124. The term "Stores".—

In this Section, the term 'Stores' is used to indicate all articles and materials required for the public service and coming into an office's possession for various purposes which are budgetted for and classifiable under heads of expenditure such as works, tools and plant, machinery, equipment, material and supply.

125. Application-—

Subject to such general or special rules or subsidiary instructions as may be issued by the Government for the guidance of officers who" are required to make purchases of stores for purposes of the Government, the payments for acquisition of stores required for the public service shall be regulated by rules in this section except in so far as they are supplemented or varied by authorised departmental regulations.

126. Purchases in India other than through Directorate General of Supplies and Disposals.—

(1) Subject as hereinafter provided, the provisions of Section III of this Part shall apply generally to payments for stores purchased in India otherwise than through the Director General, Supplies and Disposals.

(2) As a general rule, payment for supplies is not permissible unless the stores have been received and surveyed. Payments prior to verification of quality and quantity of the materials may be permitted in exceptional cases only, provided that adequate safeguards exist to secure the Government against all losses in the event, of the materials being found short or defective. In all such cases, the amount required for payment shall be drawn on an abstract bill (G.A.R. 30), giving full description of the charges and number and date of sanction permitting advance payment (wherever necessary). In such cases of advance payments, as soon as the supplies are received, a detailed bill (G.A.R. 29) prepared on the basis of the actual verification and measurement of the supplies, along with the required sub-vouchers, must be submitted to the Accounts Officer in adjustment of the advance drawn earlier quoting Voucher No. and date of the relevant abstract bill. The provisions of rule 102 shall be followed.

NOTE.—Wherever stores are supplied by one Department to another and debits are required to be raised through the Accounts channel, the following instructions should be printed on all forms of invoices for the supply of stores, etc., and the officer receiving the supply should comply with them before the invoice is countersigned:—

'It is essential for purposes of accounting and audit that the entries below should be filled in. Failure to do so may result in unnecessary delay and return of this invoice for compliance.

(1) Department or Office to which the charge is debitable...........................

(2) Unit of appropriation (Major, Minor, Subhead and Detailed head) and Demand for Grant......................... ..........Number............

(3) Month and year to which the charge relates

(4) Accounts Officer by whom the amount is payable

127. Purchases through Directorate General of Supplies and Disposals.—

(1) Without prejudice to the generality of the provisions contained in Section I and III of this Part with regard to withdrawal of moneys from the Government Account, the procedure relating to payments for stores purchased through the Director General, Supplies and Disposals may be regulated by special orders issued by the Government in this behalf.

(2) Subject as aforesaid, payments will be made by the organisation under the Chief Controller of Accounts, Department of Supply and inter-departmental adjustments effected against the Department concerned through their accounts organisations in accordance with the procedure prescribed therefor in the Civil Accounts Manual.

128 Purchases outside India through the India Supply Missions.—

Payments for all purchases ordered through the India Supply Missions at London or Washington will be arranged by the High Commission of India, London or Indian Embassy, Washington, as the case may be. the debits being passed on to India for adjustment.

129. Procedure for payment against direct orders on firms, etc., abroad.—

In regard to articles obtained by placing direct orders on firms or individuals in the United Kingdom, United States of America or any other foreign country, payment shall be arranged in accordance with the following:—

(i) the drawing and disbursing officer of the Ministry or Department which has placed the order after following the usual procedure (including issue of formal sanction order therefor), shall, as soon as all the checks necessary in connection with the receipt, inspection and verification of articles have been applied, forward the firm's bill, in original, with necessary endorsement and, certificate thereon to his Accounts Officer. Particular care must be taken to ensure that no double payment is authorised in respect of the same claim. The Accounts Officer will apply usual prechecks and pass the bill.

(ii) Where the time schedule of payment permits, the Accounts Officer will, thereafter, purchase a bank draft in the specified foreign currency in favour of the supplier in the foreign country, through the accredited bank and forward it to the concerned departmental officer for despatch to the supplier by mail or otherwise. The cost of the bank draft in rupees as reflected in the bank scroll will be booked by the Accounts Officer against the relevant head of account.

(iii) Wherever the supply order or order in regard to acceptance of tender involves heavy payments, with a specific payment schedule clause therein, usually a letter of credit is opened in favour of foreign suppliers through the accredited bank of the Ministry or Department concerned. Alternatively, payment could also be arranged by telegraphic bank transfer from India directly into the payee's pre-specified bank account abroad as soon as the completed invoice and all relevant documents as required by the terms of the contract are received in the Ministry, Department or by the bank in India, nominated by the Ministry or Department for the purpose, so as to strictly adhere to the stipulated time schedule of payment. Special care should be taken to ensure that the requisite documents are promptly passed on by the bank to the respective authorities in the Ministry or Department concerned for verification where the time schedule is to reckon from the date of receipt of the same by the Department or bank whichever is earlier.

(iv) In the case of stores ordered by a Ministry or Department direct from firms abroad on FOB basis and subject to inspection by the India Supply Mission, London or Washington, the procedure prescribed above will be supplemented by a check that the inspection certificate on the supplier's bill has been recorded by the India Supply Mission concerned.

NOTE 1—Special care should be taken by the purchasing Department in differentiating the action required on its part in connection with the purchase of stores or articles or both through the agency of Indian Supply Mission, London or Washington (the agency function covering invitation and acceptance of tenders and or placing contracts, inspection of stores or articles and payment aspects), from that required where inspection and shipping only is arranged through these agencies. Provisions of rule 128 shall be applicable in regard to payment in the former type of cases and provisions of clause (iv) will be applicable in the latter type of cases.

NOTE 2.—This rule covers purchases from abroad made under the normal procedures and rules. Purchases and procurement of stores under special arrangements will be governed by the procedure specified in the relevant agreement or instrument or undertaking.

NOTE 3.—Instructions regarding procedures for payments to foreign suppliers for imports covered under various foreign aid (credits, loans or grants) programmes and, instruction's regarding procedures for accounting of cash and equipments grants received by the Government from various foreign Governments or Institutions, are required to be issued by the Controller of Aid Accounts and Audit (Department of Economic Affairs) -for each loan, credit or grant agreement, separately, duly approved by the Controller General of Accounts on the advice of the Comptroller and Auditor General.


130. Application—

The rules from 130 to 138 shall apply to expenditure on special services connected with the construction, repair and maintenance of buildings, roads and other works of public utility, whether carried out by the Public Works Department or the Military Engineering Service, or under special orders of the Government by the Department using or requiring such works.

131. Charges on petty construction and repair works met from contingencies.—

Expenditure on petty construction and repairs which, under any order issued by the Government, treated as contingent expenditure of the Department incurring it, is subject to the rules in Section III of this Part. When contingent bills are drawn for works expenditure permitted to be treated as contingent expenditure, details showing the name of the work, the number and date of the order sanctioning the work and the amount of the sanctioned estimates shall invariably be entered in the bill. A full description of each item of expenditure together with details where necessary, showing the rates and quantities shall be given and sub-vouchers, together with the receipt of the actual payee, shall be furnished under the rules in Section III of this Part. When it is not possible to give details of the expenditure at the time of drawing the bill, they must be given .subsequently in a bill in Form GAR 31 headed 'Not Payable, to which the necessary sub-vouchers shall be attached. The transmission to the Accounts officer of the detailed bill and the sub-vouchers shall never be delayed for more than a month.

NOTE.—Payment for labour shall be supported by the certificate prescribed in rule 101.

132. Payments to labourers.—

(1) As a general rule but subject to such exceptions as may be laid down in the authorised departmental regulations, wages of labourers engaged departmentally, shall be drawn on muster rolls showing the names of the labourers number of days they have worked and the amount due to each. The daily attendance and absence of labourers and fines, if any, inflicted on them must be so recorded as to prevent any tampering with, or unauthorised additions to the entries once made.

(2) Subject as provided in sub-rule (1), the muster rolls may be kept in such form and in accordance with such methods as may be authorised by departmental regulations.

133 Witnessing the payments.—

(1) The payment made on muster rolls must be made or witnessed by the officer of the highest standing available in the disbursing office, who should certify to the payments individually or by groups. The amount paid on each date shall be noted in words as well as in figures at the foot of the muster roll. 

(2) If any items remain unpaid, the details thereof must be recorded separately in the muster roll in which they were originally drawn before it is finally passed by the person who made the payment. Unpaid items shall subsequently- be carried forward from .muster roll to muster roll until they are paid, the payments-being recorded and certified in the same way as current items.

(3) Notwithstanding anything contained in sub-rule (2), it will be optional with the disbursing officer to adopt any other alternative method of making payment of unpaid wages, provided that a systematic record of items remaining unpaid is maintained on the basis of the original entries in the muster roll in which they were drawn and that suitable precautions are .taken to prevent double payment.

134. Payments to work charged establishment.— 

(1) Wages of members of the work-charged establishment may be drawn on the form of pay bill of regular establishment (Form GAR 13) or such other suitable form as may be prescribed in authorised departmental regulations, according to local circumstances or to meet local requirements.

(2) The names and claims of the entire work-charged establishment concerned, including absentees, must be shown in detail in each bill. The names shall be grouped by works on which the men are employed and the drawing officer must certify that the men were on duty during the periods shown against their names, each man being employed on the work arid on the duties for which his appointment was sanctioned. Sanctions to the entertainment of the establishment shall be quoted in each case.

NOTE 1.—Deductions such as on account of fines, income-tax and recoveries of advances such as festival advances etc. should be shown by special entries against the names concerned.

NOTE 2.—If the acknowledgement of the payee cannot conveniently be obtained on the bill itself; it may be obtained separately and attached to the bill as a sub-voucher.

(3) Wages remaining unpaid on a passed bill on the date fixed for closing the accounts of the month may be paid subsequently when claimed, on a separate bill, quoting in each case; the reference to the bill in which the0 Charge was originally included and the particular-Item thereof. In making payment of arrears, suitable note of payment must be kept against the original entries in the bill or other records so as to guard against second payment.

135. Payments to suppliers and contractors.— 

(1) Unless in any case the Government direct otherwise, payment for all work done other than by daily labour and for all supplies shall be made on the basis of measurements recorded in measurement books kept for the purpose. Claims for such payments shall be prepared, as far as possible, by the claimants themselves in authorised forms of bills and vouchers, and no payment other than an advance payment may be authorised, unless the correctness of the claim in respect of quantities and rates as well as the quality of the works done or supplies made have been accepted and all calculations carefully checked by a responsible officer.

(2) Subject to such general or special instructions as may be issued by the Government, measurement books may be kept in such form and according to such methods as may be authorised by departmental regulations.

136. Payments for works done through local authority.—

(1) When the maintenance of any Government buildings or roads is entrusted to a Local authority, the payment made to it on this account shall be treated in the same way as payment for work done by a contractor.

(2) If lump sum payments have been agreed upon, each payment must be supported by a certificate recorded by a responsible Government officer that the work has been done in accordance with the conditions agreed upon.

137. Advances to contractors.—

As a general rule, and subject to such exceptions as may be authorised by the Government, no payment can be made to a contractor except for work actually done or supplies actually received. Subject to such general or special orders as may be issued by the Government in this behalf, advances, if any, made to contractors during the execution of a work shall invariably be recovered from their bills for the value of work done or supplies made, before final payment is made which must, in no case, be permitted without detailed measurement.

138. Detailed procedure to be prescribed through departmental regulations.—

Without prejudice to the generality of the rules contained in this Section, the forms of bills and the detailed procedure to be observed by departmental officers and the vouchers relating to works expenditure, may be prescribed through departmental regulations.

139. Refund of revenue.—

(1) Refunds of revenue can be drawn only on the demands and on the receipt of the person entitled to receive such refunds after production of proper authority.

(2) A Ministry, Department and or Union territory may, however, permit departmental officers functioning Under it, to draw amounts in lump sum on their receipt and to make payment (by obtaining separate cheques in favour of the refundees or by cash where the refunds are upto Rs. 100 in each case) to the refundees concerned in certain of the types or classes' of revenue receipts handled by them which are to be specified by the Ministry, Department, Union territory as the case may be, in consultation with its Principal Accounts Officer. In such cases, the bill for such drawal should be accompanied by a statement showing the names of the refundees, the amount refundable to each, and the number and date of the challan through which the money was originally credited.

(3) On no account may such amounts be drawn to be lodged in a deposit account pending demand.

(4) Refunds of the value of Currency Notes credited to Government in accordance with the provisions of the Reserve Bank of India (Note Refund) Rules, 1975, shall be made by the Currency Officer by debit to Government Account (account held under Department of Economic Affairs) and, simultaneously, the particulars of the original credit together with the receipt of the actual payee shall be sent by him to the Pay and Accounts Officer, Ministry of Finance (Department of Economic Affairs).

140. Refund of revenue from permanent advance.— 

In such cases where Government officers have to make payments for the refunds of revenue under the provisions of sub-rule (2) of rule 139 and there is likelihood of delay in drawal, the payment of such claims as are upto Rs. 100 may be made out of permanent advance or imprest which they may be permitted to hold under the orders of competent authority, subject to recoupment on presentation of refund bills.

141. Procedure to be followed for noting the refunds in departmental records, etc.—

Except as otherwise provided in these rules, every refund shall be noted against the original credit in the departmental accounts or other documents in which the moneys received are entered in detail and a certificate of such a note having been made must be given in all vouchers for refunds.

NOTE.—Refunds of Union Excise Duties and Customs receipts are made through cheques by the authorised officers in the Central Excise and Customs Collectorates under the Department of Revenue and are regulated in accordance with the departmental instructions issued, by the Central Board of Excise and Customs, Ministry of Finance (Department of Revenue) under a special procedure prescribed in the Board's letter No. 3|72-CX-6 (F. No. 1|49|69-CX-6) dated 14th February 1972 as amended from time to time. However, petty refunds of upto Rs. 100 each may be made in cash. The provisions of this rule and of rule 142 shall not, therefore, be applicable to these refunds.

142. Form of bill for drawal of refunds of revenue.—

(1) Except as otherwise provided in these rules, or unless some other form has been prescribed by departmental regulations for any particular class of refunds, bills for drawing money on account of refunds of revenue shall be prepared in Form GAR 33. The officer who received the original amount shall fill in columns 1 to 5 of the form and sign the certificate at the foot, while the Accounts Officer shall verify the credits by means of the particulars in columns 4 and 5 and affix his signature in columns 6 in token of his having done so. [Where the revenue was credited to a Treasury prior to Departmentalisation of Accounts of Union Government (Civil), this verification is to be got done by the Treasury].

(2) Where, under the provisions of rule 139 or rule 140, a departmental officer is required to draw the amount for refund of revenue, he will prepare a bill in Form GAR 33 duly supported by the original challan with which the money was credited' to Government Account or by a duly attested statement showing the names of the refundee's, the amounts to be refunded and the number and date of the challan with which the money was originally deposited and the amount, if any, already refunded, in cases where the amounts received from more than one person were credited by a single challan by him, and present it for payment after acknowledging the receipt thereof in the space provided for 'Claimant's signature' .and after scoring out the words 'Claimant's signature'. The Accounts Officer will then make the payment to the departmental officer after verifying the credit as' stated in sub-rule (1).

NOTE l.—Bill for refund of passport fees, whose refund is permissible should be prepared in Form GAR 33 by the Regional Passport Officer.

NOTE 2.—A special form and a separate procedure have been prescribed for refund made by Central Publications Branch, Delhi.

143. Refund of examination fees received by the Union Public Service Commission etc.—

(1) (a) If the amount of an examination fee originally received from a candidate through of by means of crossed Postal Older or any part of it, is to be refunded, the Secretary (or an Officer duly authorised in this regard) of Union Public Service' Commission or of Staff Selection Commission as the case may be, shall present to his Pay and Accounts Officer, New Delhi a bill for the amount to be refunded, duly supported by the original challan crediting the money to the Government Account along With the money order form duly filled in.

(b) The accompanying challan shall also indicate under the Secretary's (or of a duly authorised officer in this regard) dated signatures the total amount to be refunded. If the amount were deposited in lump sum info the bank, a statement showing the names of the candidates demanding refunds, the amounts . to be refunded to each, the number and date of the challan in which the money was originally, deposited and the amount already refunded, if any, shall accompany the bill instead of the challan; such statement will be duly attested by the Secretary (or by an Officer duly authorised in this regard) of the Commission.

(c) The Pay and Accounts Officer, after necessary check and verification with the original entry in the bank scroll, shall pass the bill and forward the money order form to the Post Office along with the 'Government Account' cheque for the total' amount of the bill (including money order commission charged) in favour of the postal department under intimation to the Drawing and Disbursing Officer of the Commission. The Secretary of the Commission (or an officer duly authorised in this regard) shall watch for the money order receipts' and record them after necessary check and note in the original copy of the challan under his dated signatures the amounts refunded.

(2) If the amount of examination fee was originally paid in any Embassy or Mission abroad and the refund is desired in India, similar action would be taken except that verification of the credit will be on the authority of the Secretary of the Commission (or of an officer duly authorised in this regard).

{Refer Correction Slip 22}

(3) If the amount of an examination fee originally received from the candidate by the Commission in the form of Central Recruitment Fee Stamps affixed on the application, is to be refunded, the Secretary (or an Officer duly authorised in this regard) of Union Public Service Commission or of Staff Selection Commission as the case may be, shall present to his Pay and Accounts Officer, a bill  for the amount to be refunded duly supported by the sanction issued by the Secretary of the Commission (or an Officer duly authorised in this regard). Before issuing sanction for the refund of the amount, necessary verification with reference to the application and the recruitment stamps affixed thereon shall be done by the Commission and suitable note kept on the application to avoid double claim. The stamp affixed shall also be duly cancelled.

144. Refund of income tax, corporation tax etc.— 

Special rules are prescribed by the Central Board of Direct Taxes, Ministry of Finance (Department of Revenue) for the refund of Income Tax and Corporation Tax. The said rules also apply mutatis mutandis to refund of Estate Duty, Wealth Tax, Expenditure Tax, Gift Tax and Hotel Receipt Tax. Payments of such refunds shall be made to the refundee himself, or to a person duly authorised by him to receive payment, provided that the receipt at the foot of the refund voucher is signed by the refundee himself. Such orders of refunds drawn on the bank direct are negotiable instruments and are, therefore, capable of being transferred by endorsement and delivery in accordance with the provisions of the Negotiable Instruments Act, 1881 (26 of 1881).

145. Period of validity of refund order.

Unless otherwise provided by any law, rule or departmental regulation, an order for refund of revenue shall remain in force for a period of three months only from the date of its issue and no payment shall be made on its authority thereafter unless it is revalidated by the sanctioning authority.

146. Grants-in-aid, contributions.—

The terms 'Grants-in-aid' and 'Contributions', include such types of expenditure as grants to local bodies, religious, charitable or educational institutions and compensation to Government servants for accidental losses and contributions to public exhibitions and fairs.

147. Form of bill for grant-in-aid, etc.—

Save as hereinafter provided and subject to any general or special Orders of the Government, bills for grants-in-aid or contributions shall be presented by the department in Form G.A.R. 34, the bills for the expenditure sanctioned by the Government and  subordinate authorities under the powers delegated to them being drawn by the departmental officer nominated by the Government and the drawing officer in the office of the sanctioning authority respectively. The orders sanctioning the payment must be quoted in, each case.

148. Form of bill for compensation, etc.—

Compensation to Government servants for accidental losses due to effect of floods, cyclones, earthquakes or otherwise, may be drawn in a simple bill form indicating the name and designation of the person, amount of compensation, sanction order number. The sanction Order should also be attached thereto, while submitting to the Pay and Accounts Office for pre-check payment.

149. Form of bill for stipends and scholarships, etc.—

Bills for educational scholarships or stipend, shall be presented in Form G.A.R. 35 or in such other form as may be prescribed by authority competent to sanction such payments in consultation with the Principal Accounts Officer concerned. In the case of payments to institutions under private management, such bills shall be prepared and signed by the authorities of the institutions concerned and sent to such Government official as may be nominated in this behalf by the sanctioning authority, who will present the bill and draw the amount thereof and make The payment to the institution concerned. The orders sanctioning the payment which should clearly state that the amount shall be drawn by the departmental officer nominated therein, must be quoted in each case .If any conditions are attached to the payment of scholarships or stipends the bill must bear a certificate of the counter-signing officer that he is satisfied that the prescribed conditions have been fulfilled.

NOTE.—The provisions of this rule are not applicable to the various scholarship schemes of the Government; the amounts of scholarship in respect of students awarded scholarship under such schemes are drawn by presentation of bills by the Ministries or Departments concerned in accordance with the rules governing the schemes, and the cheques or drafts obtained in favour of the Heads of the Institutions concerned are sent to them for making payments to the students concerned.

150. Investment by Government.—

Bills for Government's investments in a company, corporation or similar autonomous organisation shall be drawn by the drawing officer in the office of the sanctioning authority by presentation of simple receipt in a form similar to Form G.A.R. 34, duly supported by a copy of sanction for such payment.

151. Interest on Government debt.—

The procedure with regard to payment of interest -on different forms of Government securities shall be regulated by the rules and orders contained in this behalf in the Government securities Manual issued under the authority of the Government.

152. Payment to the Reserve Bank.—

Bills for sums payable to the Reserve Bank, such as bills in connection with the floatation of new loans or management of Public Debt, shall be countersigned by an officer of the Ministry of Finance before they are paid.

NOTE.—The Reserve Bank is authorised to debit the Government Account in advance of the submission of consolidated bills for expenses incurred in connection with the floatation of Government loans or payments which it may make to bankers, on account of brokerage; subject to the condition that the Reserve Bank accepts the responsibility in the event of any excess payment being made. The advance so made should be adjusted against the final bill of the Reserve Bank.

153. Expenditure from discretionary grants at the disposal of any Government authority.—

(1) When a sum of money is placed at the disposal of any particular authority for expenditure on specified objects, all amounts sanctioned against it must be supported by an order of the authority concerned stating—

(i) the particular object of the expenditure, which must always be within the general purpose of the grant;

(ii) the amount sanctioned for it (the grant is to be non-recurring i.e. not involving any future commitments);

(iii) the person in whose charge expenditure is to be.

(2) The disbursing officer may draw the money on his receipt specifying the order under which it is sanctioned. He may not draw more than what he actually requires from time to time for expenditure but can draw as often as he finds convenient.

(3) An account of the expenditure must be rendered to the Accounts Officer concerned, in which the disbursing officer should enter on the receipt side all sums he has drawn and on the expenditure side, all amounts he has spent. Vouchers must be furnished in the same way and under the same rules as in the case of a contingent bill. A copy of this account, without vouchers, shall also be sent to the administrative department concerned. The account must be sent at the end of every month, except when it is estimated that the sanctioned expenditure will be completed and the account closed within three months from the date of the orders sanctioning it. In such a case, the account may be withheld till the end of the said period of three months and then sent covering the entire period. An account must in any case be made up and rendered up to the 31st March, of each year.

154. Payment on behalf of Defence Services by Union territory administration.—

(1) Disbursements by civil authorities for the purchase of or compensation for lands taken up for the Defence Services, and also those for compensation for loss of crops, and damage to lands, shall be vouched by the bills and receipt of the payees and the original orders or certified extracts therefrom under which the expenditure is incurred.

(2) When a Civil officer required to supply carriage to troops on the march, makes an advance to the owners of half the hire charges for the whole journey and recovers the same from the requisitioning Defence officer on making over the carriage to the Defence authorities, the amount may be drawn for such advance payment, from the permanent advance held by the Civil officer on an abstract bill, the amount of the bill and subsequent recovery being taken to the head "858 Suspense Accounts—Pay and Accounts office Suspense."

(3) A similar procedure will also be followed in cases in which a Civil Officer is called upon to supply articles of provision to troops on the march.

155. Compensation for land.—

The procedure to be observed for the payment of compensation for land taken up for public purposes shall be regulated by the special orders issued.

156. Discount on stamps.—

When discount upon stamps is allowed by deduction from the purchase money, a detailed bill in Form G.A.R. 31 headed "Not for payment" shall be prepared by the concerned Officer every month for the amount of discount allowed, arid submitted to the controlling authority concerned for counter-signature and transmission to the Pay and Accounts Office.

157. Commission to registrars.—

(1) Commission to Registrars may be drawn under authorised departmental regulations, on bills which must exhibit the fees upon which the commission is claimed, in such a form as to be capable of verification by comparison with the accounts.

(2) In cases in which the commission is calculated upon a number of documents registered, the bill shall be supported by a certificate of the District Registrar or otter controlling officer that the amount has been correctly calculated.


158. Application.—

The rules in this part shall apply to loans and advances of different classes, which are granted by the Government except in so far as they are governed by any special rules (e.g. payment of loans by the; Central Government to State or Union territory Governments) issued by Government or, contained in other parts of these rules or in any authorised departmental regulations.

159. Form of bill for loans and advances and drawal thereof—

(1) Except as otherwise provided in rules 161 to 166, loans and advances may be drawn On simple receipt in a form similar to Form G.A.R. 34.

(2) Subject to the provisions of rules 161 to 166, bills for loans and advances shall be drawn by the drawing officer of the office of the authority sanctioning payment of loan or advance. The bill shall be supported by a copy of the sanction for such payment. In case of payments by cheques or bank drafts, the drawing officer shall obtain cheques or drafts wherever necessary and make arrangements for payment.

160. Mode of repayment of loans and advances.—

(1) Where repayment is made by deduction from the amount of a claim against the Government, or where ever repayment by directly crediting Government, Account in the relevant branch of the .accredited Bank is permitted, the original date and amount of the loan or advance should be indicated in the relevant document so as to provide sufficient particulars for its identification. If the amount repaid includes interest as well as principal, the interest must he separately specified If the repayment is a fixed periodical amount, including both interest and principal, the orders fixing the amount shall be quoted.

(2) Procedure for payment of interest on and repayment of principal of loans and advances by public sector undertakings and parties other than State Governments, Union territory Governments or foreign Governments is indicated in Appendix III.

161. Scope of the term 'Revenue advances'.—

The following special procedure is prescribed for the drawing of Revenue Advances which include takavi advances, advances under the Land Improvement Acts and any other advances which Revenue Officers are allowed or directed to make under the provisions of any law or under special order of the Government.

NOTE.—Takavi works advances in the form of expenditure on Takavi works in the Public Works Department are regulated by departmental rules. Save where the estimated cost of such works are recovered in the Public Works Department, recoveries of such advances will be made by the Collector in the same way as arrears of land revenue.

162. Procedure for drawal of revenue advances.— 

(1) Advances may be made either direct to the parties concerned and on their receipt (stamped when necessary) or may be drawn by departmental Officers who maintain detailed accounts of such advances in lump sum on abstract bills in Form G.A.R. 30 for disbursing to the parties.

(a) In the former case, the payments must be supported by mutual payees' receipts, and in the latter case by a certificate from the authorised disbursing officer to the effect that payment will be made to the proper payees and their receipts duly taken and filed.

(b) In the later case, the fallowing safeguards shall be adopted:

(i) No officer disbursing these advances should be allowed to draw a second abstract bill without producing a detailed bill to account for the amounts already disbursed from the last advance taken, any balance left being at the same time refunded. In no case should the submission' of the detailed bill be delayed beyond the end of the month following that in which the advance was drawn.

(ii) Disbursing officers should take the receipts of the payees on the spot as soon as the advances have been made, and certify at the foot of the detailed bill that the advances were duly sanctioned by them and paid in their presence.

(iii) Payees' receipts need not be sent with the detailed bill and their names need not be shown in it. The detailed bill should be forwarded to the Accounts Officer in adjustment of the advance drawn.

(iv) The head of the department concerned should prescribe a money limit for ' the amount which can be drawn on abstract bills by each officer with due regard to the circumstances of each case.

(2) The Accounts Officer shall maintain a plus and minus memorandum with which the departmental Officer should reconcile the balances as per accounts records. Special care shall be taken while paying recoveries into Government Account that the amount of interest and principal recovered are separately and distinctly credited, as the former must not, and the latter must, be credited in the plus and minus memorandum.

163. Advances under special laws.—

Advances under this head will be regulated in accordance with the provisions of the relevant Acts and rules framed thereunder, or 'by such orders, general or special as may be issued by the Government in this behalf.

164. Advances {or departmental purposes.-

(1) Advances granted under special orders of competent authority to Government officers for departmental or allied purposes may be drawn on the responsibility and receipt of the officer for whom they are sanctioned, subject to adjustment by submission of detailed accounts supported by vouchers or by refund, as may be necessary.

(2) In case of advances for survey and other departmental expenditure, which are ultimately recoverable from private owners or other parties, the duties such as maintaining detailed accounts of the advances, of watching their recoveries and of supervision, shall rest with the departmental authorities concerned, the Accounts Officer being responsible only for maintaining a plus and minus memorandum, where necessary, in accordance with relevant orders of Government.

(3) The provisions of sub-rule (2) of rule 162 shall also apply to advances of this class of which the detailed accounts are kept departmentally.

165. Advances to government servants on personal account.—

(1) These advances may be drawn on Form G.A.R. 36 in respect of long term advances and GAR 37 in respect of short term advances. The names of Government servants with their designation and the amounts of advances sanctioned for each should be clearly indicated.

(2) A personal advance to Government servant may be repaid, either in cash or by deduction from his pay or travelling allowance bill, as may be required under the rule or order applicable to each case. The recovers through pay bills of long term advances referred to in rule 187 (b) of the General Financial Rules, 1963, and of interest thereon, should be supported by schedules of recoveries of advances in Form G.A.R. 38, separate schedules being attached for different types of advances. In the case of recoveries of advances referred in rule 187 (c) of the General Financial Rules, 1963, only monthly abstract in Form G.A.R. 39 may be attached to the last establishment bill drawn during each month.

166. Other loans and advances.—

Subject to the general provisions contained in rules 158 to 160, loans and advances not falling under any of the separate classes specified in rules 161 to 165 may be drawn and repaid in accordance with such general or special orders as the Government may issue in each case.