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SINDH
LOCAL GOVERNMENT LOCAL FUND BUDGET RULES, 2001
SINDH, LOCAL GOVERNMENT (LOCAL FUND BUDGET) Rules 2001
NOTIFICATION
NO: SLGB/CAO/2001/7483. In exercise of the powers conferred under Section 191 sub section 1 of the Sindh Local Government Ordinance, 2001 read with item No.5 of Vth Schedule thereto , the Government of Sindh are pleased to make the following Rules:-
CHAPTER 1
PRELIMINARY & DEFINITIONS
1. Short title and commencement
1. These rules may be called Sindh Local Government (Local Fund Budget) Rules 2001.
2. They shall come into force at once.
2. In these rules the context otherwise requires, the following expressions shall have the meanings hereby respectively assigned to them, that is to say-
a) “Appropriation” means the amount of the budget grant for a particular unit;
b) “Form” means the forms appended to these Rules
c) “Head” means a Head of Expenditure referred in sub-rule (2) of Rule 6;
d) “Ordinance” means the Sindh Local Government Ordinance 2001.
e) “Office” means a Office of the Local Government of a local area specified in Section 12 of SLGO 2001.
f) “Schedule” means a Schedule of Budget Rules.
g) “Sub-head” and “Unit” respectively means a Sub-Head or unit expenditure referred to in sub-rule (2) of the rule 6;
h) “Unforeseen Expenditure” shall include expenditure for which no specific head of expenditure is provided in the budget.
i) “Volume” means a Volume of Budget.
j) “Revised Estimate” means estimates of the receipts & expenditure for the current financial year based on the transactions already undertaken and anticipations for the remaining period of the financial year.
3. Volume of the budget.
The budget shall extend over two volumes namely Volume 1 and Volume II.
4. Volume – I shall comprise -
a) Estimate of Revenue;
b) Estimate of Expenditure;
c) Statement of the Demands for grants;
d) Financial Abstract;
e) Schedule of new Expenditure
f) Schedule of Development Expenditure;
g) Schedule of Charged Expenditure;
h) Schedule of Establishment;
i) Schedule of Contingencies;
j) Schedule of Works;
k) Schedule of Liabilities;
l) Schedule of Arrears;
m) Schedule of Miscellaneous Funds; and
n) Schedule of Taxes.
a. Estimates of Revenue:
1) The Estimates of Receipts shall be in Form B-1 and shall provide for the budget estimates for the ensuing year, the revised estimates for the current year, the sanctioned estimate for the current year and the actual figures for the preceding year.
(1) The Items of income specified in Form B-1 may be adopted, modified, replaced, or new item introduced according to the requirements of the Local Government of area.
b. Estimates of Expenditure:
1) The Estimates of expenditure shall be in Form B-2 and shall provide for the budget estimates for the ensuing year, the revised estimates for the current year, the sanctioned estimates for the current year, and the actual figure for the preceding year.
(2) Every Office shall form a head of Budget and every head shall be divided into a number of sub-Head and every sub head into units as shown in Form B-2 or in such other manner as may be specified by the council to suit its requirements.
(3) A provision shall be made in the estimates of expenditure against each unit and such provision shall be referred to as an appropriation.
c. Statement of Demands for Grant:
The Statement of the Demand for grant shall be in Form B-3, wherein a demand for grant shall be raised for each sub-head.
d. Financial Abstract:
The Financial Abstract shall be in Form B-4, and shall contain such statistical data of the council from time to time, specify with a view to giving a clear picture of the financial operations and principal activities of the Local Government.
e. Schedule of New Expenditure:
The Schedule of New Expenditure shall be in Form B-5, and shall provide for the details about each item of new expenditure included in the budget.
f. Schedule of Development Expenditure:
The Schedule of Development Expenditure shall be in form B-6, and shall provide for the details about each item of development expenditure in the context of development plan of the council included in the budget.
g. Schedule of Charged Expenditure:
The Schedule of Charged Expenditure shall be in Form B-7, and shall provide for the details about item of charged expenditure included in the Budget.
h. Schedule of Establishment:
The Schedule of Establishment shall be in Form B-8, and shall furnish necessary particulars about the establishment and establishment charges under various sub-Heads.
i. Schedule of Contingencies:
The Schedule of Contingencies shall be in Form B-9, and shall contain a detailed break-up of the estimates of Contingencies under various sub-Heads.
j. The Schedule of Works:
The Schedule of Works shall be in Form B-10, and shall contain a detailed break-up of various works provided under various sub-Heads, and it shall be divided into two sections, the first section, containing necessary particulars about the works pertaining to repairs and maintenance, and the second section containing necessary particulars about all original works.
k. Schedule of Liabilities:
The Schedule of Liabilities shall be in Form B-11 and shall contain estimates of the liabilities of the previous year proposed to be met during the ensuing year.
l. Schedule of Arrears:
The Schedule of arrears shall be in Form B-12, and shall furnish all particulars about the arrears under various items of income and estimates of revenue under various items likely to be realized on account of arrears, and included in the estimates of income.
m. Schedule of miscellaneous funds:
The Schedule of miscellaneous funds shall be in Form B-13, and shall furnish all particulars about the opening balance, income expenditure and closing balance with regard to suspense accounts; depreciation funds provident fund accounts, investments and other funds maintained by a council.
n. Schedule of Taxes.
The Schedule of Taxes shall be in Form B-14, and shall contain a digest of the various taxation proposals prepared in accordance with Sindh Local Government (Local Fund Imposition of Taxes) Rules 2001.
5. Volume II:
Volume II shall consist of the Explanatory memorandum to explain the provisions contained in the Estimates and the Schedule.
Explanatory Memorandum:
The Explanatory memorandum shall be divided into parts and each part shall deal with one Estimate, statement, or schedule.
a. Explanation of Estimates of Revenue:
While explaining various provisions in the Estimates of Revenue, the Explanatory memorandum shall review the various sources of income how for such sources are productive or otherwise to what extent such sources have been exploited and can still be exploited and the problem arising with regard to each item of income, and the manner in which such problems are proposed to be tackled.
b. Explanation of Estimates of Expenditure:
While explaining various provisions in the Estimates of Expenditure, the Explanatory Memorandum shall among other matter review the principal activities of the council under various fields indicating the performance targets already achieved and proposed to be achieved in the ensuing year.
c. Explanation of Statement of Demand for grants:
While explaining the Statement of the Demands for grants such points as need special notice of the council shall be indicated and explained.
d. Explanation of the Financial Abstracts:
While explaining the financial abstracts, the Explanatory Memorandum shall contain a general review of the finances of the council and this may include such graphs, charts, and diagrams as may be necessary to illustrate.
e. Explanation of the Schedule of new Expenditure:
While explaining the provision in the Schedule of New Expenditure, each item of new expenditure shall be numbered, and full particulars shall be given about the history of the case the expenditure involved, the justification for the proposed expenditure, and the receipts if any.
f. Explanation of the Schedule of Development Expenditure:
While explaining the provisions in the Schedule of Development Expenditure, the explanatory memorandum shall review the Development Plan of council extent to which such plan has already been executed and the extent to which it is proposed to be executed in the ensuing year. The development expenditure shall be prioritized in the light of Section 119 of SLGO 2001.
g. Explanation of Charged Expenditure:
While explaining the provisions in the Schedule of Charged Expenditure, each item of Charged Expenditure shall be numbered, and full details shall be furnished about each item.
h. Explanation of the Schedule of Establishment:
While explaining the provision in the Schedule of Establishment, full details shall be furnished about the staff employed under various branches and where new establishment is proposed to be employed during the ensuing years full justification thereof shall be given.
i. Explanation of the contingencies:
While explaining the provision in the Schedule of the Contingencies, full details shall be furnished for justification of Expenditure on various items of contingencies with particular reference to new items and such items on which expenditure is proposed to be increased.
j. Explanation of Schedule of Works:
While explaining the provision in the Schedule of work, each work shall be numbered, and full particulars shall be furnished about the justification for each work, the probable cost, the period during which it will be executed, the manner in which it will be financed the agency through which it will be executed, and the likely benefits to accrue from the execution of the works.
k. Explanation of Schedule of Liabilities.
While explaining the provision in the Schedule of Liabilities, each item shall be numbered, and full details shall be furnished about each item.
l. Explanation of Schedule of Arrears:
While explaining the provision in Schedule of Arrears, each item shall be numbered and full details shall be furnished for each item including the reasons for the accumulation of arrears, and the steps proposed to be taken for recovery of the arrears.
m. Explanation of Schedule of Miscellaneous funds:
While explaining the provisions in Schedule of miscellaneous funds, each fund shall be numbered, and full details shall be furnished about each fund.
n. Explanation of Schedule of Taxes:
While explaining the Schedule of Taxes each tax shall be numbered, and full particulars shall be furnished about each tax and financial implications thereof.
CHAPTER II
PRINCIPLES OF BUDGETING
6. Basis for preparation of estimates of revenue;
(1) Estimates of Revenue in the Budget shall be as accurate as possible, and shall neither be inflated, nor under – pitched.
(2) In preparing the estimates the receipts under provision of Section 111(2) of SLGO 2001 and various economic factors regulating receipts and other relevant facts shall be given due consideration.
7. Receipts on account of Government Grants or other contributions:
No fresh receipt on account of Government grant or contribution by any other authority shall be shown in the estimates on the revenue side except those as provided in Section 111(2) of SLGO, 2001.
8. Receipts on account of tax, fee etc. Revenue Income margin:
No receipt shall be shown in the estimates on the revenue side on account of any tax, fee, charge or other levy unless such tax, fee, charge or other levy has been sanctioned by the competent authority.
9. Revenue Income during any year shall be the total income excluding the income from capital receipts and the receipts from arrears.
10. Capital receipts shall mean the income from:
a) the sale of immovable property;
b) the disposal of capital assets;
c) the sale of investments;
d) the Loans, arrears; and
e) the Grant and other receipts of a non-recurring nature.
11. Revenue Expenditure;
1) Revenue Expenditure during any year shall be the total expenditure including the development expenditure, the capital expenditure not included in the development expenditure and the expenditure to meet liabilities.
2) The rise in Revenue Expenditure during any year shall not exceed the corresponding rise in revenue income, and additional liabilities on account of revenue expenditure shall not be undertaken unless the sources of income are developed in the first instance to meet such expenditure.
12. Capital Expenditure;
Capital expenditure shall mean the expenditure for:-
a) acquisition of immovable property;
b) execution of original works;
c) purchase of investments;
d) acquisition of capital assets; and
e) any grant or contribution of non-recurring nature.
13. Prohibition to divert Capital receipts;
Except with the sanction of the council no capital receipt shall be diverted to meet expenditure on the revenue on account.
14. Earmarking of receipts on the Government instructions;
Local Government may, and if required by Government, shall earmark any receipts for expenditure on specified items, and if any items are earmarked, the receipts therefrom shall not be diverted to meet expenditure on any items other than the items for which such receipts are earmarked.
15. Allocation of percentage of revenue income;
1) Local Government may, from time to time, and if required by Government shall specify the percentage of the revenue income which shall be allocated to various Offices for the purpose of revenue expenditure, and where such percentage has been fixed the estimates of revenue expenditure shall be based on such percentage.
2) Local Government may, in the light of Section 109(10) of SLGO, 2001 shall, fix the percentage of the revenue income beyond which the total expenditure on establishment on revenue account shall not exceed and where such expenditure has been fixed, the expenditure on establishment on revenue account shall not exceed such percentage.
16. Earmarking of revenue income for development expenditure;
Local Government may from time to time fix the percentage of revenue income which shall be earmarked for development, and the allocation out of the revenue income for development expenditure shall not fall below such percentage.
17. COMMERCIAL SERVICE:
Local Government may, from time to time, and if required by Government shall declare any service to be commercial service and where a service is so declared the revenue expenditure for such service shall not be exceed the revenue receipts there from.
18. Development Expenditure:
1) Development Expenditure shall mean-
a) the expenditure on a Development Plan;
b) the expenditure for an original work;
c) any expenditure declared by Government to be development expenditure; and
d) the expenditure for new Service or an expansion in an existing service.
2) The development expenditure shall be provided in accordance with the provisions of the Development Plan and no development expenditure shall be provided in the Budget which has not been provided in the Development Plan. The Development Budget shall prioritize in the light of Section 119 of SLGO, 2001.
19. Maintaining accuracy in estimates:
1) The estimates of expenditure shall be framed as accurately as possible and shall as far as possible be based on the principle of certainty and not on the principle of probability.
2) All items of expenditure that can be foreseen shall be provided for after taking care that the amount of provisions is restricted to the absolute minimum requirements.
3) The estimates shall be based on the revised estimates of the current year after scrutinizing fully and carefully in the context of all relevant factors.
4) No item for expenditure shall be included in the estimates without proper consideration and an exhortation of foresight under sub-rule (2) shall not be construed as an invitation to provide for new items of expenditure without proper consideration.
5) All items of expenditure shall at the time of framing of the estimates be reviewed, and such economy as maybe possible shall be made.
20. Balanced/deficit budget:
1) The surplus potential of the council for a year shall be the excess of revenue income over revenue expenditure, and where there is no surplus potential the budget will not be balanced.
2) The budget of council shall as far as possible be balanced and the revenue and development expenditure shall not exceed the revenue and capital receipts of council but where a deficit budget is unavoidable, the fact shall be brought to the notice of the Government by the 1st day of May.
3) Where the Revenue Budget of council can not be balanced Government may direct a special study of the finances of the council and as consequences of such study require the council to take such action for the improvement of its finances as may be specified.
21. Performance Budget:
The Budget shall as far as possible be a performance budget and it shall make due provision to ensure that the standard of performance in the various activities of the council rise progressively and is not allowed to fall or deteriorate.
22. New Expenditure:
1) 1 The Schedule of New Expenditure shall provide for the following types of expenditure that is to say:-
a) Expenditure relating to a new service
b) Increased expenditure as a consequence of the re-organization or addition to any existing service.
c) Expenditure on Grants and Contribution to be made for the first time;
d) Expenditure on original works; and
e) any other expenditure which is declared by Government to be new expenditure for the purpose of these rules.
2) All items of new expenditure shall be scrutinized with the due care before they are included in the Schedule of New Expenditure, and in scrutinizing the following principles shall be kept in views that is to say-
a) The council shall concentrate on the performance of functions as provided in relevant sections of SLGO, 2001
b) The proposals for new expenditure shall be formulated on the basis of priority after taking stock of the overall requirements of the council in various Offices
c) Preference shall be given to development requirements and new expenditure on revenue account shall as far as possible be kept at the minimum possible level; and
d) With reference to development projects preference shall be given to such projects, which do not involve a recurring cost.
3) While providing for a piece of new expenditure administrative difficulties and delays shall be kept in mind and amount shall be provided which is likely to be spent during the course of the year.
23. Charged Expenditure.
The schedule of charged Expenditure shall comprise of all items of expenditure as are notified by Government.
24. Expenditure on establishment:
1) For the purpose of the schedule of Establishment, the establishment provided for under a sub-Head shall be divided in to categories, each category comprising of officials in the same grade of pay.
2) The estimates shall be prepared for each category and shall specify the number of posts in each category, and the scales of pay and other particulars about the officials included in the category, and the manner in which the estimates are worked out shall be explained in the Explanatory Memorandum.
3) In framing estimates for the sanctioned establishment whether permanent or temporary, the pay including increments and allowances which are likely to be drawn by persons on duty during the year shall be provided for but no provision shall be made for appointments to be held in abeyance or for those who are on deputation or absent in the other way and are unlikely to return to the strength with in the year.
4) The expenditure for the establishment working in various Office shall be provided Office-wise and Branch-wise under the sub-head Local Government Secretariat” under the Head “General Admn.” And the establishment for field services shall be provided for under the respective Offices.
25. Charge for Contingencies:
1) The estimate under contingencies shall, unless otherwise provided, include all charges for establishment and the charge for execution of works.
2) Estimates for fluctuating items of expenditure under contingencies shall be based on the allotment for the current year viewed in the light of the average of the past three years actual and allowances made for cause likely to modify the figure, and any excess over the current budget shall be explained in the Explanatory Memorandum.
26. Expenditure of Works:
1) No original work shall be included in the estimate unless such work has been administratively approved by the competent authority.
2) While giving particulars about original works in the Schedule of Works the works in progress shall be distinguished from the new works and in estimating the amount required for works in progress during the ensuing year, due allowance shall be made to ensure that there is no rush of expenditure during the last month of the current year, and the unspent grant for such works are carried forward to the next year.
27. Prohibition for lump-sum provision without explanation:
No lump-sum provision the details where of can not be explained shall be made in the estimates, nor shall any provision be made for an item which can not be classified.
28. Rounding Off:
All estimates on the income and expenditure side shall be rounded to the nearest hundred and the figures below rupees fifty shall be disregarded and figures of rupees fifty or above shall be entered as a hundred.
CHAPTER – III
PREPARATION, AUTHENTICATION AND PUBLICATION OF THE BUDGET
29. Preparation of Budget Proposals:
1) The Finance Office shall be responsible for the preparation of the budget for the enforcement of the provision of these rules.
2) On or before the first day of February each year, the Heads of Office shall forward their budget proposals to the Finance Office.
3) The Budget proposals shall, subject to such adjustment as may be necessary to suit the requirements of the Office, be in the forms specified in Chapter-ii.
4) The Budget proposals shall be based on the actual of the first six months of the current year, and shall be formulated in accordance with the principals laid down in Chapter-II, and such instructions as the Finance Office may issue in this behalf from time to time.
30. Scrutiny/modification and printing of budget estimates:
1) All budget proposals received under rule-58(2) shall be scrutinized by the Finance Office and forwarded to Nazim.
2) The budget proposals shall be presented to Nazim in the month of March every year who may make such recommendations for their modification as he may deem necessary.
3) As soon as the Second Statement of Excess and Surrenders has been received from Office under Rule 73(1) (b), the Finance Office shall review the estimates and formulate such proposals for the modification of the estimates as may be necessary in the light of such excess and surrenders.
4) As soon as may be, the Nazim shall consider:-
a) the recommendation of the Finance Office;
b) proposals for the modifications of the estimates as forwarded by finance Office and pass such orders as may be necessary.
5) As soon as may be after the passing of the orders under sub-rule (4), the Finance Office shall modify the estimates and incorporate in the Explanatory Memorandum.
6) The budget as modified and completed under sub-rule (5) shall, unless otherwise directly by the council of Local Government be printed.
31. Copy of the Budget shall be furnished to members and budget so prepared shall be placed before council for approval as required under Section 67 (III) and Section 88 (a) of SLGO 2001.
32. Forwarding a copy of the Budget to District Government and Government:
The TMO/TO/Secretary UC shall forward a copy of the budget as approved by the TMA/TC/UC to the District Government and Government with in seven days for information.
33. Collecting Officer and Assistant Collecting Officer:
1) The T.O (Finance) shall be the Collecting Officer for the purpose of all items of revenue.
2) Local Government may, from time to time, specify the Assistant Collecting Officers for the purpose of various items of income and where as Assistant Collecting Officers is not under the administrative control of the Finance Office he shall be responsible to TMO.
34. Disbursing Officer and Assistant Disbursing Officer:
1) Every Head of Office shall be the Disbursing Officer for the purpose of the grants sanctioned for his Office.
2) Local Government may, from time to time, declare any officer to be an Assistant Disbursing Officer for the purpose of the Grant sanctioned for a Sub-Head and even Assistant Disbursing Officer shall be responsible to the Head of his Office for the purpose of all disbursement.
3) A Disbursing Officer or any Assistant Disbursing Officer may with the approval of the Nazim delegate his powers under these rules to any officer subordinate to him.
CHAPTER – IV
ENFORCMENT OF THE BUDGET AND PREPARATION OF
SUPPLEMENTARY GRANTS
35. Communication of the Estimate of income to the Collecting officers:
The Finance Office shall by the first day of July, communicate to the Collecting Officers and Assistant Collecting Officers, the estimates of the Income under various items of receipts of the budget authenticated under Rules 59(5) and Expenditure to the Nazim for information.
36. Revenue Collection Programme:
The T.O (Finance) may, from time to time, and with the approval of the Nazim frame a revenue collection programme in Form B-15, setting up the targets for collection during specified periods and the collection programme in Form B-15, setting up the target for collection during the year Assistant Collecting Officer shall, as far as possible follow the programme.
37. Duties of Assistant Collectors:
It shall be the duty of the Assistant Collecting Officer to see that:-
a) all income claimable is claimed realized and credited in the Local fund, and
b) all work of collection proceeds are in accordance with the revenue collection programme under Rule 65, if any.
38. Revenue Collection Statement:
All Assistant collecting officers shall forward to the finance Office by the 7th day of every month, a revenue collection statement in form B-16 .
All revenue Collection Statements shall be scrutinized by the Finance Office which may, with the approval of the Nazim make such observations thereon as may be necessary.
39. Communication of the Sanctioned Demands:
The Finance Office shall, by the first day of July, communicate to the Head of Offices and the Disbursing Officers, the sanctioned demands for grant under various sub-heads, and the appropriation for various units under each sub-head as are in the authenticated budget.
40. Reserves and other Specified items:
The provision against the reserves and against such other items as may be specified by Nazim shall be kept at the disposal of Finance Office.
41. Appropriation:
1) All appropriation against each item shall cover all the charges including the liabilities of past years to be paid during the year and to be adjusted in the accounts of the year.
2) An appropriation against an item shall be operative till the close of the financial year and any unspent balance lapse and shall not be available for utilization on the following year except the development funds placed to community development/village council as required under Section of SLGO 2001.
42. Responsibility of Disbursing Officers:
1) Every Disbursing Officer shall be responsible for watching expenditure incurred against supply communicated to him.
2) No expenditure shall be incurred without necessary appropriation or in excess of the sanctioned appropriation.
3) No money shall be spent hastily or in any ill considered manner simply because it is available.
4) Expenditure shall be watch and controlled not with a view to adopting the appropriations to the expenditure but the expenditure to appropriations.
43. Statement of Disbursement:
1) Every Head of Office shall forward to the Finance Office by the seventh day of every month a statement of Disbursement in Form B-17.
2) All statements of disbursement shall be scrutinized by the Finance Office which may with the approval of the Nazim communicate such observations there on as may be necessary to the Office concerned.
44. Statement of Excess and Surrender:-
1) Every Head of Office shall forward to the Finance Office in Form B-18.
a) The first statement of excess and surrender by the seventh day of January, and.
b) The second statement of excesses and surrender by the seventh day of March.
2) When owing to unforeseen causes, and due to over budgeting it is not possible to utilize in full or in part the provision included in the estimates for a specific object, the amount involved shall be surrendered through the statement of excess and surrenders.
3) The Finance Office shall scrutinize the statement of excess and surrender and where an amount is surrendered the Finance Office shall, with the approval of the Nazim incorporate such reduction in the statement of appropriation and supplementary grant under Rule 76.
4) Application for grant of additional funds shall be made by the respective Office in form B-19 and shall be forwarded to the finance Office.
5) When an excess is uneducated in the statement of excesses and surrenders, the Finance Office shall scrutinize the application and with the approval of the Nazim.
a. for reasons to be specified, refuse to allot the additional funds, or
b. agree to the allotment of additional funds to such extent as may be specified.
45. Proposals for Inclusion of Surrendered amount in the Budget:
If the Head of Office desires that the whole or a part of the amount surrendered under Sub Rule (2 ) of Rule 73, shall be passed in the form of a Grant in the estimates of the following years. He shall include such provision in the budget proposals which have already been forwarded a supplementary proposal shall be forwarded to the Finance Office, but this shall not be later than the seventh day of March.
46. Consequence of Refusal:
Where the Finance Office refuses to allot additional funds under Rule 73, such refusal shall be communicated to the Office concerned, who shall take steps to ensure that the expenditure against the item in question does not exceed the original allotment.
47. Re-appropriation and Supplementary grants:
1) Additional funds to meet an excess may be provided by
c. re-appropriation; or
d. supplementary grant
2) Re-appropriation means transfer of funds from one unit to another to meet excess expenditure anticipated under a Unit.
3) Supplementary grant means additional funds provided under a Unit or a Sub-Head by process other than of re-appropriation.
4) As soon as may be after the scrutiny of the first Statement of Excess and Surrenders as the case may be Nazim shall present to the council statement of Appropriation and Supplementary Grants in Form B-20.
5) Any re-appropriation or supplementary grant shall be made during the course of the financial year and not after its expiry, and shall be considered by the council in the same manner as the budget.
6) Whenever any statement of re-appropriation and supplementary grants is sanctioned the Nazim shall cause the budget to be amended in the light of such statement, and the modified provisions shall be communicated to the Office concerned.
CHAPTER – V
BUDGET REVISION AND BUDGET CONTROL
48. Review of Reports by Finance Office:
1) The Finance Office of the Local Government shall from time to time review the operations of the budget and bring to the notice of the Nazim such financial irregularities in the administration of the budget as may come to its notice.
2) The reports made by Finance Office shall be considered by the Nazim who shall take steps as may be necessary to remedy the financial irregularities, if any.
49. FINANCIAL IRRIGULARITIES
1) For the purpose of this chapter, a financial irregularity shall include:-
a) any expenditure incurred without sanction;
b) any expenditure incurred without sufficient appropriation;
c) any expenditure incurred without proper justification;
d) any extravagance or waste of fund of the council;
e) any case of loss of money due to fraud; neglected, or misappropriation
f) any breach of the provisions of these rules.
2) The Local Government shall take such steps as may be necessary to remedy the financial irregularities pointed out under this chapter.
3) Where due to the lapse of time or any other unavoidable cause, any financial irregularity can not be remedied. Council may for reasons to be recorded condone such financial irregularity.
50. Relaxation of Rules:
Government may relax any of the provisions of these rules with reference to all / any of the Local Government.
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