Fund of Rs 25 cr to be held on behalf of LG
Nishikant Khajuria
JAMMU, Aug 27: The Government of Jammu and Kashmir today issued a Statutory Order making rules for the ‘Contingency Fund’ for the Union Territory to meet unforeseen expenditures on a new service not contemplated in the Annual Financial Statement or in excess of the provision for the service included in an Appropriation Act.
The Contingency Fund of Rs 25 crores for the Union Territory of Jammu and Kashmir shall be held on behalf of the Lt Governor of J&K by the Finance Department and the supplementary estimates for all expenditures so financed shall be presented to the Legislative Assembly.
A formal notification in this regard was issued today by Dr Arun Kumar Mehta, Financial Commissioner, Finance Department of J&K Government, in exercise of the powers conferred under sub section (3) of section 69 of the Jammu and Kashmir Re-organization Act, 2019.
Advances from the Fund shall be made for the purpose of meeting unforeseen expenditure, including expenditure on a new service not contemplated in the Annual Financial Statement and application for such advances from the Fund shall be referred to the Finance Department by the Administrative Department listing brief particulars for the additional expenditure involved, the circumstances in which provision could not be included in the Budget; the reasons why its postponement is not possible; the amount required to be advances from the Fund and the grant of appropriation under which supplementary provision will eventually have to be obtained.
As per the ‘Contingency Fund of Jammu and Kashmir Rules, 2020’, the supplementary estimates for all expenditures so financed shall be presented to the Legislative Assembly at the first session meeting, immediately after the advance is sanctioned. As soon as the State Legislative Assembly has authorized the additional expenditure by including it in any Supplementary Appropriation Act, such advances shall be resumed to the Fund.
In exceptional circumstances, when the supplementary estimates cannot be presented to the Legislative Assembly in the ensuing session, the same may be so presented at a subsequent session, explain the Rules.
Similarly, all advances sanctioned from the Contingency Fund to meet expenditure in excess of the provision for the service included in an Appropriation (Vote of Account) Act, shall be resumed to the Contingency Fund as soon as the Appropriation Act in respect of the expenditure on the service for the whole year, including the excess met from the advance from the Contingency Fund, has been passed.
An advance obtained from the Contingency Fund for the expenditure on ‘New Service’ during the (Vote on Account) period for which adequate provision exists in the Appropriation Bill for the year will stand resumed to the Fund as soon as the Appropriation Act for the whole year has been passed by the Legislative Assembly and assented by the Lt Governor.
As per the rules, a copy of the order sanctioning the advance and also a copy of the order resuming the advance shall be forwarded by the Finance Department to the Accountant General, Jammu and Kashmir. An account of the transactions of the Fund shall be maintained by the Finance Department as per the rules. Further, actual expenditure incurred against advances from the Contingency Fund shall be recorded in the account relating to the same detail as would have been shown if it had been paid out of the Fund.
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