Effective monitoring of the flow of expenditure and effective budgetary Control to avoid excess over voted grants/charged appropriations.

Effective monitoring of the flow of expenditure and effective budgetary Control to avoid excess over voted grants/charged appropriations.

G.I., M.F., O.M. No. 12(1)/E- Co-ordJ2001, dated 27-9-2002

Sub: Effective monitoring of the flow of expenditure and effective budgetary Control to avoid excess over voted grants/charged appropriations.

The undersigned is directed to invite attention to the recommendations made by the Public Accounts Committee in Paras. 7.1.1 and 7.2.3 of their 30th Report (13th Lok Sabha) regarding excesses over voted grants and charged appropriations (1999-2000) and to say that taking adverse note of occurrence or excess over voted grants/charged appropriations, the Committee has recommended for an effective monitoring of the flow of expenditure as also for sustained efforts for effective budgetary control to wipe out the excess of such cases.

2. In this connection, attention is invited to the provisions contained in Rules 65 and 66 of the General Financial Rules along with the Government of India decisions there under providing for a detailed procedure for effective monitoring and control of expenditure as also to the provisions contained in the D.O. Letter No. 12 (1)/E. Co-ord./99, dated 17-2-200 from Secretary (E) addressed to all Secretaries to the Government of India and to the Ministry of Finance, Department of Expenditure’s 0.M. No. 1 (3)/E. Co-ord./2000, dated 13-8-2001 where instructions have been issued to put in place an effective mechanism for exercising monthly review of flow of expenditure so as to avoid cases of excess. These instructions would, no doubt, have been followed and effective steps taken for control of expenditure. If the steps envisaged therein are followed, there should be no occasion for excess expenditure.

3. All the Ministries/Departments are, therefore, advised to follow the instructions mentioned above and to ensure that no case of excess takes place in respect of any of the grants under their control.

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