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Government of Manipur ANNUAL REVIEW ON THE WORKING OF TREASURIES (2018-19) Government of Manipur OFFICE OF THE PRINCIPAL ACCOUNTANT GENERAL (A&E), MANIPUR Table of Contents Preface Part-I: Introductory ................................................................................................................................................................................ 1 1.1 Introduction.................................................................................................................................................. 1 1.2 Organisational Set-up.................................................................................................................................... 1 1.3 Position of Treasury Staff.............................................................................................................................. 1 1.4 Computerization............................................................................................................................................ 2 Part-II: Defects noticed during compilation and verification of accounts ............................................................. 3 2.1 Delay in receipt of Monthly Accounts........................................................................................................... 3 2.2 List of Wanting Vouchers from Treasuries ................................................................................................... 3 2.3 Non submission of Detailed Countersigned Contingent (DCC) bills against Abstract Contingent (AC) Bills..3 2.4 Outstanding Utilisation Certificates (UCs)..................................................................................................... 3 2.5 Personal Deposit Accounts............................................................................................................................ 4 2.6 GPF Accounts................................................................................................................................................. 5 2.6.1 Minus Balances...................................................................................................................................... 5 2.6.2 Non- submissions of Schedules/Challans in support of GPF temporary advance.................................. 5 Part-III: Defects and other irregularities noticed during Inspection of the District Treasuries, Sub-Treasuries and Directorate Office during 2016-17 .................................................................................. 6 3.1 Treasuries/Sub-Treasuries inspected during the year.................................................................................... 6 3.2 Outstanding paras of Inspection Reports………………………………………………………………………………………………….. 6 3.3 Accounts related Issues ................................................................................................................................. 6 3.3.1 Diversion/Parking of Funds..................................................................................................................... 6 3.3.2 Non-Credit of Lapsed Deposits ............................................................................................................... 7 3.3.3 Non deposit of Government money in the bank by the Treasuries ....................................................... 7 3.3.4 Incorrect Classification of Challans ......................................................................................................... 7 3.3.5 Discrepancies noticed in the maintenance of Gazetted Salary Register……………………………………………… 7 3.4 Pension related Issues .................................................................................................................................. 8 3.4.1 Excess payment of pensions.................................................................................................................. 8 3.4.2 Excess payment of pension due to payment at enhance rate............................................................... 9 3.4.3 Non submission of Statement of Pensioners not drawn pensions ....................................................... 10 3.4.4 Non-returning of both halves of PPOs................................................................................................... 10 3.4.5 Irregular payment of Provisional Gratuity............................................................................................. 10 3.4.6 Non maintenance of PPO/GPO Register................................................................................................ 11 3.4.7 Non maintenance of Register of political pensions............................................................................... 11 3.4.8 Non submission of Pension reports to the Accountant General............................................................ 11 3.5 GPF related Issues .......................................................................................................................................... 13 3.5.1 Less Subscription towards GPF............................................................................................................... 13 3.5.2 Incorrect Calculation of GPF Interest...................................................................................................... 13 3.5.3 GPF account of Grade IV......................................................................................................................... 13 3.6 Deficiencies in maintenance of New Pension Scheme (NPS)……………………………………………………………………. 14 3.7 Pay and Allowance related Issues................................................................................................................... 15 3.7.1 Overpayment of Pay and allowances..................................................................................................... 15 3.8 Service related Issues ..................................................................................................................................... 16 3.8.1 Irregularities in maintenance of Service Books ..................................................................................... 16 3.8.2 Maintenance of Leave Account.............................................................................................................. 17 3.9 Miscellaneous Issues ..................................................................................................................................... 18 3.9.1 Irregularities in maintenance of Cash Book............................................................................................. 18 3.9.2 Self-Cheque - irregularities thereof.......................................................................................................... 19 3.9.3 Non-reflection of transactions in the cash book...................................................................................... 19 3.9.4 Non inspection of Treasuries by District Collector................................................................................... 19 3.9.5 Irregular maintenance of Specimen signature of DDOs........................................................................... 20 3.9.6 Deficiency in maintenance of Stock Register............................................................................................ 20 3.9.7 Periodical reconciliation with DDOs......................................................................................................... 21 3.9.8 Non deduction of NPS.............................................................................................................................. 21 3.9.9 Wrong calculation of Income Tax for the staff......................................................................................... 22 3.9.10 Irregularities notice in Payment of Income Tax...................................................................................... 22 3.9.11 Irregular drawal of Transport Allowance................................................................................................ 22 Annexures: I. Treasury wise receipt of monthly accounts II. List of wanting vouchers III. Details of unadjusted AC bills IV. GPF Minus balances V. List of non-receipt of recovery schedules VI. Position of outstanding paras VII. Fund diverted to MH-8449 VIII. Unclaimed Deposits IX. Non deposit of money in the bank X. Misclassification of Head of Accounts XI. List of non returning of both halves of PPOs XII. Due and drawn statement of Smt. Thoibi Devi, Peon XIII. Cheques not reflected in Cash Book PREFACE Treasuries play a crucial role in the financial management of the State Government. Failure of the treasuries to observe the rules and regulations laid down by Government for their effective functioning will adversely affect the finance of the state. Inspection of treasuries conducted by my office is the mechanism through which we can derive assurance that the treasuries are organized and functioning in an appropriate manner and have the requisite internal control structure in place to ensure that accounts are free from material misstatements. The Annual Review on working of Treasuries in Manipur State is prepared by the office of the Principal Accountant General (A&E), Manipur, Imphal as per instruction contained in Para 20.17 of C.A.G.’s M.S.O (A&E) Vol.-I. The purpose of the review is to highlight the important and recurrent irregularities/deficiencies noticed in maintenance and submission of accounts and the functioning of the Treasuries/Sub-treasuries. Deficiencies observed during the inspection are
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