Rule 302 of The General Financial Rules 2017 Compensation for Accidental Loss of Property
Original Rule Text
Visual Summary
Compensation for accidental loss needs Ministry of Finance approval.
No compensation for natural calamities or ordinary accidents.
Being on duty or in government quarters is not a sufficient ground.
Executive Summary
Rule 302 of The General Financial Rules, 2017, stipulates that compensation for accidental loss of an officer’s property requires the explicit approval of the Ministry of Finance. It clarifies that such compensation is generally not granted for losses due to natural calamities (like floods, earthquakes) or common accidents (like theft or railway accidents). Furthermore, the rule explicitly states that an officer’s status of being technically on duty or residing in government quarters at the time of the accident does not, by itself, constitute sufficient grounds for receiving compensation.
In-Depth Analysis of the Rule
Introduction: Rule 302 addresses a specific aspect of financial management concerning the accidental loss of property belonging to government officers. It sets clear boundaries and conditions under which such losses may or may not be compensated from public funds, emphasizing fiscal prudence and accountability.
Breakdown of the Rule:
- Ministry of Finance Approval: The primary condition for any compensation for accidental property loss is the explicit approval of the Ministry of Finance. This centralizes control over such disbursements and ensures a consistent policy application.
- Exclusions for Compensation: The rule specifies categories of losses for which compensation will “not ordinarily be granted.” These include:
- Losses caused by natural calamities such as floods, cyclones, or earthquakes.
- Losses resulting from ordinary accidents that could happen to any citizen, such as theft, railway accidents, or fire.
This implies that the government does not act as an insurer for personal property against common risks.
- Insufficient Grounds: The rule explicitly negates two common assumptions that might be used to claim compensation:
- Being “technically on duty” at the time of the accident.
- Residing in “Government quarters” where the officer is “forced to reside for the performance of his duties.”
These circumstances alone are not considered sufficient justification for granting compensation, reinforcing the distinction between official and personal property risks.
Practical Example:
Consider Mr. Sharma, a government officer residing in official quarters. During a severe monsoon, his personal laptop, which he also occasionally used for official work from home, is damaged due to water ingress caused by a roof leak. Mr. Sharma applies for compensation for the loss of his laptop. According to Rule 302, his claim would first require the approval of the Ministry of Finance. However, since the loss was caused by a natural calamity (monsoon floods) and occurred in government quarters while he was technically on duty (using the laptop for work), these factors alone would not be considered sufficient grounds for compensation. The rule aims to prevent public funds from being used for personal losses that are not directly attributable to specific, approved government liabilities, even if the officer was performing duties or residing in official accommodation.
Related Provisions
Understanding Rule 302 is enhanced by examining other provisions related to financial propriety and loss reporting:
- Rule 33 of The General Financial Rules 2017 Report of Losses: This rule outlines the procedure for reporting various types of losses or shortages of public moneys, departmental revenue, stamps, stores, or other government property. While Rule 302 deals with compensation for an officer’s personal property, Rule 33 focuses on losses of government property, emphasizing immediate reporting and investigation.
Learning Aids
Mnemonics
- MoF Approval Necessary, No Accidents, Not Just Duty. (MANNAJD – Ministry of Finance Approval Necessary, No Accidents/Natural Calamities, Not Just Duty/Quarters)
Process Flowchart
Multiple Choice Questions
1. According to Rule 302 of The General Financial Rules, 2017, what is the primary condition for an officer to receive compensation for accidental loss of property?
- A) The officer was technically on duty at the time of loss.
- B) The loss occurred in government quarters.
- C) Approval from the Ministry of Finance.
- D) The property was insured by the officer.
Show Answer
Correct Answer: C) Approval from the Ministry of Finance.
2. Under Rule 302 of The General Financial Rules, 2017, which of the following losses would ordinarily NOT be compensated?
- A) Loss due to a government-mandated relocation.
- B) Loss due to an earthquake.
- C) Loss of property used exclusively for official purposes.
- D) Loss due to a fire caused by faulty government equipment.
Show Answer
Correct Answer: B) Loss due to an earthquake.
3. As per Rule 302 of The General Financial Rules, 2017, if an officer’s property is lost due to theft while they are technically on duty, is this a sufficient ground for compensation?
- A) Yes, being on duty makes it eligible.
- B) No, being on duty is not considered a sufficient ground.
- C) Only if the theft occurred within government premises.
- D) Only if the property was essential for their official duties.
Show Answer
Correct Answer: B) No, being on duty is not considered a sufficient ground.
4. Rule 302 of The General Financial Rules, 2017, aims to promote which of the following principles in financial management?
- A) Comprehensive insurance coverage for all government employees.
- B) Centralized control and fiscal prudence in compensating personal losses.
- C) Automatic compensation for losses incurred during official travel.
- D) Decentralized decision-making for property loss claims.
Show Answer
Correct Answer: B) Centralized control and fiscal prudence in compensating personal losses.
5. Which of the following is NOT a factor that would be considered a “sufficient ground” for compensation under Rule 302 of The General Financial Rules, 2017?
- A) The officer’s property was lost due to a specific, government-directed operation.
- B) The officer was living in Government quarters.
- C) The loss was directly caused by an act of official negligence by another government entity.
- D) The loss was due to a unique risk inherent to the officer’s specific official duty, not a general accident.
Show Answer
Correct Answer: B) The officer was living in Government quarters.
Frequently Asked Questions
Q1: Does Rule 302 of The General Financial Rules, 2017, mean government officers can never receive compensation for personal property loss?
A1: No, it means compensation is not automatic. It requires explicit approval from the Ministry of Finance and is generally not granted for losses due to natural calamities or ordinary accidents. The rule sets strict conditions, not an outright ban.
Q2: If my property is stolen from my government-provided accommodation, am I eligible for compensation under Rule 302 of The General Financial Rules, 2017?
A2: Not automatically. Rule 302 explicitly states that residing in government quarters is not a sufficient ground for compensation. Losses due to theft are considered “ordinary accidents” and are generally not compensated unless there are extraordinary circumstances and Ministry of Finance approval.
Q3: What is the purpose of requiring Ministry of Finance approval for such compensation under Rule 302 of The General Financial Rules, 2017?
A3: The requirement for Ministry of Finance approval ensures centralized control, promotes fiscal prudence, and maintains consistency in applying policies related to the use of public funds for compensating personal losses. It prevents arbitrary decisions and ensures adherence to broader financial guidelines.
Key Takeaways
- Compensation for accidental property loss to an officer requires explicit Ministry of Finance approval.
- Losses from natural calamities (e.g., floods, earthquakes) or ordinary accidents (e.g., theft, fire) are generally not compensated.
- Being technically on duty or residing in government quarters does not automatically qualify an officer for compensation.
- The rule emphasizes fiscal prudence and prevents the arbitrary use of public funds for personal property losses.
Conclusion
Rule 302 of The General Financial Rules, 2017, serves as a critical guideline for managing public funds responsibly when it comes to accidental property losses incurred by government officers. By requiring Ministry of Finance approval and explicitly excluding common types of losses, it ensures that compensation is granted only under exceptional, justified circumstances, thereby upholding principles of financial propriety and preventing misuse of government resources.