A special audit conducted in select central government departments by the Finance Ministry has found "serious financial irregularities" following which the Controller General of Accounts has called for strict adherence to approved guidelines.
A fresh set of instructions has been issued to all Principals or Chief Controller of Accounts (PCCAs or CCAs) to adhere to prescribed standards of financial propriety.
"The special audits recently conducted in select ministries or departments have observed serious financial irregularities stemming out of deviations from laid down rules and regulations. This has been viewed seriously by Controller General of Accounts," an order issued by Controller General of Accounts (Vigilance Section) under Department of Expenditure said.
No cheques are to be issued for amounts exceeding Rs 25,000 and e-payments would be made to all parties, vendors or contractors, it said, adding "misclassification or diversion of funds should be strictly avoided."
The tendering process must be meticulously observed as per the guidelines issued by Department of Expenditure and Central Vigilance Commission from time to time. Open tenders to be called for works costing Rs 5-10 lakhs may be strictly complied with, it said, citing existing norms in this regard.
Outsourcing or hiring of manpower is not to be done without specific approval of Integrated Financial Division (IFD). The various provisions as laid down in General Financial Rules, 2005 relating to the same must be strictly adhered to, the directive said.
Similarly, rules and procedures regarding hiring of vehicles should be followed and specific approval of IFD should be obtained wherever required before incurring the expenditure.
"For purpose of approval and sanctions, a group of works which forms one project, shall be considered as one work. The necessity for obtaining approval or sanction of higher authority to a project which consists of such a group of work should not be avoided because of the fact that the cost of each particular work in the project is within the powers of such approval or sanction of a lower authority," the CGA order said.
Payments for services rendered or supplies made should be released only after the services have been rendered or supplies made, it said.
