APPENDIX III

[see rule 160 (2)] Iq option www.iqoption.ph/ Philippines

Subject:— Procedure for payment of interest on and repayment of principal of loans and advances made by Government of India to public sector units and parties other than State, Union Territory and Foreign Governments.

1. In the case of Ministries and Departments in which Scheme of Departmentalisation of accounts has been introduced, it has been decided, after consultation with the Comptroller and Auditor General of India, that the following procedure may be followed by borrowers, other than State, Union Territory and Foreign Governments, e.g. public sector units, statutory bodies, institutions, societies, private sector concerns and individuals for making repayments and interest payments on loans and advances made to them:—

(a) payment of interest or principal or both shall be tendered, on or before the due date, at the specified branch at New Delhi of the public sector bank accredited to the Ministry or Department which sanctioned the loan or its successor on whose books the accounts of the loans in question are maintained on departmentalisation of accounts;

(b) the payment will be made in cash or by cheque or draft drawn on a scheduled bank in Delhi or New Delhi in favour of Public Sector Bank branch mentioned in sub-paragraph (a). The payment will be accompanied by a memorandum or challan in duplicate giving the following details:—

(i) name of the loan sanctioning Ministry or Department (or its successor as the case may be);

(ii) number and date of loan sanction letter with the loan amount sanctioned; and

(iii) amount due for payment, separately for interest arid principal and the head of account to which the dues are to be credited in the Government Account. Separate cheques or drafts and challans should be submitted for payment of principal and interest.

(iv) due date of payment.

(c) outstation loanees may arrange to tender payment of dues together with memorandum or challan in duplicate through their bank to the Public Sector Bank branch at New Delhi mentioned in sub-paragraph (a) ensuring that payment is tendered at the aforesaid Public Sector Bank branch by the due date; and

(d) the receipt of cheque or draft tendered in payment of dues will be acknowledged by the Public Sector Bank branch through a paper token immediately and after realisation of the cheque or draft, duplicate copy of the challan will be given to the tenderer.

2. The public sector bank collecting the dues shall arrange prompt credit thereof to Central Government Account and send original copy of the challan with a credit scroll to the Pay and Accounts Officer of the Ministry or Department in accordance with the general instructions issued for handling receipts and payments of the Ministry or Department.

NOTE 1.—Provisions of rule 19 and 20 should also be kept in view while tendering a cheque or draft at the bank under this procedure.

NOTE 2.—As regards heads of account referred to in paragraph 1 (b) (iii), the head for repayment of principal will be the same as that against which the loan was sanctioned and paid by Government; the head of account against which interest is to be credited will be one of the minor heads indicated below which is relevant for the purpose under the major head 049-Interest receipts-(c) Other interest receipts of Central Government: