Rule 34 of the General Financial Rules 2017 Loss of Government Property due to fire theft fraud
Original Rule Text
Visual Summary
Mandatory Police Report
Losses over ₹50,000 from fire, theft, or fraud must be reported to the police.
Duty to Cooperate
All concerned officials must fully assist the police in their investigation.
Formal Report Required
A formal investigation report must be obtained from the police for all reported cases.
Executive Summary
This rule specifies the procedure when government property is lost or destroyed due to fire, theft, or fraud. If the value of the lost property is more than ₹50,000, it is mandatory to report the incident to the police for investigation as soon as possible. After reporting, all government officials involved must cooperate with the police. Finally, a formal investigation report must be obtained from the police for every case that is referred to them.
In-Depth Analysis of the Rule
Introduction
Rule 34 of the General Financial Rules, 2017, provides a clear and non-negotiable protocol for handling significant losses of government property caused by criminal acts like fire, theft, or fraud. It supplements the general loss reporting requirements of Rule 33 by adding a specific, mandatory step: involving law enforcement. The primary goal is to ensure that such losses are not just administratively recorded but are also professionally investigated to identify culprits, recover property if possible, and prevent future occurrences.
Breakdown of the Rule
- Threshold for Reporting: The rule sets a specific monetary threshold. Only losses valued ‘above Rupees Fifty thousand’ trigger the mandatory police reporting requirement. This distinguishes major losses from minor ones, ensuring police resources are focused on significant incidents.
- Specific Causes: The rule is applicable only for losses due to ‘suspected fire, theft, fraud, etc.’. This means it covers incidents where there is a possibility of criminal activity, as opposed to accidental damage or natural disasters, which are covered by other rules.
- Immediate Action: The report to the police must be made ‘as early as possible’. This emphasizes the urgency required to preserve evidence and increase the chances of a successful investigation.
- Mandatory Cooperation: The rule places a duty on ‘all concerned’ officials to ‘assist the Police in their investigation’. This is not optional and includes providing documents, witness statements, access to the premises, and any other support required by the investigators.
- Formal Documentation: The process concludes with obtaining a ‘formal investigation report’ from the police. This document is crucial for official records, for taking action against any responsible individuals, and for processing any insurance claims or write-offs.
Practical Example
Imagine a government research facility discovers that several high-value microscopes, collectively worth ₹2,00,000, are missing from a lab. The lab was locked, and there are signs of a break-in. According to Rule 34, the Head of the facility must immediately file a First Information Report (FIR) with the local police. They must then provide the police with lab access logs, CCTV footage, and a list of personnel with access. The facility’s staff must be available for questioning. Once the police conclude their investigation, whether they find the culprits or not, the facility must obtain a copy of the final police investigation report to formally close the matter in their records and proceed with writing off the loss as per departmental procedures.
Conclusion
Rule 34 establishes a critical link between administrative accountability and the criminal justice system. By mandating police involvement for significant losses due to fire, theft, or fraud, it ensures a formal, external investigation, promotes transparency, and acts as a deterrent against internal negligence or collusion. Compliance with this rule is essential for the proper stewardship of public property.
Related Provisions
Understanding Rule 34 is enhanced by looking at related rules that deal with losses and responsibilities. These provisions provide a broader context for financial accountability.
- Rule 33: Report of Losses – This is the general rule for reporting any loss of public money or property. Rule 34 is a specific instruction to be followed in addition to Rule 33 when the loss is due to fire, theft, or fraud above a certain value.
- Rule 35: Loss of immovable property by fire, flood etc – This rule deals with losses to immovable property (like buildings) due to natural causes or fire, and outlines a different reporting channel, primarily to higher government authorities rather than the police.
- Rule 37: Responsibility of losses – This rule establishes the principle of personal responsibility for any government officer whose fraud or negligence leads to a loss, making it highly relevant to the outcomes of a police investigation initiated under Rule 34.
Learning Aids
Mnemonics
- POLICE: For losses over ₹50k, remember the steps: Property Over Limit Invariably Calls for Examination (by police).
- FIRE: Fifty thousand, Inform police, Report, Ensure cooperation.
Mindmap
Multiple Choice Questions (MCQs)
1. What is the minimum value of lost government property due to suspected theft that makes reporting to the Police mandatory under Rule 34?
- A) Exactly Rupees Fifty thousand
- B) Above Rupees Fifty thousand
- C) Rupees Fifty thousand and above
- D) Any amount, if theft is suspected
Show Answer
Correct Answer: B) Above Rupees Fifty thousand. The rule explicitly states ‘All losses above the value of Rupees Fifty thousand’.
2. After a case of loss due to fraud is reported to the Police, what is the primary duty of the concerned departmental officers?
- A) To conduct a parallel internal investigation.
- B) To wait for the police to complete their investigation before taking any action.
- C) To assist the Police in their investigation.
- D) To immediately write off the lost amount.
Show Answer
Correct Answer: C) To assist the Police in their investigation. The rule states, ‘all concerned should assist the Police in their investigation’.
3. Which of the following scenarios is NOT covered by the mandatory police reporting requirement of Rule 34?
- A) Office equipment worth ₹75,000 is destroyed in a fire suspected to be arson.
- B) A government vehicle worth ₹60,000 is stolen from the office parking lot.
- C) An accounting fraud leads to a misappropriation of ₹1,00,000.
- D) A government building worth ₹1,00,000 is damaged by a flood.
Show Answer
Correct Answer: D) A government building worth ₹1,00,000 is damaged by a flood. Rule 34 is specific to losses from ‘fire, theft, fraud, etc.’ and does not cover natural calamities like floods, which are addressed in Rule 35.
Frequently Asked Questions
What happens if the value of the stolen property is exactly ₹50,000?
The rule specifies that losses ‘above the value of Rupees Fifty thousand’ must be reported to the police. Therefore, for a loss of exactly ₹50,000, the mandatory police reporting under this specific rule does not apply. However, the general loss reporting procedures under Rule 33 would still need to be followed, and the department may still choose to report it to the police based on their discretion.
Is a copy of the FIR sufficient, or is a full investigation report required?
A full, formal investigation report is required. The rule explicitly states, ‘A formal investigation report should be obtained from the Police Authorities in all cases, which are referred to them.’ An FIR is just the first step of lodging the complaint; the final report concludes the police’s investigation process for documentation purposes.
Who is responsible for obtaining the investigation report from the police?
The departmental officers who reported the loss are responsible for following up with the police and obtaining the formal investigation report. This is part of the overall responsibility of managing the case from the department’s side.
Key Takeaways
- If government property worth more than ₹50,000 is lost to fire, theft, or fraud, you must report it to the police.
- Reporting to the police must be done as quickly as possible.
- All officials must cooperate fully with the police during their investigation.
- Always obtain a formal, final investigation report from the police for your records.