Rule 36 of the General Financial Rules 2017 Report to Audit and Accounts Officers

Rule 36 of the General Financial Rules 2017 Report to Audit and Accounts Officers

Visual Summary

Executive Summary

This rule outlines the mandatory reporting procedure after a financial or property loss has been fully investigated. The office that suffered the loss (the subordinate authority) must first conduct a thorough enquiry to understand the cause and total value of the loss. Following this, they must prepare a detailed report and send it to the main Government through the proper hierarchical channels. Crucially, at the very same time, a copy of this report (or a summary) must be sent to both the Audit Officer and the Pay and Accounts Officer for their records and scrutiny.

In-Depth Analysis of the Rule

Introduction
Rule 36 establishes a clear and non-negotiable communication protocol following the investigation of any loss of government money or property. It ensures that all relevant authorities are informed promptly and simultaneously, which is vital for accountability, financial control, and potential recovery actions. This rule acts as the second step in the loss management process, following the initial reporting mandated by Rule 33.

Breakdown of the Rule
The rule can be broken down into a sequence of actions:

1. Complete a Full Enquiry: Before any report is written, a thorough investigation must be concluded. This enquiry should determine two key things: the ’cause’ of the loss (e.g., theft, negligence, accident) and the ‘extent’ of the loss (the total financial value).
2. Prepare a Detailed Report: Based on the findings of the enquiry, a comprehensive report is created. This isn’t just a brief note; it’s a detailed document explaining what happened.
3. Send to Government via Proper Channel: The ‘subordinate authority’ (the office where the loss occurred) sends this report to the ‘Government’. This is done ‘through the proper channel’, which means sending it up the official chain of command (e.g., from a field office to a regional office, then to the head office, and finally to the concerned Ministry).
4. Forward Copies Simultaneously: The word ‘simultaneously’ is critical. It means at the same time as the report is sent to the Government, a copy or an abstract (a summary) must be forwarded to two other key officials: the ‘Audit Officer’ and the ‘Pay and Accounts Officer’. This prevents delays and ensures that the financial and audit wings of the government are kept in the loop from the very beginning.

Practical Example
Imagine the head of a government research lab discovers that five high-value laptops are missing. First, under Rule 33, they report the loss immediately. Then, they conduct a full enquiry: they check inventory records, interview staff, and review security footage. The enquiry concludes the laptops, valued at ₹5,00,000, were likely stolen due to a security lapse. The lab head then prepares a detailed report outlining these findings. On Monday morning, they send this report to their superior at the regional headquarters (the ‘proper channel’). At the exact same time, they also send a copy of the report to the designated Audit Officer and the Pay and Accounts Officer for their region. This action fully complies with Rule 36.

Conclusion
Rule 36 ensures a transparent and accountable process for handling the aftermath of a loss. By mandating a detailed report after a full enquiry and ensuring its simultaneous distribution to administrative, audit, and accounts authorities, it creates a system of checks and balances. This helps in taking corrective measures, fixing responsibility, and preventing future occurrences.

Related Provisions

Understanding Rule 36 is enhanced by considering it alongside other related rules. These provisions provide the context for why and how losses are reported and handled:

• Rule 33: Report of Losses – This is the preceding step. It mandates the immediate reporting of any loss as soon as it is discovered. Rule 36 deals with the detailed report that follows the investigation initiated after the initial report under Rule 33.
• Rule 37: Responsibility of losses – This rule explains how personal responsibility for a loss is determined, which is a key component of the ‘full enquiry’ mentioned in Rule 36. The findings on responsibility would be a major part of the detailed report.
• Rule 39: Demand for information by Audit or Accounts Officer – This rule empowers the Audit and Accounts Officers, who receive the report under Rule 36, to demand further information or records to perform their duties. It highlights the importance of their role in the process.

Learning Aids

Mnemonics

• REPORT: Research (enquire), Explain (in detail), Pass (through proper channel), Offer (copies to) Relevant Teams (Audit & Accounts).
• TRIPLE SEND: After an enquiry, you must ‘triple send’ the report: 1. Up the channel to the Government, 2. To the Audit Officer, and 3. To the Accounts Officer, all at once.

Mindmap

Multiple Choice Questions (MCQs)

Frequently Asked Questions

Key Takeaways

• Always investigate the cause and value of any loss before writing a final report.
• A detailed report must be sent up your official chain of command to the Government.
• At the same time, you must send a copy or a summary of the report to both the Audit Officer and the Pay and Accounts Officer.
• This simultaneous reporting ensures transparency and keeps all key financial oversight bodies informed promptly.