Duties and responsibilities of a Drawing Disbursing Officer

Duties and responsibilities of a Drawing & Disbursing Officer PRESENTED BY: SIB SANKAR BANIK, W. B. A&A. S INTERNAL AUDIT OFFICER, FINANCE (INTERNAL AUDIT)DEPARTMENT GOVERNMENT OF WEST BENGAL MOB: 8926225065 MAIL ID: sibsankar. banik 40@gmail. com

Meaning of D. D. O : As per rule 1. 04 of WEST BENGAL TREASURY RULES D. D. O means “Drawing and Disbursing Officer” means a Group A Government employee of an establishment who is authorised by the concerned administrative Department with the concurrence of the Finance Department to draw money from the Government Account and disburse the same for the purpose for which it has been sanctioned. A Drawing and Disbursing Office ( DDO) plays a very important role in the financial administration of the state Government. It is the DDO who draws money from the Treasury or deposit collection into the treasury.

Duties and responsibilities of a Drawing & Disbursing Officer (1) Every Government officer shall exercise the same vigilance in respect to petty contingent expenses as a person of ordinary prudence may be expected to exercise in spending his own money. (2) The Drawing and Disbursing Officer shall ensure that– (a) The rules regarding the preparation of bills are observed, (b) The money is either required for immediate disbursement or has already been paid from the permanent advance, (c) The expenditure is within the available allotment of funds, In big establishments and offices the function of DDO is discharged by Officers from the West Bengal Audit & Accounts Service having specialized knowledge in this matter. But there are many other big and important offices where the DDO function is discharged by officers of the Department.

Duties and responsibilities of a Drawing & Disbursing Officer • They are already burdened with their normal works of a Doctor , Engineer, inspector etc. Usually they apply minimum check and sign bills and books of accounts as and when produced. Here lies the importance of little bit of training for all who function as DDO.

Duties and responsibilities of a Drawing & Disbursing Officer D. D. O should maintain the following registers: (i) Bill register, (ii) Bill Transit Register, (iii) Cash Book, (iv) Subsidiary Cash Book, (v) Service Postage Stamp Register, (vi) Stock A/C of D. C. R. Books, (vii) Register of Advances drawn and adjustment there of etc. There is a misconception among the DDO’s that as the bills are passed by the Treasury the responsibility of drawal of fund lies with the Treasury. Of course, the Treasury Officer is responsible for the fund released by him as provided in T. R Para 4. 014 of treasury Rules, 2005.

Procedure for Specimen Signature: Every Head of Office should furnish to the concerned Treasury Officer his specimen signatures duly attested by another officer whose specimen signature is already available to them. If Head of Office authorizes a subordinate officer to function as DDO, he should forward the DDO’s specimen signature duly attested. When DDO hands over charge to another DDO he has to forward the specimen signatures of the new incumbent duly attested by him. In all cases, the specimen signatures may be obtained in triplicate on a separate sheet, duly attested by HOO/ superior officer.

Duties and responsibilities of a Drawing & Disbursing Officer But T. O’s negligence does not relieve the DDO from his responsibility once the bill has been preferred by him. • Computerization and DDO: We all know that the Treasuries in West Bengal are fully computerized. The present concept is that a data will be entered in computer only once in respect of a bill or deposit made by the DDO

Duties and responsibilities of a Drawing & Disbursing Officer • The data entered above will be used by other agencies like T. O, DTA, A. G(A&E), W. B for preparation of monthly account of the Treasury, of the State and other MIS reports by the various Departments. • All information from DDO Code, Head of Account, allotment, name of recipient etc. will be entered on the basis of information provided by the DDO. So, utmost care should be taken to provide the treasury with correct informations.

Duties and responsibilities of a Drawing & Disbursing Officer • DDO: - It hardly matters how a new DDO is allowed to function with a treasury because you are either a DDO or representing a DDO. But when new offices are opened , the administrative Department authorizes a Group- A Officer to function as DDO and forward the approval order with 4 sets of specimen signature to A. G(A&E) for acceptance and approval and to inform the T. O accordingly.

Duties and responsibilities of a Drawing & Disbursing Officer • A DDO code is allotted by the T. O only after the approval is received from the A. G (A&E). (4. 018&4. 019 of WB Treasury Rules). • It is also to be noted that a DDO is allowed to operate with a particular Treasury only.

Duties and responsibilities of a Drawing & Disbursing Officer • New Head of Account: • Some times new head of account is opened during the financial year. Fund is allotted to the DDo for drawal of money by placing bill. But such bill can not be accepted by the Treasury until such head of account is entered in the system by the DTA on the basis of order of Admn. Deptt. ’s order accepted by the AG.

Duties and responsibilities of a Drawing & Disbursing Officer • General Instruction regarding drawal of bill ( Para 4. 025): -- • The important instructions are: 1. Bills should be presented to treasury through Bill transit register supplied by the Treasury Officer. ( 4. 021). Standard form supplied by the T. O. is to be used.

Duties and responsibilities of a Drawing & Disbursing Officer • 2. Bill should be presented to the Treasury using proper form. Otherwise the same will not be accepted by the T. O. • 3. Bills shall be filled in and signed in indelible ink or ball point pen. The amount of the bill shall be written in words as well as in figure. Fraction of rupee shall be rounded to the nearest rupee. The word “only” shall be written after the amounts in words leaving no space for interpolation.

Duties and responsibilities of a Drawing & Disbursing Officer • 4. DDO code , Demand No Department code with full classification of head of account shall be recorded by the DDO. Separate bill shall be prepared for separate head of account. Example : • DDO Code: NPGHMA 001, Demand No 42, • Departmental Code: HR, • Head: 2070 -00 -005 -NP-001 -V-01 -01

Duties and responsibilities of a Drawing & Disbursing Officer • 5. Erasure and overwriting are forbidden. Corrections shall be attested by the DDO with his dated initial. 6. Charges against two or more major, minor, scheme or detail heads shall not be included in same bill.

Duties and responsibilities of a Drawing & Disbursing Officer • 7. Contractor’s bill , cash memo and other bills produced as sub vouchers shall be passed for payment by the DDO. • 8. A note to the effect that the bill is below the specified amount expressed in whole rupee shall be recorded on the body of the bill.

Duties and responsibilities of a Drawing & Disbursing Officer • 9. The office copy and the fair copy have been compared and found to be agreed and the amount claimed in the bill have not been drawn earlier shall be certified on the body of the bill by the DDO. Income Tax and other statutory taxes shall be deducted in the bill.

Duties and responsibilities of a Drawing & Disbursing Officer • Checks applied by the Treasury: 1. That the bill is in proper form and preferred by the authorized DDO through BTR. 2. The allotment is sufficient to cover the amount claimed in the bill. 3. The claimed has been sanctioned by the proper authority and supported by valid sub-voucher.

Duties and responsibilities of a Drawing & Disbursing Officer 4. The arithmetical calculation is correct and has been duly receipted. Precaution to be taken in respect of drawal of pay bill: . 1. Full description of head of account must be noted on the body of the bill.

Duties and responsibilities of a Drawing & Disbursing Officer 2. In case of first appointment , certificate in respect of receipt of satisfactory report of medical fitness is to be recorded. In case of transfer LPC will have to be furnished [4. 081(6) of WBTR, 2005. ]. T. O shall verify the appointment letter, availability of vacant sanctioned post etc.

Duties and responsibilities of a Drawing & Disbursing Officer 3. In case of transfer pay of two incumbents may be drawn against a post for one month. 4. 081(5). 4. DDO shall obtain and verify HRA declaration of the incumbent in January and July every year and record necessary certificate on the body of bill.

Duties and responsibilities of a Drawing & Disbursing Officer 5. DDO shall arrange for deduction of Income Tax from the very beginning of the financial year calculated on the basis of projected receipt. The DDO is also required to file Quarterly statements of TDS for periods ending 30 th June, 30 th September, 31 st December and 31 st March of each financial year, duly verified to the Director General of Income Tax (systems) or M/s National Securities Depository Ltd. (NSDL). These statements are required to be filed on or before in 15 th July, 15 th October, 15 January in respect of the first three quarters of the financial year and 15 th June following the last quarter.

6. Deduction of GISS 1987. This scheme starts from November each year if any employee joins in the service other than in the month of November. Only Insurance fund of the employees in the category he/she belongs shall be deducted up to October and both insurance Fund and savings Fund shall be deducted from the month of November as per category ( A, B, C, D) he/she belongs. In case of change of pay /category due to implementation CAS the same analogy shall be applied.

Duties and responsibilities of a Drawing & Disbursing Officer 7. G. P. F deduction shall start after one year of appointment. The contribution shall stop 3 months prior to retirement. Deduction of G. P. F. in case of employment of Govt. employees arrangement shall be made to obtain G. P. F. No. from A. G. , W. B. (P. F. section) for categories of A, B, C with in 12 months from the date of His/her joining. In case of Group – D employees local Head of Office in empowered to allot G. P. F. No.

Duties and responsibilities of a Drawing & Disbursing Officer Responsibility of DDO as laid down in Para 4. 121 of WB Tr. Rules. Every Government Officer shall exercise the same vigilance in respect to petty contingent expenses as a person of ordinary prudence may be expected to exercise in spending his own money. The DDO shall ensure that

Duties and responsibilities of a Drawing & Disbursing Officer a) The rules regarding preparation of bills are observed. b) The money is either required for immediate disbursement or has already been spent from the permanent advance. c)The expenditure is within the available funds.

Duties and responsibilities of a Drawing & Disbursing Officer d) All steps have been taken with a view to obtaining an additional allotment of fund if the original allotment of fund has either been exhausted or going to be exceeded e) The proposed expenditure does not cause any excess drawal over the allotted fund.

Duties and responsibilities of a Drawing & Disbursing Officer f) Amounts claimed is within the ceiling fixed by the Delegation of financial power Rules, 1977. g) Maintenance / Preservence of Acquitance rolls : DDO shall be attentive as regards preservance of all paid vouchers those are to be produced AG Audit Party /Internal Audit Deptt. or to Departmental officer, office-copies of Pay bills shall be kept in bound registers after verification by the Audit. DDO may require such voucher for preparation of due drawn statement incase of drawal of Arrear Pay and Allowances arising from CAS or implementation of ROPA Rules.

h) Submission of prompt reply on I. R. ’S : Received from A. G. W. B. , Department of Internal Audit. D. D. O. is responsible for early submission of broad sheet reply on audit paras raised in the I. R. Specific reply shall be submitted on each para instead of commenting “noted for future guidance”.

i) Action to be taken up on misappropriation / losses etc. : As soon as any loss is detected by way of theft / defalcation /misappropriation, the matter shall be reported to the immediate higher authority and also to the Finance Department and A. G. , W. B. where loss exceeding Rs. 200/-. To lodge F. I. R. with the police and pursue the police for investigation F. I. R. shall be so drafted that provisions under C. R. P. C. 409, 468, 420, 120 B, are covered taking together sec. 13 of prevention of Corruption Act, 1988. Detailed procedure shall be undertaken in terms of rules 39 – 42 of W. B. F. R. Vol-1. When negligence of duties is to be ascertained, disciplinary proceedings shall also be initiated apart from lodging F. I. R. in terms of classification, control and appeal rules, 1971.

Duties and responsibilities of a Drawing & Disbursing Officer Maintenance of Cash Book and different registers by the DDO: Maintenance of Cash Book is perhaps the most important and essential part of a Drawing and Disbursing Officer’s duties. The following guidelines may be followed in this respect:

Duties and responsibilities of a Drawing & Disbursing Officer 1) All monetary transactions shall be entered as soon as they occur. 2) Cheques and drafts shall be entered into Cash Book as soon as they are received. 3) The Cash Book shall be balanced and closed every day. The closing balance shall be written in figure and words and signed by the DDO.

Duties and responsibilities of a Drawing & Disbursing Officer There should be a cash analysis done by the cashier and checked by the DDO. 4) Erasures and overwriting are prohibited. Incorrect entries should be struck off and the correct one shall be written on it’s top.

Duties and responsibilities of a Drawing & Disbursing Officer 5). Cash shall be physically verified at regular interval. 6). Pages of Cash Book shall be machine-number and page counting certificate shall be given at the start of the cash book. 7). Temporary advance out of departmental cash should be avoided.

Duties and responsibilities of a Drawing & Disbursing Officer 8). Money received on behalf of the Govt. should be recorded in the cash book and deposited through T. R-7 in treasury link bank under appropriate head of account as early as possible. 9). No money shall be drawn unless it is required for immediate disbursement.

Duties and responsibilities of a Drawing & Disbursing Officer At least following books of account and registers that have to be maintained by the DDO 1. Cash Book 2. Bill Register 3. Bill transit register 4. Head-wise Allotment cum Appropriation register. 5. Group-D employees GPF register Gr. Insurance register.

Duties and responsibilities of a Drawing & Disbursing Officer 6. Register for Service Postage stamp 7. Register of Security deposits 8. Stock Book of various purchases made 9. Register of Advances drawn and adjusted. 10. Stock Book of Receipt Books

• Budget: • It is the responsibility of the DDO to send budget estimate to his Controlling officer positively by September every year. No. of sanctioned post, revised estimate for the current year and budget estimate for the next year will have to be prepared and sent to the controlling officer in triplicate.

• Responsibility of a DDO • A DDO shall be responsible for money placed until the satisfactory accounts has been rendered to A. G. • He should ensure that all the paid bills are “Paid & cancelled” • He should comply with the audit observation as early as possible.

• All the payments shall be disbursed to the proper payee or his authorised person. • No undisbursed cash shall be retained beyond three months and shall be deposited into treasury.

Action to be taken up on misappropriation / losses. : • As soon as any loss is detected by way of theft / defalcation /misappropriation, the matter shall be reported to the immediate higher authority and also to the Finance Department and A. G. , W. B. where loss exceeding Rs. 200/-. • To lodge F. I. R. with the police and pursue the police for investigation F. I. R. shall be so drafted that provisions under C. R. P. C. 409, 468, 420, 120 B, are covered taking together sec. 13 of prevention of Curruption Act, 1988. Detailed procedure shall be undertaken in terms of rules 39 – 42 of W. B. F. R. Vol-1. When negligence of duties is to be ascertained, disciplinaryproceedings shall also be initiated apart from lodging F. I. R. in terms of classification, control and appeal rules, 1971 as amended.

Duties and responsibilities of a Drawing & Disbursing Officer THANK YOU