises, the amount may
be drawn anew under Rule 276.
Provided that if in the opinion of the Head of the Office this restriction is
likely to operate inconveniently, the amount of undsbursed pay and allowances
may, at his option, be retained for any period not exceeding three month, but this
concession shall not be availed of unless the Head of the Office is satisfied that
proper arrangements can be made for the sage custody of the sums retained.
(3) Undisbursed pay or allowances may not, under any circumstances, be
placed in deposit at a treasury.
NOTE 1:- Acquittance rolls and office copies of bills are not required to be
submitted to the Accountant-General, but being important records they should be
stamped paid and preserved carefully for the prescribed periods.
In respect of the payments made through acquittance rolls on the pay day,
the disbursement certificate at the foot thereof shod invariably be signed by the
Disbursing Officer in token of the total amount actually paid. The paid stamp, duly
attested y the drawing officer, need be affixed only against the total disbursed
amount of the acquittance roll. In respect of undisbursed amounts paid
subsequently, the items should be stamped paid individually and attested by the
Drawing Officer while signing the Cash Book.

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NOTE 2:- Cash drawn on pay and traveling allowance bills should not be
mixed with regular cash balance of the department, if any. An account of
undisbursed pay and allowances should be kept in a Register in Form T.R. 71.
Entries of the total and particular amount of undisursed pay and allowances may
be made against each bill serially, and subsequently payments thereof entered in
the appropriate columns of the Register and the Cash Book, each such entry
being attested by a Gazetted Officer. From this Register, an abstract of amounts
remaining undisbursed for three months should be prepared to ensure their refund
ether in cash or by short drawal from the next bill.
NOTE 3:- A Bill Register Form T.R.28-A should be maintained by all Head of
Offices who are authorized to draw money from the treasury on bills signed by
them. The register should be reviewed monthly by Gazetted officer and the result
of the review recorded thereon.
NOTE 4:- A Bill Transit Register in form T.R. -28-C should be maintained by all
Heads of Offices who are authorized to draw money for the treasury. To prevent
presentation of fraudulent bills to the treasury, the register should be reviewed biweekly by a Gazetted Officer and the result of the review recorded thereon.
Last payment of pay and allowances
1

[283-A. Normally, the last payment of pay or allowances in respect of a

Government servant who finally quits service of the Government or who is placed
under suspension may be mad only after the head of the Office satisfies himself,
by reference to his own records and to other appropriate authorities, where
necessary, that there are no demands outstanding against the Government
servant. However, in cases where security for an amount considered by the said
Head of Office to Be adequate to cover the aforesaid demands is taken from such
Government servant in cash, or by a surety Bond, or by withholding a part of the
gratuity payable to the Government servant, the last payment of pay and

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allowances may be made and the Last Pay Certificate issued, even if the likely
dues from such Government servant remain to be assessed and realized.]
EXCEPTION :- The Disbursement of pay and allowances in lieu of notice period
under the provisions of Rule 56 (j) contract officers and officers purely in the
temporary employment of the Government, proceeding on foreign service or out of
India , and (ii) non-officials including members of any Commission or committee,
whether statutory or not, on their termination of service with the Commission,
committee, etc.
Death of Payee
283-B. Pay and allowances can be drawn for the day of the Government servants
death; the hour at which death takes place has no effect on the claim.
NOTE:-Day for the purposes of this rule and Rule 37 should mean a
calendar day beginning and ending at midnight.
Arrears payable after death
283-C. 1[(1) subject to the provision of rule 283-A, pay and allowances of all kinds
claimed on behalf of a deceased Government servant may be paid without the
production of usual legal authority under the orders of the head of Office in which
the government servant was employed at the time of his death, provided the head
of Office is otherwise satisfied about the right of the claimant.
In cases where the gross amount of the claim exceeds 2(Rs. 10,000) the
payment will be made by the head of office only on the execution of an Indemnity
Bond if Form T.R. -14 duly stamped for the gross amount due for payment, with
such sureties as may be deemed necessary.
Provided that Head of Office may; subject to the condition prescribed n
Para. 1, make anticipatory payment of an amount not exceeding 1(Rs. 10,000).]
NOTE 1:- Normally there should be two sureties, both of known financial stability,
unless the gross amount of the claim is less than 1(Rs. 10,000) in which case the
authority accepting the Indemnity Bond I Form T.R. -14 for and on behalf of the

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President should decide on the merits of each case whether to accept only one
surety instead of two.
NOTE 2:- The Obligor as well as the sureties executing the Indemnity Bond should
have attained majority so that the Bond may have legal effect or force. The Bond
is also required to be accepted on behalf of the President by an officer duly
authorized under Article 299 (1) of the Constitution.]
(2) In case of any doubt, Payment shall be made only to the persons(s)
producing the legal authority.
(3) On receipt of the claim for payment of arrears of pay and allowances 3[of
all kinds (including traveling allowance claims) ] on behalf of a deceased
Government servant from his heir(s), the Head of the Office in which the
Government servant was last employed should draw the amount in the appropriate
bill form from the treasury. The claim should be supported by all the relevant
certificates which the Head of the Office is required to furnish in the normal
circumstances. However, in respect of the certificates which solely depend on the
personal knowledge of the deceased Government servant and which obviously
cannot be furnished by the Head of the Office, the Head of office should record, if
he is satisfied about the correctness of the claim, and furnish a certificate to the
effect that the claim is not susceptible of verification but is considered reasonable.
1

[The amount should be disbursed to the claimant (a) by the head of Office by

following the procedure laid down in sub rule (1)]. A formal receipt, stamped
where necessary, should be obtained from the claimant(s).
NOTE:- The Procedure prescribed in this rule shall apply to any claim for payment
of dues or honorarium payable to deceased non officials, including deceased
non-official members of any Commission/Committee, whether statutory or not.
Section III Contingent Charges
Introduction
284.

The term Contingent charges or contingencies used in the section

means and includes all incidental and other expenses which are incurred
for the management of an office as an office or for the technical wording of

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a department, other than those which under prescribed rules of

classification of expenditure fall under some other head of expenditure
e.g., works,tools and plant, etc.
285.

The rules of procedure prescribed in this section shall apply primarily to

contingencies, but miscellaneous expenditure which is not classed as
contingencies is also subject to these rules, except in so far as it may be
governed by any special rules of procedure prescribed in section of this
part or by any departmental regulations.

286.

The provisions of this Section shall apply primarily to contingent charges of

Heads of officers, etc., who draw money required by them to disburse
these charges by bills drawn on the treasury. Contingent charge s of other
department s and offices are also subject to the rules in this sections
except in so far as they are supplemented or modified by departmental
regulations
General Rules
Classification of charges

287.

Contingent charges incurred on the public service are divided into the
following classes, the classification adopted in each department or officer
being determined by orders of competent authority:
(i) Contract contingencies- those for which a lump sum is placed annually
at the disposal of a disbursing officer for expenditure without further
sanction of any kind. They generally consist if charges, the annual
incidence of which can be averaged with reasonable accuracy.
(ii) Scale-regulated contingencies- to comprise such contingent charges
as may be regulated by scale laid down by competent authority, e.g.,
rewards for destruction of wild animals etc.

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(iii) Special contingencies to include such contingent charges, whether

recurring or non-recurring, as cannot be incurred without the previous
sanction of superior authority.
(iv) Countersigned contingencies- to include such contingent charges as
may require approval of some controlling authority before they can be
admitted as legitimate expenditure against the government, such
approval usually taking the form of countersignature after payment on
a detailed bill submitted to the pay and account s officer/ AccountantGeneral.
(v) Fully vouched contingencies- to comprise contingent charges which
require neither special sanction not countersignature, but may be
incurred by the Head of the Office on his own authority subject to the
necessity of accounting for them. These may be passed on fully
couched bills without countersignature.
NOTE:- The five classes of contingencies set forth above are not
necessarily mutually exclusive. There may be cases in which special
contingencies may be regulated by scale, or in which a bill for scaleregulated contingencies may require countersignature. When a
contingent bill falls within two or more classes, the procedure prescribed
in Rules 302 to 315 for each of these classes should, as far as possible,
be applied to.
Permanent Advances
288.

Government officer who have to make payments for contingent

expenditure before they can place themselves in funds by drawing
contingent bills on the 1[Pay and Accounts Office/ Treasury] may make
such payments out of permanent advances or imprests which they may be
permitted to hold under the orders of competent authority, subject to
recumbent on presentation of contingent bills. 2[All such claims up to Rs.
500 may be disbursed out of permanent advance or imprest.]

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[NOTE :- The monetary limit will not apply in regard to claims relating to

telephone, electricity and water bills in the case of a non-cheque drawing DDO
stationed at a place different from that at which the accredited PAO/Cheque
Drawing DDO authorized to pay his contingent bills, as the case may be, is
located.]

General limitations
289.

All charges actually incurred must be paid and drawn at once, and under
no circumstances may they be allowed to stand overt be paid from the
grant of another year.

290.

No money shall be drawn from the treasury unless it is required for

immediate disbursement. It is not permissible to draw money from the
treasury in anticipation of demands or to prevent the lapse of budget
grants.

291.

The charges relating to two or more major heads may not be shown in one
register, nor included in one bill. But expenses which are shared in some
fixed proportion between two branches of the same office may, unless
they are reviewed by different authorities, appear in one bill. In such a
case, the joint grant may be entered in one register only for purposes of
control, the account of adjustment being left to the Accountant general.

292.

(1) Save as hereinafter provided in this rule, no payoff any kind and no
additions to pay may be drawn on bills for contingent expenditure.
(2) Subject to any general or special orders issued by the government the

pay of Group D servants by whatever designation they may be called who have
been or may be , declared by competent authority to be ineligible for pensions
and who discharge the duties of the classes mentioned below, may be treated as
contingent expenditure:(i) Hot weather establishments;
(ii) Mazdoors engaged on manual labour and paid daily or monthly wages;

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(iii) Sweepers ;
(iv) Other classes of Group D servants, e.g., dhobis, tailors, syces grass cutters, etc.
The wages of temporary field establishments of Surveys and
settlements and of extra Potdars entertained for accompanying remittances, etc.,
may also be drawn on contingent bills.
293.

Contingent charges incurred on account of the wages of Mazdoors

engaged on manual labour and paid at daily or monthly rates shall
supported by certificate signed b the disbursing officer to the effect that the
Mazdoors were actually entertained and paid.

293-A. Contingent bills preferring claims for rents, electricity and other connected
charges incurred on account of the hire of private buildings by the Government
for accommodation of Central Government officers should be accompanied by
the following certificates signed by the disbursing officer.
Certified that the amount drawn on account of rent, rates and taxes in
Contingent Bill ..dated the ., was actually paid to the
parties concerned and that.(i) No portion of the building for which the expenditure was incurred was
utilized for residential or other purposes during the period the charges
were paid;
(ii) The expenditure in respect of the portion of the building used for
residential or other purposes during the period for which the charges
were paid, ahs been recovered from the under mentioned
Government servants from whom it was due
Provided that in the case of Drawing and Disbursing Officers who do
not find it possible to furnish the first portion of the certificate prescribed
above due to the fact the imprest amounts held by each of them are
much less than the monthly rate of contingent expenditure on rent,

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rates and taxes, etc., requiring to be paid by each of them to different

parties, the following certificate should be furnished in lieu of the first
portion of the certificate prescribed above:Certified that(a) The amounts drawn on accounts of rent, rates and taxes, etc., in
the

previous

contingent

Bill

No.

dated

have actually been paid to the parties concerned,

and that
(b) The amounts drawn in this bill will be paid to the parties on
realization.
293-B. Contingent bills which include charges on account of purchase of goods
on which

sales tax has also been charged should be supported by the

following certificate signed by the disbursing officer:Certified that in the case of sub-vouchers attached to the bill and
those retained in my office relating to the purchase of goods on which sales tax
has been charged, the goods have not been exempted under the Central Sales
Tax Act or the rules made thereunder, and that the amounts paid on account of
sales tax on those goods are correct under the provisions of that Act or the rules
made there under, and that in the case of supplies against regular contracts, the
relevant contract includes a specific provision that sales tax is payable by
government.
293-C. The following certificate signed by the drawing officer shall be attached to
all the contingent bills which include charges on account of expenditure on light
refreshments at formal meetings and conferences:Certified that the expenditure on entertainment charges included in
this bill was incurred in accordance with the terms and conditions laid down by the
Government, from time to time, and that the prescribed monetary limits have not
been exceeded.

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294.

In the case of all other Group D servants whose pay is drawn on

contingent bills, certificates in the following form shall be furnished by the
drawing officer:1. Certified that all other Group D servant whose pay has been
charged in this bill were actually entertained in Government service
during the period concerned.
2. Certified that the rates of pay and dearness allowances of part-time
and casual employees drawn in this bill have been fixed in
accordance with the orders of the Government of India presently in
force.
Responsibility of drawing officers

295.

Every Government officer shall exercise the same vigilance in respect of

petty contingent expenses as person of ordinary prudence may be
expected to exercise in spending his own money. The drawing officer is
further responsible for seeing that the rules regarding the preparation of
bills are observed, that the money is either required for immediate
disbursement or has already been paid from the permanent advance, that
the expenditure is within the available appropriation and that all steps have
been taken with a view to obtaining an additional appropriation if the
original appropriation has either been exceeded or is likely to be
exceeded, and that in the case of contract contingencies, the proposed
expenditure does not cause any excess over the contract grant.
Responsibility of Controlling Authority

296.

The countersigning officer shall be responsible for seeding that the items
of expenditure included in a contingent bill are of obvious necessity and
are at fair and reasonable

rates, that previous sanction for any item

requiring it is attached, that the requisite vouchers are all received and are

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in order, that the calculations are correct, and specially that the grants
have not been exceeded nor are they likely to be exceeded and that the
Accountant-General has been informed either by a note on the bill or
otherwise of the reason for any access over the money proportion of the
appropriation. If expenditure be progressing too rapidly, the shall
communicate with the drawing officer and insist on its being checked..
Cancellation and destruction of sub-vouchers
297.

The following rules for the prevention of the fraudulent use of subvouchers shall be observed by all drawing and controlling officers in the
mater of cancellation and destruction of sub-vouches:-(i) Unless in any case it is distinctly provided otherwise by any rule and
order, no sub-vouchers may be destroyed until after a lapse of three
years.
(ii) Every sub-voucher which under the provisions of Rules 302 to 315 is
not forwarded either to the Accountant-General or to a controlling
officer along with bills but is recorded in the office to which the
expenditure relates, must be duly cancelled by means of a rubber
stamp or by an endorsement in red ink across the voucher, the
cancellation being initialed by the officer authorized to draw the
contingent bills of the office. The cancellation should be made at the
time when the contingent bill in which the sub-vouchers are included is
actually signed. If the amount of the sub-voucher exceeds the
permanent advance, the cancellation should be made as soon as the
payment is made and entered in the contingent register.
(iii) Sub-vouchers submitted to a controlling officer which he is not
required

to forward to the Accountant-General

should be duly

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cancelled by him after check and the cancellation should be attest by

the controlling officer at the time of countersignature on the bill.
(iv) In all case in which sub-vouchers are not required to be submitted to
the Accountant-General or the controlling officer, the drawing officer
should certify in the bill that sub-vouchers other than those attached to
the bill have been so defaced or mutilated that they cannot be used
again. A similar certificate should be furnished by the controlling
authority in respect of sub-vouchers submitted to him by the drawing
officer but which he is not required to submitted to the AccountantGeneral.
Record of Contingent Expenditure
Contingent Register
298.

A register of contingent expenditure shall be kept in each office and the

initials of the Head of the Office, or of a Gazetted Officer to whom this duty
has been delegated by the Head of the Office, shall be entered against the
date of payment of each item.

299.

The standard form of the contingent register will be as in form T.R. 29.
The actual details such as the number of columns to be opened, the subheads and detailed heads and such further detailed classifications as may
be required for the purpose of control, may be settled by settled by the
Accountant-General and the controlling authority to suit the conditions of
each department or office.
As a general rule, the most common sub-heads and detailed heads may

have separate columns with appropriations noted at the top. The less important
and trivial items may be lumped together in one column when each of the separate
items need not be accounted for or watched separately. Any charge falling under
any of the separate columns but requiring explanation may be described in the

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column Description though the amount of it is entered only in its special column;
the same Description column will serve also for note of the month or period to
which any recurring charges entered in the other columns belong.
NOTE. If more convenient, a separate register may be maintained for
each class of contingent charges.
NOTE. If during the absence of the Head of the Office and of the
Gazetted Officer to whom the duty of maintenance of contingent register has been
delegated, the entries in the contingent register have been initialed by a nonGazetted Government Officer, the register must be reviewed and the entries reinitialed by the Head of the Office of such Gazetted Officer on return to duty at the
headquarters.
300.

As each payment is made, entries must be made in the contingent register

of the date of payment, the name of payee and the number of sub-voucher
in the three columns to the left, and the amount in the proper column, and
in the case of any charge requiring explanation, the initials of the officer
incurring it shall be taken against the description.

301.

To enable the disbursing officer to watch the progress of the expenditure

under each detailed head as compared with the appropriation for it, a
progressive total of all the columns must be made immediately after the
monthly total so as to include all payments under each head, as also
charges

adjusted

by

book

transfer

under

Rule

316

from

the

commencement of the year up to the end of the last expired month.

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Bills for Contingent Charges

General
302.

(1)When it is necessary to draw money for contingent expenses, as for

example, when the permanent advance begins to run short; or when
transfer of charge takes place; and in any case at the end of each month,
a red ink line shall be ruled across the gave of the register or registers, the
several columns added up and several totals posted in separate bills for
each class of contingent expenditure. The Head of the Office or the officer
in whom this duty has been delegated shall carefully scrutinize the entries
in the register(s) with the sub-vouchers, initial them if this has not already
been done and sign the bill which will then be dated and numbered and
presented for payment at the treasury.
(2) The heads of contingent expenditure may be entered n manuscripts in

the bill

and the totals posted against them, provided that in a case of

expenditure requiring

explanation, full details of the charges must be entered

in the bill except when they

are given in the sub-vouchers sent to the

Accountant-general.
NOTE 1:- Sub-Vouchers for petty contingent expenditure shall be prepared in
Form T.R. 30-A.
NOTE 2:- When the permanent Advance is running short, a demand may be
presented in excess of the balance; this item too should be entered in the register
and included in the bill, the number given being that which the sub-vouchers(s)
will bear when payment is made.
303.

(1) Subject to any order or instruction issued by the Government in this

behalf, a contingent bill for payment to suppliers, etc., may be endorsed for
payment to that party, at the request of the payee. This procedure shall not
apply to cases where the disbursing officer is authorized to incur
expenditure by drawing cheques on the treasury.

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(2) Wherever under the provisions of Clause (1) of this rule, a contingent bill
is endorsed to a private party, the drawing officer shall, before signing the bill,
obtain the specimen signature of the party on the body of the bill which he shall
attest before signing the bill. The drawing officer shall simultaneously issue an
advice direct (not through the endorsee) to the Treasury Officer (the Bank in the
case of Bank Treasury) giving full particulars of the bill. The bill must at once be
entered in the contingent register and a note made to the effect under the initials
of the drawing officer that the amount has been drawn.
Where the endorsee wishes to collect payment on the bill through a
messenger, other than a banker, the messenger must produce a letter of
authority from him in Form T.R. -72. A copy of the form may be obtained from the
drawing officer concerned.
(3) An endorsement on a contingent bill by a drawing officer in favour of a
messenger is not an endorsement for the purpose of this rule.
NOTE 1:- Endorsement will in all cases remain current for three months only
counting from the date of issue. In the case of the bills issued in the last quarter
of the year, however, an endorsement should be entered to the effect that the
payment orders will lapse unless the bills are cashed before that end of March
NOTE 2:- In the event of a contingent bill having been endorsed to a private party
under the provisions of sub-rule (1) of this rule and presented before the relative
advice is received from the drawing officer, the treasury officer or the Bank shall
not make payment of the bill till the advice is actually received and verified.
1

[NOTE 3:- The provisions of this rule will not apply to contingent payments (for

supplies, etc.), made by Drawing and Disbursing Officers functioning under the
Scheme of departmentalization of accounts or the Scheme under which the
accounts have been separated from audit. These payments will be made directly
by the Drawing and Disbursing Officers concerned to the claimants after getting
these pre-checked by the concerned PAOs, whenever required.]

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304.

When, in paying regards to informers, or in any other case, it is not

desirable to disclose the mane of payees, a certificate in the handwriting of
the disbursing officer to the effect that the payment has been duly made
shall be submitted to the Accountant-General in support to the payments
in lieu of the payees receipt ordinarily required.
Contract Contingencies

305.

In respect of contract contingencies, the bill shall be presented in a form

similar to Form T.R. -30, or in such other form as may be prescribed by the
Administrator after consultation with the Accountant-General. No subvouchers need be sent to the Accountant-General.
Fully vouched Contingent Charges

306.

(1) Officers whose contingent bills do not require countersignature and

who do not embody in their bills charges of any officer dealing separately
with the treasury need not submit monthly bills; they should draw money
from the treasury by bills in Form T.R. 30 showing full details of the
charges.

NOTE 1:- The following illustration explains the second conditions, A whose bills
do not require countersignature has subordinates who hold part of his permanent
advance and place themselves in funds by sending paid vouchers to A and
obtaining from A the amount of their actual expenditure; in these cases, A
need not submit monthly bills. The bills of B do not require countersignature but
his subordinates are allowed to deal direct with some treasury, presenting bills for
encashment which are to be adjusted by Bs, monthly bills; B must submit
monthly bills in adjustment of the bills cashed by himself and his subordinates.
1

[NOTE 2:- In cases (other than those of a non-cheque drawing DDO situated at

a place different from that of the accredited PAO / Cheque Drawing DDOs
authorized to pay the contingent bills, as the case may be ) where payments of
telephone, electricity and water charges are generally more than the monetary
limit prescribed in Rule 288 and which cannot, therefore, be paid out of the

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permanent advance, funds required for making only these payment may be
drawn on fully-vouched contingent bills (T.R. -30) under the provisions of this rule
attaching thereto a duplicate copy of the demand bill received as sub-voucher.
Wherever only one copy of the demand bill is received, for such payments from
the Telephone Department, State Electricity Boards or local bodies and the
payments are made only by cheque, funds required may be similarly obtained by
attaching Photostat copy of the demand bill (duly attested in regard of amount)
which will serve as a sub-voucher in support of relevant contingent bill as a
special case. This provision shall not, however, be available to any other type of
cases, or even in the instant types, if the payment accrues to a private party.
In the case of telephone bills Government account category cheques shall
be drawn. Cheques, in other cases, shall be crossed A/C Payee only. Stamped
receipt/Receipt, thereon received against payment of such a bill by cheque may
be retained by the DDO, and will be accorded by him the same treatment as
envisaged in Rule 297 of the CTRs.
(2) Unless in any case the Comptroller and Auditor-General directs
otherwise, sub-vouchers for more than 2[Rs. 500] each shall be submitted to the
Accountant-General.
Scale regulated Charges and Special Contingencies.
307.

Charges regulated by scale and special contingencies which require the

previous sanction of superior authority before they can be incurred, shall
be drawn in the abstract bill Form (T.R. 31) with a full description of the
charges and accompanied by sub-vouchers above 2[Rs. 500] or such
other limit as may be prescribed by the Comptroller and Auditor General.
In the case of special contingencies, other orders of sanctioning authority
must be quoted; when expenditure, for which a lump sum is granted under
a single special sanction, is continued over more than one month, the
second and subsequent months bill shall bear a note of how much has
been spent up-to date under the sanction.

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Countersigned Contingencies
Abstract Bill
308.

Except in the case of contingencies requiring countersignature before

payment, contingent charges falling under this group may be drawn from
the treasury by presenting abstract bills in Form T.R. 31 , subject to the
presentation of detailed bills to the controlling officer for countersignature
and transmission to the Accountant-General in accordance with the
procedure hereinafter prescribed.

309.

The numbers assigned to the sub-vouchers pertaining to each entry in the

abstract bill shall be detailed against the entry concerned, the amount
being given only in that case where a sub-voucher is for more than Rs. 50.
A certificate shall be attached to every abstract contingent bill to the effect
that the detailed contingent bills have been submitted to the controlling
officer in respect of abstract contingent bills drawn more than a month
before the date of that bill. On no account may an abstract contingent bill
be cashed without this certificate.
Detailed Bill

310.

a monthly detailed bill shall be prepared, in the case of contingent charge

countersigned after payment, from the monthly totals of the contingent
register; such detailed bill will be in Form T.R. 32, headed Not payable at
the treasury and will show the monthly total of each column with
description of each charge requiring explanation. The numbers assigned
to the sub-vouchers shall be entered in detail against each item; the
number and date of every abstract contingent bill cashed at the treasury,
and the sub-vouchers included in each shall be shown in the
memorandum at foot. The amount shown in the bill must be agreed with
the total of the abstract bills cashed during the month. Dijffe3rrenceds, if

131 | P a g e

any, between the total of a detailed bill and the register must be
adequately explained.
The detailed bill shall be signed by the Head of the Office and
submitted to

the controlling officer, or if there be no controlling officer, to

the Accountant-

General direct, with all sub-vouchers above Rs. 50, his

signature to the certificate

endorsed on the bill taking the place of the small

ones.
NOTE:- The limit of Rs. 50 above which sub-vouchers are required to be
submitted to the Accountant General is subject to alteration by the Comptroller
and Auditor General.
311.

If, in any month, the monthly proportion of the appropriation has been
exceeded, a report of the special circumstances which rendered the
excess necessary shall be sent to the countersigning officer with the
detailed bill.
Countersignature

312.

On receipt of the monthly detailed bill in the Office of the countersignature

officer, it shall be review by the countersigning officer with the subvouchers, any disallowance with the number of the sub-voucher
concerned and explanation of the objection, must be noted on the bill and
in the contingent register or such other record as may e kept in the officer
of the controlling officer. The countersigning officer shall them record the
date of admission, under his initials, sign the bill and dispatch it to the
Accountant- General direct with the sub-vouchers for item s for more than
Rs. 200 each, his signature to the certificate endorsed in the bill taking the
palace of the smaller ones.

NOTE 1:- The term items refers to items of expenditure and not items of charge;
for example , a charge for Rs.220 for section-writers would not required to be

132 | P a g e

supported by a sub-voucher if the amount is made up of sum paid to several

individuals none of which exceeds Rs. 200.
The limit to Rs.200 is, however, subject to alteration by the comptroller and
Auditor General
NOTE 2:- In the absence of the countersigning officer, the examination and
countersignature of the bill may be performed by some responsible Gazetted
Officer authorized by the countersigning officer.
NOTE 3:- A register of contingent expenditure may also be kept in the Office of
the Controlling Officer in such form and according to such method as may be
settled by a Department of the Central Government or by the Administrator in
consultation with the Accountant-General.
NOTE 4:- The detailed bills duly signed by the controlling officer shall be sent to
the Accountant-General direct within a on from the date of receipt of such bills in
his office.
Disallowances
313.

After dispatch of the bill to the Accountant-General, the countersigning

officer shall communicate any disallowances to the drawing officer and its
amount shall without fail be refunded by short drawing in the next
contingent bill presented at eh treasury for the same department of office.
The gross amount of each sub-voucher shall be entered in such bills and
below the total shall be entered Deduct disallowed from the bill of
..Rs. .., the countersigning officer withdraws his
objection, the amount may be redrawn in the next bill presented at the
treasury by entering after the total of sub-vouchers Add amount
disallowed from bill of refunded by deduction from
contingent Bill No. ., dated .., and subsequently
allowed as per ; the receipt would be for the gross amount,
and the items would be re-included in the next monthly contingent bill.

133 | P a g e

314.

Bills for contingent charges requiring countersignature before payment

shall be drawn in Form T.R.-33

Section IV: Pension Payments

Introductory
319.

(1) Subject as hereinafter provided, the rules in this section shall regulate
the procedure with regard to the payments, in or outside India, of all
pensions payable out of the Consolidated Fund of India;
Provided that if in any state a different procedure has been

prescribed for the payment of State Pensions, the same procedure may, unless
there are any general or special orders of the Government to the contrary, be
applied in the making of payments at a treasury of that state of any pensions
payable out of the consolidated Fund of India.
(2) Nothing contained in this rule shall be taken as affecting(i) The provisions of the Pensions Act (23of 1871), or of any rules
made thereunder, or the exercise by the State Governments of
such functions of the Central Government under the Pensions Act
as may be entrusted to them in consequence of a delegation of
function under Clause (1) of Article 258 of the Constitution.
(ii) The provisions of any rule contained in the Central Civil Services
(Pension)Rules, 1972, or of any departmental regulations issued
by, or under the authority of , the President, prescribing the
procedure for the payment of any pensions payable out of the
Consolidated Fund of India.
(iii) The procedures and conditions prescribed in special orders
issued by the Government from time to time for payments, by

134 | P a g e

authorized Public Sector Banks on behalf of the Government

pensions payable out of the Consolidated Fund of India.
320.

Unless there is anything repugnant in the subject or context, the procedure

with regard to the payment at any Central treasury or other office of
disbursement of pensions payable by the Government on behalf of , or as
an agent of, a foreign Government, local fund or any other authority shall
be regulated by the rules in this Section unless there as express orders of
the Government to the contrary

321.

In this Section, except where it is expressly provided other wise or the

context requires otherwise:Service Pension means a pension including provisional pension payable

to, or in respect of , a person in consideration of post employment under the

Government or the Government of a State either before or after the
commencement of the Constitution, and includes a gratuity so payable;
Political Pension means a pension not being a service pension granted or
customarily payable to, or in respect of, a person, on political consideration or
compassionate grounds or in consideration of distinguished or meritorious
services, or on the surrender of right s or emoluments, and includes assignments
or compensations payable in the form of fixed allowances or grants.
322.

Pensions or any other sums payable in respect of contributions to a family

pension fund, and any sums payable under the Workmens Compensation
Act are not subject to the rules in this section.
Place of Payment

323.

Subject as hereinafter provided, service /political pensions payable in India

may be drawn from any treasury 1[ or Pay and Accounts Office which was
responsible for the payment of last dues or from another PAO of the same
Ministry/Department at a different station ] in India or other authorized
officer of disbursement or from the office of an Accountant General
performing the functions of pension disbursing office with the consent of,

135 | P a g e

and subject to such conditions as may be laid down by, the Comptroller
and Auditor-General.
NOTE 1:- Service pensions are also payable through authorized Public sector
banks.
NOTE2:- 2[Provisional Pension, payable through the Head of Office shall be
drawn by the Head of Office in which the pensioner served immediately prior to
his retirement from the pay and Accounts office or an authorized office of
disbursement from which the pay and allowances of the establishment are drawn
by him. The payment of Provisional pension shall be noted in the Pay bill
Register maintained in Form T.R. -22-A
324.

Deleted.

325.

Pensioners who retire from the Posts and Telegraphs Department may,
subject to any general or special orders issued by the Government in this
behalf, draw their pensions from any authorized Post Office in India.

326.

(1) pensions due to pensioners of Defence Service may be disbursed b

one or the other of the following agencies:(i) Treasury Officers.
(ii) Pension Paymasters.
(iii) Such post Offices as may be nominated in this behalf by the
Director General, Posts and Telegraphs.
(iv) Authorized Public Sector Banks.
(2) Pensions of Railway pensioners by any of the agencies mentioned in
(i),(iii),or(iv) of sub-rule (1) above.
1

[(3) pension to Ex-Servicemen of Assam Rifles through Sub-Post Officer at

Vijay Nagar in Arunachal Predesh]

327.

Deleted.
Pension Payment Order

328.

(1) Except in the case of Defence pensions which are payable on pension
certificate or other authority issued by the Controller of Defence Accounts

136 | P a g e

(Pensions) ,

[or in the case of Railway pensions which are payable on

Pension Payment Order otherwise in the case of any particular class of

pensions, payment of pensions can be made only upon Pension Payment
Order issued by the Accountant-General.
(2) In issuing a Pension payment Order, the Accountant- General will(i) Attach to the Order a specimen signature of the pensioner if he can
sign his name in English, Hindi or the official regional language,
otherwise the thumb and finger impressions of his left hand, or where
this is not possible due to physical incapacity, the thumb and finger
impression of his right hand, failing which, his toe-impressions, being
duly attested by the Head of the Office concerned or by some other
responsible persons, and
(ii) Paste a certificate copy of the pensioners photograph in passport
size on the disbursers portion of the Pension Payment Order Central
Civil Services (Pension) Rules, 1972, also of the wife or husband, as
the case may be. This requirement will not, however, apply to
pardahnashin ladies, persons who are in receipt of family pensions
granted under Central Civil Services (Extraordinary Pension) Rules or
Rule 55 or the Central Civil Services (Pension) Rules, 1972, persons
who hold Government titles, or to any other person specially
exempted by the Government from the operation of this rule.
NOTE:- For pensions payable at the Office of an Accountant-General, the
purpose of disbursers portion of the Payment Order is served by the Audit
Register kept by the Accountant-General in which the necessary particular relating
to each pensioner are entered in full.
329.

(1) On receipt of a pension Payment Order by an office of disbursement,

the pensioners portion shall be made over to the pensioner after proper
identification when he appears to receive his pension for the first time. The
specimen signature or the thumb impression, as the case may be, of the

137 | P a g e

pensioner shall be taken where necessary in the space provided for the
purpose in the disbursers portion of the Pension Payment order.
NOTE :- In case where pension is drawn through authorized agent (who have
undertaken to indemnity the Government against overpayments) personal
appearance of the pensioner is not necessary even on the first occasion.
(2) The disbursers portions of the Pension Payment Orders shall be pasted
in serial order in separate files, one for each class of pensions, such as service
pensions, political pensions, foreign Government pensions, etc. These files must
be kept in the personal custody of the disbursing officer in such a manner that
pensioners shall not have access thereto.
NOTE:- Pension Payment Orders should ordinarily be filed in one series for the
whole district or circle of disbursement but the Accountant General may allow
filing by sub-treasury or any other series as may be found convenient.
330.

When a pensioner is specially exempted form personal appearance, the

fact shall be noted by the disbursing officer on the Pension Payment Order
and in all cases of Non-appearance of a pensioner, a note shall be made
on the Pension payment Order of the form in which proof was given, each
year, of the pensioners continued existence, e.g., appeared in person on
., and the initials of the disbursing officer or of the officer verifying
the facts shall be put against the note.

331.

Disbursing Officer are authorized to renew Pension Payment Orders

without reference to the Accountant General in cases in which
pensioners portion is lost, worn or torn, or the entries on the reverse of
either the pensioners or the disbursers portion are completely filled up.
The renewed Pension Payment orders shall bear the old number, date and
the name of the issuing officer, the old Pension Payment Orders, if
available, shall be 1[ returned by the disbursing officer to the concerned
pensioners for record after prominently stamping them as renewed and
cancelled on their first and last pages]. A note of the issue of the new

138 | P a g e

Pension Payment Order shall be made in the Remarks column of the

register mentioned in Rule 336.
332.

On the renewal of a Pension Payment Order, the portion of the original

order containing the facsimile of the pensioners signature or

thumb-

impression, as the case may be, and the copy of his photograph where
kept shall be cut off and pasted on the renewed Pension Payment Order
before the latter is singed by the disbursing officer.
2

[332-A. If both halves of a P.P.O. are reported lost in transit due to floods, etc,

before commencing payment, the concerned Pay and Accounts Officer will issue
a duplicate P.P.O. which would be prominently marked as Duplicate No
payment to be made against Original P.P.O. A note to this effect will also be kept
by him against the relevant entry in the Register of P.P.Os. issued. Similar note
will also be made in the relevant records maintained by the other concerned
authorities, i.e., Accountant-General, etc., before forwarding the duplicate P.P.O.
(both halves) to the Disbursing Officer. Before commencing the Payment, the
following further action will be taken by the disbursing officer:(a) It will be verified from the Register of P.P.Os. (TR-36) that the payment
has not already been made to the pensioner on the basis of the original
P.P.O.
(b) A confirmation will be obtained from the pensioner and kept on record
that he has not already received any payment against the original
P.P.O., he will also furnish an undertaking that he will surrender to the
disbursing officer the original P.P.O. if traced out later, and will not claim
any payment on its strength.
First payment of pension against the duplicate P.P.O shall in no case be
authorized at an office other than the one mentioned in the original P.P.O]
333.

In commutation cases, the Accountant-General will issue authority for

payment of the commuted value of the portion of the pension commuted
along with a communication intimating the date of commutation and the

139 | P a g e

reduced amount of pension to be payable with effect from the date of

commutation. The revised pension payable after commutation and the
date from which it is payable will be noted to both the halves of the
Pension payment Order by the disbursing officer under his attestation,
quoting the Accountant Generals letter as authority, under intimation to
the Accountant-General. After the commuted money is paid, the voucher
for the commuted value will be sent to the Accountant-General in a
separate schedule. Payments of pension from the date of commutation will
be made at the revised rate based on the amended Pension Payment
Order.
1

333-A. In cases where revision of pension becomes necessary for some

reason(s) the pension will be revised by the concerned Pay and Accountant
Officer through a formal letter of amendment to the P.P.O. already issued,
indicating revised rate of pension and graded relief due thereon along with the
date(s) from which the payment at revised rates is to be made. The amendment
letter will be issued under special seal by the Payment and Account officer to the
Treasury Officer through the concerned Accountant-General, with a copy to the
pensioner after noting the said amendments in the Register of P.P.Os maintained
by him. A note will also be kept by the Accountant general in the Pension Audit
register before forwarding the amendment letter to the Treasury officer. the
Amendments will also be noted in both the halves of the P.P.O. by the Treasury
Officer will also be noted n both the halves of the PPO by the Treasury Officer
under his attestation quoting as authority, to P.A.Os letter and A.Gs
endorsement, thereon, in cases where pension is disbursed by him. A note will
also be kept by him on the original amendment letter that necessary corrections
have been made in both the halves of the P.P.O.
In cases where pension is disbursed by Public Sector Banks, the Treasury
Officer will forward the amendment letter to the Paying branch of the concerned
Public Sector Banks through the link branch for taking similar action under advice
to the pensioner in accordance with the instruction embodied in Para. 18-A of the

140 | P a g e

Scheme for payment of pensions of Central Government civil pensioner by

Public Sector Banks.
The additional amount of Death cum- Retirement Gratuity, if any, payable
due to revision of retirement benefits may also be likewise authored letter issued
by the P.P.O. for payment by the Head of Officer is which the pensioner last
served, if so desired by him in writing (see Rule 366). However, in cases where
recovery on accounts grade relief becomes due as a result of revision of pension,
payment on account of additional gratuity will invariably be indicated in the
amendment letter to the P.P.O for purpose of adjustment there against. Any
amount still remaining unrecovered, may be adjusted against subsequent
payments of graded relief due on the revised amount of pension. However, any
portion of gratuity actually paid being debatable to a head of account separated
from that of pension, will be shown by the Treasury in a separate schedule.
2

[The payment of net additional gratuity (after adjusting overpaid grade relief) to

the recipients of family pension will also be authorized through the amended
letter if the pensioner is not alive at the time of payment and the receipt of family
pension entitled to receive the entire amount according to the nomination filed b
the deceased, if no such nomination exists, or if the nomination fields such as
would require the residual amount of additional gratuity to be distributed equally
or in specified ratios amongst the legal heirs, the disbursing officer will intimate to
the P.A.O (through the prescribed channel) the amount of grade relief over-paid
in a particular case supported by a copy of due and drawn statement (not to be
verified by the Treasury Officer in cases where the payments are made by public
sector banks). On receipt of the due and drawn statement the P.A.O will work
out the net amount of additional gratuity payable for being disbursed to the legal
heirs in the required manner through the Head of Office in which the deceased
pensioner last served.
In cases where the amount of grade relief over paid exceeds the amount
of additional gratuity specified in the amendment letter, the net amount over

141 | P a g e

paid as graded relief will be recovered from the amount of grade relief payable on
the family pension.]

334.

In cases where an anticipatory Pension payment order has been issued by

an Accountant -General, the final pension when intimated by the
Accountant General will be noted in both the halves of the Pension
Payment Order by the disbursing officer under his attestation, quoting the
Accountant Generals letter as authority. An intimation to this effect may
be sent to the Accountant-General simultaneously. Future payments will
be made to the pensioner at the revised rate based on the amended
Pension payment Order. The voucher of the first payment of the final
pension will be sent to the Accountant-General in a separate schedule.
Payment at sub Treasuries.

335.

When the payment of a pension is authorized at a sub-treasury the subtreasury officer shall be furnished y the treasury officer with an
authenticated copy of the disbursers portion of the payment Order in
English, Hindi, or official regional language of the State with his order of
payment at the sub-treasury endorsed thereon. In issuing copies of
Pension payment orders aforesaid, the Treasury officer shall reproduce
the full orders of the Accountant-General and make the endorsement
Made payable at . Sub-treasury with effect from. A similar
endorsement shall be recorded over the Treasury Officers signature on
the disbursers portion of the Pension Payment Order, so that payment
may not be made at the district treasury as well.

335-A. (1) An accountant-general may, on an application made by a pensioner,

transfer the payment of his pension from any treasury to another treasury in
India.
(2) A treasury office may, on an application made by a pensioner, transfer
the payment of his pension from the district treasury to a sub-treasury
subordinate to the district treasury or from such sub-treasury to another such
142 | P a g e

sub-treasury or to the district treasury in accordance with the procedure laid down
in Rule 335. a Treasury Officer may, on a application made by a pensioner, also
transfer that payment of his pension to another treasury within the same state
provided the rules of the state Government concerned permit transfers of State
pensions under the orders of the Treasury Officer without the intervention of the
Accountant-General. In such cases the provisions of the rules of the State
Government will be followed.
(3) When a pensioner applies for transfer of payment of his pension from a
treasury in India to another, either to the Accountant-General or to the Treasury
Officer, the Treasury Officer shall, except as provided in sub-rule (2) above and in
cases where the pensioner has so applied to the Accountant General receipt of
an authority from him, forward both the halves of the Pension Payment Order to
the Accountant-General. Where payments is desired at a treasury outside the
state, two slips containing specimen signatures or thumb/great toe impression,
as the case may be, of the pensioner shall also be sent to the AccountantGeneral along with the Pension Payment order. The accountant-General will
either issue an authority for making the payment to the treasury Officer where the
payment is desired by the pensioner, if the latter is situated within his audit circle,
or move the Accountant-General of the State in which such treasury is located to
arrange for the payment.
Register of Pension Payment Orders
336.

Each disbursing officer shall keep a register in Form T.R. 36 of the

Pension Payment Orders issued on his office, which will serve as an index
to the files of orders referred to in sub rule (2) of Rule 329. after seeing
that a new order is correctly entered in this register, the disbursing officer
shall pt his initials in the column of name of Pensioner and rule a red ink
line across the page below the entry, 1[ ]

NOTE:- In the case of civil pensioners residing in Nepal who apply for transfer of
pension from one pension disbursing officer to another, the submission of the
pensioners half of the pensioner Payment order may not be insisted upon at the

143 | P a g e

time of effecting the transfer of pension, such transfer being done on the strength
of the disbursers half of the Pension Payment Order. The pensioners half shall
be collected by the new pension disbursing officer from the pensioner when he
first reports to receive his pension and forwarded to the Accountant General
concerned under intimation to the former pension disbursing officer .
337.

On the receipt of an intimating about the death of a pensioner, prompt

action shall be taken to record the fact in the register and on the
disbursers portion of the Pension Payment Order. In the case of
pensioners whose pensions are paid by Money Order under Rule 360, the
necessary note shall be made on both the portions of the Pension
Payment Orders.

338.

Pension s which are not granted for life by are subject to special
conditions, e.g., when they are to cease on marriage or at a given age or
under other specified circumstances, shall not be entered in the same
register with other pensions but shall be recorded in special registers to be
kept for the purpose. All Pension payment Orders for such Pension will
bear the letter S in addition to the number.
Additional columns shall be opened in such registers to show clearly

and precisely the special limitations and condition attached to each pension of
this category.
Manner of Payment
Due date
339.

Pensions fixed at monthly rates are payable monthly on or after the last
working day of the month to which they relate except in the case of
pension for the month of March which shall be paid on or after the first
working day of the succeeding month:
Provided that when there is a variation in the rate of a pension

consequent on the disbursement of the commute value of a portion thereof

pension for the broken part of the month at the original rate may be paid before
the end of the month.

144 | P a g e

EXPLANATION:- For the purpose of this rule, the term working day Shall have
the same meaning as given in Explanation(1) below Rule 217.
340.

Deleted.

Payment of claims
341.

Save as hereinafter provided and except in the case of any provisional

pension payable through Heads of Offices, a pensioner must take
payment in person after identification by comparison with the Pension
Payment Order.
3

[Pensions up to Rs. 4[2,000] per month (exclusive of relief) may, as far as

practicable, be disbursed in case at the Treasury at the request of the pensioner

even where payments are normally made by cheques.]
NOTE:- the disbursement of Provisional pension drawn by the Head of Office
shall be made in the same manner in which pay and allowances are disbursed by
him.
342.

A pensioner specially exempted by the orders of competent authority from

persona appearance, a female pensioner not accustomed to appear in
public, or a pensioner who is unable to appear in consequence of bodily
illness or infirmity, may receive pension through a representative upon the
production of a life certificate signed by a responsible Government officer
or by some other well-known and trustworthy person.

343.

A pensioner who produces a life certificate signed by any person specified

hereunder is exempted from personal appearance(i) A person exercising the powers of a Magistrate under the Criminal
Procedure code;
(ii) A Registrar or Sub-Registrar appointed under Indian Registration Act;
(iii) A Gazetted Government servant;
(iv) A Police Officer not below the rank of Sub-Inspector in charge of a
Police Station;

145 | P a g e

(v) A Postmaster, a departmental Sub-Postmaster or an Inspector of

Post Offices;
(vi) A Class I officer of the Reserve Bank of India, an officer (including
Grade II officer)of the State Bank of India or of its subsidiary;
(vii) A pensioned Officer who, before retirement, exercised the powers of
a magistrate;
(viii) A justice of Peace;
(ix) A Block Development Officerm Munsif, Tehsildar or Naib Tehsildar;
(x) A Head of Village Panchayat, Gram Panchayat, Gaon Panchayat or
an Executive Committee of a Village;
(xi) A Members of Parliament, of State legislatures or of legislature of
Union Territory Governments /Administrations.]
2

[(xii) Treasury Officer.]

In the case of a pensioner drawing his pension through a public

Sector Bank the life certificate may be signed by an officer of a Public Sector
Bank. In the case of a pensioner residing abroad and drawing his pension through
any other bank included in the Second Schedule to the Reserve Bank of India Act,
1934, 3[ ] the life certificate may be signed by an officer of the Bank.
A pensioner not resident in India in respect of whom his duly authorized
agent produces a life certificate signed by a Magistrate, a Notary, a Banker or a
Diplomatic Representative of India is exempted from special appearance.
344.

payment of pensions to Police pensioners may be made n accordance

with Rules 339 to 366-A , but if the disbursing officer entertains any doubts
as to the identity of such a pensioner he may require the local Inspector of
Police to identify the pensioner. The Inspector would then be responsible
for the correct identification of the pensioner.

345.

A pensioner not resident in India may, 1[ ] draw his pension India through
a duly authorized agent possessing a legally valid power of attorney, who
must produce a life certificate on each occasion unless the duly authorizes

146 | P a g e

agent has executed an Indemnity Bond to refund overpayments in which

case he has to produce the life certificate at least once a year.
346.

347.

The pension of a person drawn through an authorized agent who has

[Deleted]

executed a Bond to refund overpayments shall into be paid on account of

a period of more than a year after the date of the life certificate last
received, and the disbursing officer shall be on the watch for authentic
information of the death of any such pensioner and on receipt thereof shall
promptly stop further payments.
348.

When a pensioner is a minor or is for any reason incapable of managing

his own affairs and has no regularly appointed manager or Guardian, the
collector may, on application by or on behalf of the pensioner, and subject
to such conditions as he may impose, declare any suitable person to be
the Manager or Guardian for the purpose of receiving, on behalf of the
pensioner, the pension due to him and payments of pension may be made
to such Manager or Guardian in the same way as to pensioner himself,
provide that sufficient proofs are forthcoming at the time of each payment
of the pensioner being alive and eligible to receive the pension for the
period covered by the payment. Such declaration may at any time be
revoked or altered at the discretion of the Collector.

NOTE:- Pension of a person who is certified by a Magistrate to be a lunatic

should be paid in accordance with Section 95(1) of the Indian Lunacy Act, 1912.
Forms of pension bills and connected certificates
349.

(1) Save as hereinafter provided in this rule, claims for payment of

pensions shall be presented on bills in a form similar to Form T.R.-37, a
copy of which will be supplied by the disbursing officer to each pensioner
or his agent or representative. The bill must be duly receipted by the
pensioner or by some other person authorized to give legal acquaintance
on his behalf, and if the pensioner cannot sign his name, his thumb
impression, or where this is not possible due to physical incapacity, his

147 | P a g e

great toe-impression shall be taken on the bill, the thumb/great toeimpression being duly attested by a well-known and respectable person.
Save as provided in sub rule (2) f Rule 356, the pensioners portion
of the Pension Payment order must invariably be presented with the bill.
In the case of physically handicapped pensioners who are unable to
sign or put their thumb/great toe-impression and in the case of purdahanashin
ladies, acquittence by seal mark attested by some well known and respectable
person may be accepted in lieu of signature or thumb/great toe- impression.
(2) Instead of requiring each individual pensioner to present a separate bill I
Form T.R. -37, the disbursing officer may, subject to such general or special
instructions as the Accountant-General may issue in this behalf prepare a single
bill in Form T.R.-38 for each class of pensions. The receipt of each pensioner
appearing personally shall be taken in the column provided for that purpose,
while separate receipt in support of payments made at the sub-treasury or on the
basis of life certificates shall be appended to the bill, note being made on such
separate receipt of the names of the persons actually receiving the pensions
disbursed on life certificates. The number of the entry in the bill shall also be
entered in all such separate receipts/life certificates.
NOTE:- Separate receipts with their copies (unstamped) duly certified by the
disbursing office are required for Hong-Kong, Mauritius, Sri Lankha, Singapore,
etc., pensioners; they must not be included in the consolidated receipt.
(3) Pensioners of Defence Services shall present their claims in special
forms prescribed by departmental regulations.
(4) Claims for provisional pension sanctioned in respect of a retired
Government servant shall be preferred by the Head of Office in which the
Government servant was employed immediately before retirement. Such claims
shall be preferred separately for each pensioner informs T.R. -37 B.
350.

In cases [ other than those specified in Rule 345, 346 and 349 (4)] where
the pensioner desires to draw pension through an agent or a

148 | P a g e

representative nominated by him, a life certificate must accompany every

pension claim for the months of June and December. The life certificates
shall be signed by a person authorized under Rule 343 and must be dated
not earlier than the last day of the month concerned.
GOVERNMENT OF INDIAS ORDER
Life certificates to be furnished once a year:- Pensioner drawing their pension
through public sector banks, would be required to furnish a life certificate once a
year in the month of November. Officers of Reserve Bank of India and of the
Public Sector Banks are authorized to give life certificate for this purpose.
th

[G.I., M.F., O.M. No. F. 10 (23)-B(TR)/76,dated the 11 June, 1976]

351.

When a pensioner draws his pension through an agent or a

representative, the claim must be supported by the written authority of the
pensioner to pay the pension to the agent or the representative nominated
by him to receive payment on his behalf. In such cases, the endorsement
Received payment must be signed by the pensioner and a separate
receipt which need not be stamped shall be endorsed by the agent or the
representative in token of having actually received the payment.

352.

Where the determination of a pension cannot be fixed for a precise date,

and subject to Rule 353, the pensioners bill must be accompanied by a
certificate in Form T.R. -39duly signed by a person authorized to sign life
certificate under Rule 343.

353.

[A declaration in Form T.R.-40 shall be obtained half yearly from all

recipients of family pension whose pension is terminable on their marriage

or remarriage. However, in the case of widow recipients, the prescribed
declaration will be obtained only once at the time of making first payment
of family pension.]
Every pension disbursing officer shall submit to the AccountantGeneral concerned a statement showing particulars and date of last payment of
pensions in receipt of the case of failure to furnish the above declaration in the
months of January and July.

149 | P a g e

353-A. Retired Class I officers are required to furnish half yearly a declaration
the prescribed form about acceptance/ non acceptance of commercial
employment within two years from the date of their retirement and also about
acceptance/non acceptance of any employment under any Government outside
India.
2

[ In cases where the commercial employment has been accepted within two

years from the date of retirement without obtaining Government s while

according approval, have been violated at any time within two years from the
date of retirement or employment under any Government outside India or under
an International Organization of which the Government of India is not a member
has been accepted, the disbursing officer, on the basis of the declaration
furnished by the pensioner will seek orders of the Government through the
concerned Accounts officer, before making further pension payments.]
354.

A certificate of non-employment/re-employment as printed on the form of

Pension Bill (t.R.-37) shall be obtained form all the pensioners and family
pensioners yearly, in the month of November each year, if a Pensioner/
family

pensioner

is

re-employed/employed

in

Government

department/office or a Government company, Corporation, autonomous

Body or society set up by a Central or state Government or Union Territory
or a Local Fund, he must furnish the necessary particulars with regard to
his/her re-employment/employment as enjoined in the above certificate.
The pensioner shall, of his own, intimate the fact of his taking up reemployment/employment to the pension disbursing authority, immediately
on his doing/ having done so, without waiting for the month of November
when the submission of yearly certificate would normally become due. The
disbursing office shall suspend the payment of relief to him/her from the
date
such

re-employment/employment.

After

the

spell

of

re-

employment/employment

150 | P a g e

cease, payment of relief will be resumed b y the disbursing officer.]

354-A.(1) In case of death of a pensioner governed by Rule 54 of the Central
Civil Services 9Pension) Rules, 1972, the Treasury Officer will start paying family
pension to the window(er) on receipt of death certificates and an application in
Form T.R. 40 A for the grant of family pension to her/him and will also send
an intimation in this regard to the Accountant-General in Form T.R. -40-B.
Provisional family pension, where payable through the Head of Office, shall be
drawn by the Head of officer in which the Government servant was serving
immediately before his/her death, in Form T.R. -37-Bat the treasury, or an
authorized office of disbursement or the office of an Accountant-General at which
the pay the allowances of the establishment are drawn by such Head of Office.
NOTE. The relevant provisions for the drawal and disbursement of provisional
pensions to the pensioners by the Head of Office will apply mutatis mutandis for
the drawal and disbursement of provisional family pension, in terms of this rule,
by the Head of Office, where necessary.
1[2]

In case a report about the death of a pensioner is first received from

a source other than the window(er), the Treasury Officer shall after satisfying
himself about correctness of the report, write to the window(er), at the address
given in the P.P.O., seeking compliance with the prescribed formalities, so that
payment of family pension to the entitled person(s) is commenced early.]

Payment of Pensions on behalf of foreign Governments

151 | P a g e

355.

The payment in rupees of pensions authorized by Foreign Governments

for payment in India shall be regulated by such general or special
instructions as may be issued by the Government in this behalf.
Checks to be applied by the Disbursing Officer

356.

(1) On appearance of a pensioner claiming payment of pension, his

personal marks shall be checked by the disbursing officer and the
signature to the receipt shall be compared with the facsimile of the
signature taken on the disbursers portion of the Pension Order. If the
pensioner cannot sign his name, his thumb/great toe-impression on the
receipt shall be compared with the original impression taken on the order.
In cases of doubt, on payment may be made on the strength

of the

resemblance between the pensioner and his photograph, where one is

pasted on the disbursers portion of the Pension Payment Order, pending
financial settlement of any questions which may arise about identification
marks, signature or ginger impressions
(2)

A pensioner drawing pension for the first time shall be required to produce

his

personal copy of the letter of the Accountant-General forwarding his

Pension

Payment Order to the Treasury Officer, and his signature or

thumb/great toe-

impression on the bill shall be compared with the specimen

signature or

thumb/great

toe-impression

received

with

the

Pension

Payment Order.
357.

When a pensioner draws his pension through another person, the

disbursing officer must take special precautions against fraudulent
presentation of claims and satisfy himself of the existence of the pensioner
and of the identity of the payee before any payment is ordered, and if he
has any suspicion, shall refer it to the pensioner before payment.

152 | P a g e

NOTE.In so far as the disbursing officer is concerned, the authority of a

person to receive payment of pension on behalf of a pensioner shall be deemed to
remain unimpaired until its termination, by the death of the pensioner or otherwise,
becomes known to the disbursing officer.
358.

In view of the special risk of fraud involved in the payment of pensioners of

women who do not appear in public, special care shall be taken in the
identification of such pensioners. The descriptive rolls, when originally
prepared and the periodical certificates of the continued existence of such
women shall be attested by two or more persons of respectability in the
town, village or pargana.
Record of payments

359.

(1) Every pension payment must be entered on the reverse of both the
portions of the Pension Payment Order and attested by the signature of
the disbursing officer.
(2) In the case of pensions paid at sub-treasuries to which only a copy of

the order

with the Treasury Officers order thereon is supplied under Rule 335,

the Sub-

Treasury Officer shall make the entry on the pensioners portion of

the Order and

on his copy, while the Treasury Officer shall, form the

connected voucher, make the necessary note on the Original copy of the Order.
359-A. In the case of provisional pensions drawn and disbursed by the Head of
Office, he

shall inform the Accountant General of the particulars of the

payment actually

made by him as soon as the payment is made.

153 | P a g e

360.

The payment of pensions may be made by Postal Money order at the

option and expense of the pensioner. Where this mode of payment is
adopted, the following procedure shall be observed:(i) A pensioner who elect to have his pension paid by Money Order
should present in person to the Treasury Officer a declaration in that
effect with his copy of the Pension Payment Order. The Treasury
Officer should then identify the pensioner as laid down in Rule 356.
Thereafter he should paste the declaration and both the portions of
the pension Payment Order in a separate file titled pension Payable
by Money order.
NOTE 1:- where due to old age or infirmity or in consequence of some

physical disability, the pensioner is not able to present such declaration in person,
the Treasury officer may accept a written declaration singed by the pensioner and
duly verify by any person authorized under Rule 343 to sign a life certificate. The
person verifying the declaration shall specify the circumstances in which he holds
that the pensioner is unable to present the declaration in person.
NOTE 2:- Should the pensioner be physically incapable of signing the
declaration the Treasury Officer may authorize payment on able to present such
declaration, the Treasury Officer may accept a written declaration signed by the
pensioner and duly verified by any person authorized under Rule 343 to sign a life
certificate. The person verifying the declaration shall specify the circumstances in
which he holds that the pensioner is unable to present the declaration in person.
(ii)

In order to facilitate, as far as practicable, receipt by the pensioner of

his pension on the first of the next month, the Treasury Officer should
arrange

remittance of pensions through Postal Money Order, during

the last week of

the same as Not

the month to which the pension relates, superscribing

payable before the first proximo. However, in

respect of pensions for the

month of March, such remittance should

154 | P a g e

day of April, but not later than 10th

be arranged on or after the first

of April.
(iii)

The amount to be remitted in each case will be the amount of

pension, less

the Money Order commissioner. The Treasury Officer

shall make

corresponding payment entries in both the halves of

the Pension Payment

Orders. He should sign the Money Order form

and initial the entries in the

pension Payment Orders after carefully

comparing the three documents.

NOTE:- 1[ Pension up to Rs. 2,250 (Rupees two thousand two hundred and
fifty only) ] per month plus relief on pension admissible from time to time
may, at the request of the pensioner, by remitted by Postal Money Order at
the cost of Government with effect from the pension payable for the month
of July, 2005. In case of pensioners who retired prior to 1-4-2004, the term
pension would include the Dearness Pension (merged with pension in
terms of Government of India, Ministry of Finance, D/o. Expenditure O.M.
No. 105/1/2004 IC, dated 1-3-2004).
The money order commissioner charges will be shown as a distinct
item in bills and debited to the minor head Other Expenditure under the
Major Head-2070Pensions and other Retirement Benefits.
(iv)

In order to minimize the risk of fraud, the treasury Officer should

compare

the signature on the Money Order receipt every month with

the pensioners

signature on the disbursers portion of the Pension

Payment Order. The

a year, in such a manner as he

Treasury Officer should also satisfy himself once

thinks desirable, that the pensioner is actually

alive. In token of having done so, he must endorse on the schedules of payments
for the month of April each year a certificate to the effect that he has satisfy
himself that the pensioners were alive on the dates on which the pensions were
remitted to him.

155 | P a g e

2[ NOTE:- Where due to old age or infirmity or in consequence of some

physical disability, a pensioners is unable to appear in person if so required,
the Treasury Officer will not insist upon his personal appearance (before
him to satisfy himself that the pensioner is alive) and may accept in lieu
thereof a life certificate dully signed by any of the authorities specified in
sub-rule (1) of Rule 343. The authority signing the life certificate shall
specify therein the detailed reasons, i.e., nature of sickness, etc., due to
which the pensioner has not been able to present himself personally for the
purpose of annual verification.]
(v)
the

Before remitting the pension, the Treasury Officer should obtain from
pensioner, the declaration required, if any, under Rule 353.

(vi) The Collector should arrange with some village of official or other
suitable subordinate agency, such as the police for reporting promptly
to the Treasury Officer the death of a pensioner whose pension is paid
by Money Order.
(vii) It will not be necessary to prepare separate pension bill for such
payments. The payments should be shown in a separate schedule
which will serve as a voucher. A certificate in the following form in the
Treasury Officers own handwriting should be endorsed on the
schedule.
Certified that I have satisfied myself that al payments noted in the
schedule have actually been remitted by Money Order.
(viii) In the schedule for January and July each year, an additional
certificate in the following form should be added:Certified that

156 | P a g e

In all case, where determination of pension cannot be fixed for a precise

date, I have obtained the certificates in Form T.R. -39 or the
declarations in Form T.R. -40, as the case may be.
(ix) In the schedule for the month following the month of payment, the
Treasury Officer should furnish the following certificate:Certified that I have satisfied myself that all pensions included in the
schedule for the previous month have been paid to the proper persons
and that I have obtained all Money Order receipts in support of these
payments and filed them in my office.
(x) The amount to be remitted by Money Order should be adjusted by
transfer credit to the post Office in accordance with the procedure
prescribed in Rule 198.
361.

The provisions of Rule 360 cover payments of all service pensions,

including provisional pensions, family pensions or provisional family
pensions and are also applicable to political pensions. The procedure laid
down may be followed mutatis mutandis to pensions payable at a subtreasury or any other disbursing office.
NOTE:- Provisional pension drawn by the Head of Office may be paid by

Bank Draft, if so desired by the pensioner.

Maintenance of Register of political Pensions

362.

(1) Every disbursing officer shall maintain a register of political pensions

payable by him, showing for each pension separately
(i) origin and nature of the pension and the ground on which it was
sanctioned;
(ii) the amount and period of payment;

157 | P a g e

(iii) the orders of competent authority sanctioning payment;

(iv) the name and residence of the pensioner, with specification of
shares, if any;
(v) reference to the register of Pension Payment Orders.
(vi) Whether tenable for life only; or it is heritable, the manner and
extent to which it will descend, with quotations of orders affecting
it;
(vii) Any special condition attached to the grant of the pension;
(viii) Any other mater worthy or note in connection with the pension.
363.

Deleted.

364.

In case in which political pensioners are exempted from personal

appearance, the disbursing officer shall, if he entertains any doubt which
he has not convenient means of removing, refer the case to the
Government through his immediate superior for orders, but payment of the
pension may not be suspended pending the result of such reference.
Payment of Commutation Money

365.

The payment of the commuted value of a portion of a pension can be

made upon the authority issued by the Accountant General only to, and
upon the receipt of the person legally entitled to receive it, and not
otherwise.
Gratuities

366.

Save as hereinafter provided, gratuities shall not be paid except on an

authority received from the Accountant-General, to whom the sanction is
communicated by the sanctioning authority or by another Audit Officer
Payment can be claimed on the letter of authority itself and no separate bill
is necessary; it shall be made in the same manner as laid down in Rules
607 and 609 in relation to Provident Funds;

158 | P a g e

Provided that the payment of gratuities may be made, without the personal
appearance of the gratuitant, through an authorized agent, including a ban, who
shall be required to give the Government, separately in respect of each payment,
a bond of Indemnity, duly stamped in the following form:In consideration of our being authorized to draw the gratuity of .. (name
of gratuitant). In accordance with

Gratuity

Payment Order

No.., dated, issued by the Accountant-General,..,

we the (name of Bank or agent). Hereby engage ourselves to
refund to the Central Government, on demand, any overpayment that may be
made to us on this account.
NOTE:- When at the option of the gratuitant, balance of gratuity is to be drawn by
the Head of an Office, he shall do so by presenting a bill in Form T.R.-37-A and
shall furnish to the Accountant-General, within a month of the date of drawal,
certificate of disbursement.
366-A.(1) Provisional gratuity sanctioned by a competent authority in respect of
retired Government servant shall be drawn separately for each gratuitant by the
Head of the Officer in which he last served in Form T.R. -37-B, and disbursed to
the gratuitant.
(2) The provision of sub-rule (1) above will apply mutatis mutandis to the drawal
and disbursement of provisional Death-cum-Retirement Gratuity payable to family
of a Government servant who died while in service.
367.

(1) On the first appearance of a pensioner on or after the first of April each
year, the disbursing officer shall, except in the case of pensioners whose
specimen signatures are attached with the Pension payment Order, take

159 | P a g e

an impression of the thumb and all the fingers on the pensioners left hand
on the pension bill. The pensioner shall then be identified from the
particulars given in the disbursers portion of the pension Payment Order
or in the Audit register, as the case may be. Identification shall also be
made by an examination of the impressions given on the bill with those
attached to the Pension Payment Order or kept in the Audit register or by
reference to the pensioners photograph where one is pasted on the
disbursers portion of the Pension Payment Order, if he cannot be
identified by other means with absolute certainty.
The provisions of this sub-rule with regard to the taking of the thumb and
finger impressions of pensioners and the examination of such impressions for
purpose of identification may be relaxed or modified by the disbursing officer.
(2)

Purdahnashin ladies and illiterate pensioners must give a thumb-

impression of pensioners on their bills in the presence of the person who signs the
life certificate, or in the case of illiterate pensioners who personally attend the
paying office, before the disbursing officer.
368.

In all cases referred to in Rules 342, 343 and 348 the disbursing officer
must take special precautions to prevent impositions and must at least
once a year receive

proof independent of that furnished by the life

certificate of the continued existence of the pensioner. For this purpose,

the disbursing officer shall, save in cases of exemptions from personal
appearance allowed by orders of competent authority, require the personal
appearance and due identification of all male pensioners who are not
incapacitated by bodily illness or infirmity from so appearing and in all
cases where such inability may be alleged, he shall require proof thereof in
addition to the proof submitted of the pensioners existence. The

160 | P a g e

disbursing officer is personally responsible for any payment wrongly made,

and in al cases of doubt, he must consult the Accountant-General.
EXPLANATION:- In a case where pension claim submitted by a pensioner
is supported by a life certificate signed, under Rule 348, by a Gazetted Officer
whose specimen signature is on record with the Treasury Officer, or by a
Government Officer exercising the powers of a Magistrate under the Criminal
procedure Code, or by a Registrar or Sub-registrar or Sub-Registrar appointed
under the Indian registration Act, under their respective seals of office, personal
appearance of the pensioner at the Treasury will not be insisted upon. The
Treasury Officer will be competent, however, in all cases of doubt, to obtain proof
of the existence of the pensioner independent of that furnished by the life
certificate.
1[ NOTE 1. The disbursing officer may, at his discretion and for reasons to be
recorded, privately identify and verify the continued existence of a pensioner, and
dispense with his personal appearance prescribed in this rule but this power shall
be exercised only in special cases such as of those who held high offices before
retirement.
NOTE 2. The provisions of this rule do not apply to cases governed by Rule
360;

Undrawn pensions arrears

369.

[ (1) Unless the Government by genera or special orders direct otherwise,

a pension remaining undrawn for more than a year, shall cease to be
payable by the disbursing officer. If the pensioner afterwards appears or a
claim is presented on his behalf, the disbursing officer may resume the

161 | P a g e

payment of monthly pension accruing thereafter, but the arrears can be

paid to paid
3

[ (i) by the disbursing officer himself, if the amount in arrears does not

exceed Rs. 10,000 with the previous sanction of the Collect of the district in
which the pension payment office is located, if the arrears exceed Rs. 10,00 but
do not exceed Rs. 20,000 provided that, in both the cases, arrears do not
represent pension to be paid

for the first time,] and

(ii) in all other case, with the sanction of the Head of Department of the office
by which the pensioners pension case was finalized:
Provided that if, in any cases where civil pension remains undrawn for three
years or more, in the case of a service pension, or six years, or more in the case
of a political pension, neither can monthly pension payment be resumed, nor
arrears could be paid, without the authority of the Accountant-General.
However, in cases where civil pension is paid by departmentalized Pay and
Accounts Officer, the arrears may be paid by the officer, after obtaining the
approval of the Chief

Controller/Controller/Deputy Controller of Accounts-in-

charge of the accounting organization. The Chief Controller/Controller/Deputy

Controller of Account s, while according his approval, will consult the relevant
records, viz., the six monthly statements and the disbursers portion of the PPOs
sent to him by the Pay and Accounts Officer in terms of Note below rule 371.
NOTE1. If the suspension of payment is attributable to error or neglect by any
Government Officer, the Accountant-General may direct payment of the arrears on
his own authority. However, in cases where pension is paid by the pay and
accounts Officer, the arrears may be paid by that officer with the approval of the
Chief Controller/Controller/ Deputy Controller f Accounts-in charge of the

162 | P a g e

accounting organization in the Ministry/Department/Union territory Administration

with separated accounts organization.
NOTE2. The powers of the collector in regard to payment of the arrears will be
exercised

by

the

Chief

Controller/Controller

of

Accounts

of

the

Ministry/Department or by a Deputy Controller who acts as head of the accounting

organization, in cases where the pensions are paid by a Pay and Accounts officer
of a Ministry/Department/Union Territory Administration with separated accounts
organization.]
(2) A gratuity payment order shall remain in force for one year only and no
such order shall be retained in a disbursing office if payment has not been made
on it within a year of its issue.
Death of Pensioner
370.

(1) Subject to any rule or order made by the Government in this behalf, the
payment of arrears of pension due in respect of a deceased pensioner
shall be regulated by the following rules:(a) Pension can be drawn for the day of Pensioners death: the hour at
which death takes place has no effect on the claim.
(b) On the death of a pensioner, payment of any arrears actually due may
be made to his heirs, provided that they apply within one year of his
death; they cannot be paid thereafter without the section of the
competent authority to be obtained through the Accountant-General;
Provided that if the arrears do not exceed Rs. 500 and the case presents
no peculiar features, the Accountant General may pass the arrears on his
authority.
(c) Subject as provided in the preceding clauses, the provisions of Rule
283-C shall apply to payment of arrears of pensions due in respect of

163 | P a g e

a deceased pensioner, as they apply to payment of arrears of pay and

allowances due in respect of a deceased Government servant except
that, in the event of the pensioners death after commencement of
payment of pension, the power vested in the Head of the Office under
Clause (a) of sub-rule (1) of Rule 283-C shall be exercised by the
Collector of the district in which the treasury in location
1

[(d) In cases where pension is paid by a Payment and Accounts office

life- time arrears of Pension, if any, not claimed within one year of
pensioners death shall be paid in the manner and under orders of the
authorities as specified in Rule 283-C]
NOTE:- The arrears due in respect of a deceased pensioner who ,
immediately before his death, was being paid provisional pension through the
Head of Office, shall also be payable in accordance with the provisions of this rule
of finalization of the pension claim.
(2) Any person claiming as the heir of a deceased pensioner shall be
required to produce the pensioners portion of the Pension Payment order or if no
such order has been issued, the copy of the order in which the sanction to the
pension was communicated to the pensioner or the heir.
(3) After payment of the arrears of Pension, both portions of the Pension
Payment Order shall be returned to the Accountant-General, with a report of the
date of the death of the Pensioner, except in the case of the Pensioners governed
by Rule 54 of the Central Civil Services (Pension Rules, 1972, in which case the
pensioners portion of the order will be returned to the widow(er) and the
disbursers portion will be retained by the Treasury Officer.

164 | P a g e

Reports to the Accountant- General

371.

Every pension disbursing officer shall submit t the Accountant-General

concerned every six months a statement of cases of failure to draw
Pensions. The statement shall be prepared in two Parts., one part showing
the names of all pensioners who have not drawn their pensions for six
years or for three years, according the pensions are classed as political
pensions or other than those included in the first part, who have not drawn
their pensions for more than one year. The reason for the non-drawal, if
known, shall be stated against each name.
The disbursers portions of the Pension Payment Orders of all pensioners

whose name are included in Part I of the statement, as also of deceased

pensioners where the arrears of pensions due are not claimed within one year of
the pensioners death shall be returned to the Accountant-General along with
statement. The disbursing officer shall sort out such cases by examining the file
of pension payment orders every month.
1

[NOTE:- In cases where the pension is paid by a departmentalized Pay and

Accounts Office including that belonging to a Union Territory Administration with

a separated accounts organization, the six monthly statements and disbursers
portion of PPO shall be forwarded by the Pay and Accounts Officer under this
rule to the Chief Controller / Controller/ Deputy Controller of Accounts in
Charge of the accounts organization.]
371-A. When a pension ceases to be payable during the life-time of a pensioner,
both portions of Pension Payment Order shall be returned by the disbursing
officer to the Accountant-General after making the last payment and with a note
recording the reasons for cessation of the pension payment.
372.

Deleted.

165 | P a g e