Rule 88 of The General Financial Rules 2017 Appropriation Accounts
Original Rule Text
Visual Summary
Principal Accounts Officers prepare accounts for most ministries.
Chief Accounting Authorities (Secretaries) sign the prepared accounts.
CGA consolidates for Union Government submission to Parliament.
Executive Summary
Rule 88 of the General Financial Rules, 2017, outlines the process for preparing Appropriation Accounts for Central Ministries and Civil Departments. These accounts, detailing how funds are utilized against sanctioned grants, are prepared by Principal Accounts Officers, signed by Chief Accounting Authorities (Secretaries), and then consolidated by the Controller General of Accounts for submission to Parliament. Special provisions apply to the Departments of Posts, Defence Services, and the Ministry of Railways.
In-Depth Analysis of the Rule
Rule 88 is a cornerstone of financial accountability within the Indian government, specifically addressing the creation and submission of Appropriation Accounts. These accounts are vital for demonstrating how public funds are spent in accordance with parliamentary approvals.
Breakdown of the Rule
- Preparation by Principal Accounts Officers (PAOs): For most Central Ministries and Civil Departments (excluding Railways, Posts, and Defence), the Appropriation Accounts are initially prepared by the Principal Accounts Officers. This ensures a detailed, ground-level accounting of expenditure.
- Guidance and Supervision: The PAOs operate under the guidance and supervision of the Controller General of Accounts (CGA), ensuring consistency and adherence to accounting standards.
- Signing by Chief Accounting Authorities (CAAs): The prepared accounts are then signed by the respective Chief Accounting Authorities, who are typically the Secretaries of the concerned Ministries or Departments. This signature signifies their ultimate responsibility and accountability for the financial management.
- Consolidation by Controller General of Accounts (CGA): The CGA is responsible for annually consolidating these individual Appropriation Accounts into the Union Government Appropriation Accounts (Civil), which are then submitted to Parliament. This provides a comprehensive overview of the government’s financial performance.
- Special Provisions:
- Departments of Posts and Defence Services: For these specific departments, their Appropriation Accounts are prepared and signed by the respective Secretaries to the Government of India in those departments.
- Ministry of Railways: The Appropriation Accounts for the Ministry of Railways are prepared and signed by the Chairman, Railway Board.
Practical Example
Imagine the Ministry of Health and Family Welfare. Its Principal Accounts Officer would prepare the Appropriation Accounts, detailing how funds allocated for various health schemes were spent. The Secretary of the Ministry would then sign these accounts, taking responsibility. These accounts, along with those from other ministries, would then be sent to the Controller General of Accounts, who would compile them into a single document for parliamentary review, ensuring transparency and accountability in public spending.
Related Provisions
Understanding Rule 88 is enhanced by examining these related provisions:
- Rule 71 of The General Financial Rules 2017 Preparation and Presentation of Accounts
- Rule 70 of The General Financial Rules 2017 Duties and Responsibilities of the Chief Accounting Authority
- Rule 89 of The General Financial Rules 2017 Finance Accounts
Learning Aids
Mnemonics
- PAOS SCA: Prepare Accounts Officers, Sign Secretaries, Consolidate Government Accounts.
Process Flowchart
Multiple Choice Questions (MCQs)
1. Who is primarily responsible for preparing Appropriation Accounts for most Central Ministries under Rule 88 of the General Financial Rules, 2017?
- A) Controller General of Accounts
- B) Ministry of Finance
- C) Principal Accounts Officers
- D) Chief Accounting Authorities
Show Answer
Correct Answer: C) Principal Accounts Officers
2. According to Rule 88 of the General Financial Rules, 2017, who signs the Appropriation Accounts for Central Civil Departments?
- A) The President of India
- B) Chief Accounting Authorities (Secretaries)
- C) Comptroller and Auditor General
- D) Prime Minister’s Office
Show Answer
Correct Answer: B) Chief Accounting Authorities (Secretaries)
3. For which specific Ministry are Appropriation Accounts prepared and signed by the Chairman, Railway Board, as per Rule 88 of the General Financial Rules, 2017?
- A) Ministry of Defence
- B) Department of Posts
- C) Ministry of Railways
- D) Ministry of Finance
Show Answer
Correct Answer: C) Ministry of Railways
4. The Union Government Appropriation Accounts (Civil) are annually prepared by consolidating individual accounts by which authority, according to Rule 88 of the General Financial Rules, 2017?
- A) Principal Accounts Officers
- B) Chief Accounting Authorities
- C) Controller General of Accounts
- D) Parliament Secretariat
Show Answer
Correct Answer: C) Controller General of Accounts
5. Rule 88 of the General Financial Rules, 2017, explicitly excludes which of the following from the general procedure of Appropriation Accounts preparation by Principal Accounts Officers?
- A) Ministry of Finance
- B) Ministry of Railways
- C) Ministry of Health
- D) Ministry of Education
Show Answer
Correct Answer: B) Ministry of Railways
Frequently Asked Questions
What is the primary purpose of Appropriation Accounts under Rule 88 of the General Financial Rules, 2017?
Appropriation Accounts primarily show the accounts of actual expenditure against the grants and appropriations voted by Parliament, ensuring accountability for how public funds are utilized.
Are there any exceptions to the general process of preparing Appropriation Accounts as per Rule 88 of the General Financial Rules, 2017?
Yes, the Departments of Posts and Defence Services have their accounts prepared and signed by their respective Secretaries, while the Ministry of Railways’ accounts are prepared and signed by the Chairman, Railway Board.
Who ultimately consolidates the Appropriation Accounts for submission to Parliament under Rule 88 of the General Financial Rules, 2017?
The Controller General of Accounts (CGA) is responsible for annually consolidating the Appropriation Accounts of various ministries and departments into the Union Government Appropriation Accounts (Civil) for submission to Parliament.
Key Takeaways
- Rule 88 mandates the preparation of Appropriation Accounts to detail government expenditure against sanctioned grants.
- Principal Accounts Officers prepare these accounts, which are then signed by Chief Accounting Authorities (Secretaries).
- The Controller General of Accounts consolidates these accounts for submission to Parliament.
- Special provisions exist for the Departments of Posts, Defence Services, and the Ministry of Railways regarding who signs their accounts.
Conclusion
Rule 88 is fundamental to maintaining financial discipline and transparency in the Central Government. By clearly defining the roles and responsibilities for preparing, signing, and consolidating Appropriation Accounts, it ensures that public funds are accounted for rigorously and presented to Parliament for scrutiny, upholding the principles of good governance.