Spendthrift ministries get a scolding

'Don’t spend more than the allocated funds,’ finance ministry tells overspending ministries and departments

GN Bureau | April 28, 2010



The finance ministry has directed all secretaries to the government of India to ensure that their ministries or departments spend no more than their authorised allocation as passed by the Parliament,
“The public accounts committee (2008-09) has observed that some ministries and departments of the central government continue to display indifferent attitude towards rules laid down for containing the expenditure within the authorised limits,” Sushama Nath, expenditure secretary, finance ministry said in a note circulated on Monday.

Special attention must be given to the department of economic affairs, ministry of defence, ministry of railways, company affairs, and ministry of mines so that the phenomena of excess expenditure is not repeated, she wrote.
With the Fiscal Responsibility and Budget Management (FRBM) Act, 2003 in operation, spending within the allotted budget is all the more necessary and stringent steps must be taken by the concerned secretaries to ensure financial discipline.

Under various sections of Rule 52 of the General Financial Rules, departments of the central government shall be responsible for the control of expenditure against the sanctioned grants. “The control shall be exercised through the heads of departments and other controlling officers,” the note said.
It further says that no expenditure shall be incurred which may exceed the total grant authorized by the Parliament, except in exceptional circumstances. The grants can be exceeded after obtaining a supplementary grant or an advance from the contingency fund.

The letter dated 25 Jan, 2010 recommends that stern action must be taken to deal with cases where slackness is noticed and where prescribed financial rules are flouted. Instructions were issued to all financial advisors on October 26, 2009 where the committee asked the finance ministry to rigidly enforce the financial rules and procedures to minimise the instances of excess expenditure to the bare minimum.
 

Comments

 

Other News

Shri Avanish Kumar Mishra (ISS, 2000) appointed as Joint Secretary, Department of Administrative Reforms & Public Grievances.

 Shri Avanish Kumar Mishra (ISS: 2000) has been appointed as Joint Secretary, Department of Administrative Reforms & Public Grievances (DARPG), Government of India. The appointment, approved by the Appointments

Millets are thriving. Are millet farmers?

The story of millets is nothing short of extraordinary. Once seen as the food of the poor and downtrodden, they are now seen as the food of the health conscious and the elite. Today, these nutri-cereals occupy prominent shelves in premium supermarkets, feature on the menus of gourmet restaurants, and are e

More judges will not fix courts without better court work practices

A vacant courtroom cannot decide a case. Neither can a poorly managed courtroom simply decide twice as many cases after receiving an additional judge. Judicial capacity and court productivity are related, but they are not the same. The distinction matters because India’s district and subord

Dharmendra Pradhan tenders resignation

Dharmendra Pradhan, education minister at the centre of the storm of the NEET paper leak, offered his resignation to the prime minister on Saturday.   He posted a two-page letter on X, saying he was pained by the events of the last ten days. "This is not a matter of personal

Cabinet approves scheme of chemical parks

The union cabinet chaired by the PM has approved Bharat Audyogik Vikas Yojana Rasayan or BHAVYA - Rasayan Scheme for establishing three dedicated Chemical Parks in the country. The Scheme was announced in the Union Budget of FY 2026–27.   The Scheme will have a total financ

Anurag Jain, IAS appointed as Chief Executive Officer, NITI Aayog

 Anurag Jain, a 1989-batch IAS officer of the Madhya Pradesh cadre, has been appointed as the Chief Executive Officer (CEO) of NITI Aayog for a two-year term after serving as the Chief Secretary of Madhya Pradesh. A distinguished administrator with extensive experience in infrastructure, industrial de

Upcoming Conferences



-->

Archives

Current Issue

Opinion

Facebook Twitter Google Plus Linkedin Subscribe Newsletter

Twitter