THE FUNNIEST OFFICE MEMORANDUM ISSUED BY THE FINANCE MINISTRY, GOI

On 17/07/2015, Department of Expenditure has issued an OM no.12(21)/E.Coord/2015 to its employees with the subject ‘Execss Expenditure Over Voted Grants’. This is not a new OM but it is being issued every year just before or during the Parliament session but never followed by anybody. I doubt whether those who are processing the OM itself is properly reading it or not.

It is simply quoting the Public Accounts Committee para 12 of its 36^th report on action taken by the government on their observations/recommendations contained in the seventh report (15^th Lok Sabha) on “Excess over Voted Grants and Charged Appropriations (2007-08) to the effect that no firm measures have been put in place by the Ministries/Departments concerned to avoid excess expenditure by the defaulter ministries. The OM also invited a reference to Rule 52(1) of the GFRs. The issue of such an OM is in vogue since the time GFR (General Financial Rules) came into existence. But who cares.

I had already written a book by name ‘A FRAUD IN THE INDIAN CONSTITUTION’ and published as an e-book (paper back is under printing) explaining how the Ministries in collusion with the Comptroller and Auditor General of India (CAG) is fooling the Parliament and thereby fooling the nation by accepting wrong audit objections by the ministry for remedial action and at the same time settling the genuine objections under the table (http://www.amazon.in/FRAUD-IN-THE-INDIAN-CONSTITUTION-ebook/dp/B00SQKTADY). In this book, I also dealt with in detail about this kind of casual type budgeting right from the lowest level of a section to the highest level Ministry.

Now the funniest part of the Office Memorandum: In this monsoon session of the Parliament, Finance Minister already prepared to seek approval for a supplementary Grant to finance a package to the public sector banks floating on the Non-Performing Assets (NPA). For more details, refer my earlier two blogs namely, ‘ROBBING THE POOR TO FEED THE RICH - THE GOVERNMENT WAY’ dated 18/06/2015 and “FINANCE MINISTRY AWARD TO ERRING BANKS’ dated 14/06/2015. In this background, my first question is whether the burden of NPA is a spontaneous incident noticed by the Finance Ministry after the last Budget session of the Parliament which necessitated for supplementary grant in the monsoon Session? If not, why it was not included in the Budget? When the Minister itself does not honour the rules and regulations, how they can control the subordinates? This is only one instance. Almost all supplementary requests if analysed would come to this category. Second question is, how many M.P.s are utilizing their grants fully or at least substantially during the financial year so that it is not lapsed?

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