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Powers of General Managers of Indian Railways - (ACS 58)

GOVERNMENT OF INDIA
MINISTRY OF RAILWAYS
RAILWAY BOARD

No.F(X)II-2003/PW/10 

New Delhi, dt. 9/1/2004 

The General Managers, All Indian Railways
Including CLW, DLW, ICF, RCF & Rail Wheel Factory.
East Central Railway, Hajipur and
North Western Railway, Jaipur.
Metro Railway, Kolkata.
The General Manager (Const.),
N.F. Railway, Guwahati.
CAOs (Constn), All Indian Railways (except NF Railway)
The Director General, RDSO, Lucknow.
The General Manager,
Central Organisation for Rly. Electrification, Allahabad.
CAO, MTP/Mumbai, Chennai & Delhi.
CAO/Diesel Loco Modernization Works, Patiala and
COFMOW, New Delhi. 

Sub: Delegation of powers to General Managers-Revision of Annexure-II to Chapter V, Indian Railways Financial Code, Vol. I.

The powers of General Managers are laid down in Annexure-II to Chapter-V of the Indian Railways Financial Code, Volume-I. A revised version of these powers was last issued vide letter no.F(X)II-2001/PW/6 dt. 9/5/2001. These powers have been further liberalized/enhanced by Board from time to time. In supersession of all the circulars issued on the subject, a comprehensive list of powers in the form of Advance Correction Slip No. 58 is enclosed.

Please acknowledge receipt.

                                                                                                                                                                                                          (Sanjay Lavania )
                                                                                                                                                                                                          Director Finance (Exp.)
                                                                                                                                                                                                          Railway Board.

ADVANCE CORRECTION SLIP NO. 58
FINANCIAL CODE VOLUME I - 1982 EDITION (REPRINT ? 1998)
ANNEXURE-II (See Paragraph-505)

POWERS OF GENERAL MANAGERS OF INDIAN RAILWAYS
 
In supersession of existing orders on the subject, the President is pleased to make the following rules specifying the areas in which the General Managers may not sanction expenditure or deal with other matters without previous sanction of the higher authority. These rules will be applicable to General Managers of Zonal railways and Production Units as well as Director General, Research Design and Standards Organisation and General Managers (Construction) in so far as they relate to them.

Subject to the observance of these rules, the General Managers shall have powers to sanction expenditure and to delegate their powers to authorities subordinate to them along with powers to re-delegate them to lower authorities.

Any delegation or re-delegation of powers by the General Managers to authorities subordinate to them should be made only in consultation with the Financial Adviser and Chief Accounts Officers of the Railways and will be subject to the existing codal provision as well as other regulations/instructions issued by Railway Board from time to time. In the event of a difference of opinion between the General Manager and the Financial Adviser and Chief Accounts Officer, the matter should be referred to Railway Board for orders.

The exercise of the powers delegated shall be subject to existing Code Provisions, Rules and Regulations as well as restrictions imposed from time to time by Railway Board in the context of economy in expenditure or otherwise.

RULES
The previous sanction of the higher authority is necessary.

[A ? Gazetted Staff]

1. To the creation and the abolition of a permanent post and to the alteration of the scale of pay of a service or of a post.

2. To the keeping of a post sanctioned by the Railway Board unfilled for more than twelve months upto JA Grade provided that if the post has remained unfilled for more than six months, its justification is established afresh with the concurrence of Financial Adviser and Chief Accounts Officer before operating the post.

3. To the creation of a temporary post except that post may be created without higher sanction in Senior Scale/Class II Services for a period not exceeding six months/twelve months respectively in emergent situation with concurrence of Financial Adviser and Chief Accounts Officer and provided that the post will not be operated beyond six months/twelve months.

4. (a)To the creation of work-charged posts above JA Grade.

Note: Temporary post/posts in JA Grade, Senior Scale, Junior scale, Or Class II specifically provided for in a Construction/Survey Estimate or in an Urgency Certificate sanctioned by the General Manager or by the Railway Board may be created/extended by the General Manager with prior concurrence of Financial Adviser and Chief Accounts Officer.

(b) To the grant of provisional payment beyond 3 months to incumbents of such posts which are proposed to be extended beyond available sanction.

5. (a) To grant to a Railway Officer emoluments (whether as pay, honorarium or allowances of any sort) higher than that admissible under the Railway Rules or any orders of the Government of India.

(b) To permit a Railway Officer to undertake work and/or receive fee (non-recurring or recurring) from private sources exceeding Rs 5000/- in each individual case.

(c) To permit Medical Officers including Chief Medical Officer to receive fees for professional attendance if they hold posts in which private practice is debarred under orders of a higher authority.

(d) To grant to an officer above JA Grade a reward in excess of Rs 3000/- in each individual case for Zonal Railways and Production Units and Rs 5000/- in each individual case, for RDSO.

(Authority Board?s letter no.F(X)II-97/PW/4, dt. 5/5/98. (Corrigendum)).

(e) To the acceptance of honorarium by a Gazetted Railway servant in excess of Rs 2000/- in a year for undertaking work as arbitrator in a dispute in which the Railway Administration is a party and in excess of Rs 1000/- in a year in all other types of cases, except cases of acceptance of honorarium for conducting Disciplinary Enquiries against Railway Officers arising out of Vigilance/CBI cases where the limit shall be Rs 6750/-(Rs Six thousand seven hundred and fifty only) in a year.

(Authority Board?s letter no.F(X)II-94/PW/3, dt. 28/11/96.)

NOTE: (i) General Manager may grant to an Officer upto and including SA Grade in addition to this pay, special pay limited to 10% of the presumptive pay of the additional post when he holds charge of another post in addition to his own, provided the additional charge is held for a period exceeding 45 days but not exceeding six months in the case of Officers upto and including JA grade, and 3 months in case of Officers working in SA Grade.

(ii)The aggregate of pay and additional pay shall not exceed Rs.26,000/- per month.

(iii) The dual charge arrangement shall not be carried beyond six months in the case of JA Grade and three months in the case of SA Grade Officers under any circumstances.

(Authority Board?s letter no. F(X)II-94/PW/9, dt.29/12/94 and F(E) Spl.98/FR/1/1, dt.28/1/2000.)

6. To the write-off of ?

(a) Advances.

(b) Amounts overdrawn by Officers, or otherwise due from them, which were discovered in audit within a year.

7. To the construction or purchase of a building for use as residence by an Officer or to hire a building for use as residence by an Officer under conditions which fall outside the framework of the extant instructions in regard to the ceiling of rental, minimum period for the lease and other conditions.

8. To the acceptance of resignation of an Administrative Grade Officer.

NOTE: The General Manager, while accepting resignations of the Officers upto Senior Scale level, will have the power to waive the prescribed notice period in respect of Probationary Officers selected for IAS/IFS/IPS.

[B -Non-Gazetted Staff ]

9. To the grant of special pay or other additions to pay or to the grant of personal pay otherwise than in accordance with Rule 2003(23)(a)-RII and allowances other than those admissible under Railway Fundamental or Supplementary Rules or any other orders of the Government of India.

10. (a) To the grant of honorarium in excess of Rs 10,000/- in each individual case.

NOTE:Where the honorarium is recurring, the limit of Rs 10,000/- applies to the total amount paid in a financial year.

(Authority: Board?s letter no.F(X)II/94/PW/3, dt.26/3/96.)

(b) To the grant of reward in excess of Rs 5,000/- in each individual case.

[C -General : Gazetted and Non-Gazetted Staff ]
11. To the grant of advances otherwise than as authorised under general rules and orders.

12. To the grant of leave otherwise than as admissible under the rules.

13. To the deputation of a Railway servant out of India.

NOTE:DG/RDSO, however, will be guided by Board?s extant orders on the subject.

14. To the ex-gratia payment of bonuses or rewards for inventions for which the inventor is not allowed to take a patent or is instructed to assign his patent rights to the Government.

NOTE: DG/RDSO may however grant ex-gratia payment of bonuses or Rewards upto Rs 5,000/- each for such inventions.

(Authority: Board?s letter No.F(X)II/93/PW/2, dt.8/7/93.)

15. To the grant of rewards for detection and/or apprehension of offenders in a criminal case in excess of Rs 5,000/- in each case.

16. To the reimbursement of legal expenses of a Railway servant-

(a) who institutes a suit in a Court of Law without the prior approval of the Railway Administration; or

(b) who incurs such expenses in defending legal proceedings instituted against him in respect of acts done or purported to have been done in execution of his duty either by an outsider or at the instance of the Railway Administration or with the specific sanction or under the specific Order of the State Government or the Central Government.

17. To the purchase or hire of a motor-car, motor cycle or motor boat for the exclusive use of Railway servants except motor vehicles for which provision has been made in an estimate sanctioned by the higher authority.

NOTE: (1) Before purchase or hire of a motor vehicle is sanctioned, it should be certified that the demand cannot be met by transfer from one of the works on hand or completed.

(2)The General Manager may hire motor vehicles for specific Occasions.

(3) For procurement of vehicles, prior approval of Railway Board would be required even if a provision for vehicles exists in a sanctioned estimate.

(Authority: Board?s letter no.F(X)II-2000/EXP/2 (Vehicles), dt. 6/7/2000).

18. To the payment of compensation in case of Railway accidents other than those awarded by Railway Claims Tribunal to the dependants of Railway employees killed or to Railway employees injured in accidents caused by the working of trains or Railway engines provided that the death or injury was met with in the discharge of their duties otherwise than due to their own negligence or willful action, in excess of a maximum of 24 months? emoluments of the Railway employee.

NOTE: (1) In the case of persons to whom the Workmen?s Compensation Act applies, compensation shall be paid under this rule only if the authority competent to sanction compensation considers that more liberal treatment than that given by the Act is necessary. The compensation so paid shall not, inclusive of the compensation payable under the Act, exceed the amount admissible under this rule.

(2) The term ?emoluments? means monthly average of emoluments as defined in paragraph 2544-R/II (CSR 486) and in the case of running staff the emoluments will include the pay element in running

allowance viz. 30% of the average basic pay drawn during the last twelve months or during the entire service if it is less than twelve months.

19. To the grant of compensation to a Railway employee for loss of private property except compensation in excess of Rs 5,000/- in any individual case for loss suffered by an employee in the course of a strike or Railway accident in the execution of Railway duty and from circumstances arising directly out of that duty.

20. To the sanction of ex-gratia payment in excess of Rs 3,000/- to the dependant of a Railway employee in the event of his/her death arising out of injuries sustained in the execution of his/her duty.

21. To the payment of medical charges otherwise than as authorised under general rules or orders.

22. To permit a railway servant below the rank of Junior Administrative Grade to travel by Air on duty.

NOTE: Grant of permission by the General Manager to Junior Administrative Grade Officers to travel by Air on duty would be subject to the following conditions:

1. These powers may be exercised only by General Managers and

not by CAOs, and, are not to be redelegated further. However, the Chief Administrative Officer, COFMOW/New Delhi, DCW/Patiala and MTP/Chennai may also exercise these powers with the personal concurrence of FA & CAO.

(Authority: Board?s letter no. F(X)II-2003/PW/6, dated 4/4/2003.)

2. These powers are to be exercised personally by the General Managers with the personal concurrence of FA&CAO.

3. Air travel will be permitted only in cases where the duration of the journey one-way is more than 12 hours by rail.

4. Each proposal regarding Air Travel would require to be justified on merits.

23. To the remission of recovery of rent from the incumbent of a post for which a quarter has been allotted.

NOTE: The General Manager may exempt the incumbent of a post from occupying the quarter allotted to the post and/or from paying rent thereof upto a maximum period of four months in the following circumstances:

(i) when an employee is temporarily transferred to a post in another station;

(ii) when the quarter is subjected to extensive repairs, such as renewals of roofing, replacement of flooring, or such other special works necessitating the vacation of the whole quarter;

(iii) when an employee is required to vacate the quarter under medical advice on account of an infectious disease or an epidemic.

24. To the waiver of the cost of training of a Railway employee who has received training at Railway?s cost and who is required to serve the Railway for a minimum prescribed period, in excess of the cost proportionate to the service rendered.

25. To the sanction of expenditure on deputation of Railway employees for training courses, seminars, symposia in non-Railway Institutions in excess of Rs 10 lakhs in a year on Zonal Railways including RDSO and Rs 4 lakhs in a year for Production Units.

NOTE: The overall registration fee, however, should be subject to a maximum of Rs 15,000/- and pro-rata registration fee of Rs 2,500/- per day. For arriving at this monetary limit the cost of TA & DA should not be taken into account.

(Authority: Board?s letter no.F(X)II/94/PW/3, dt.2/8/95 read with letter no.F(X)II/94/PW/3, dt.5/6/97 & F(X)II-2002/PW/7, dt. 9/5/03.)

[D - Payments to persons other than Railway employees ]
26. To the refund of fare and freight, otherwise than in accordance with relevant Tariff Rules, in excess of Rs 20,000/- in each case.

27. To the write-off of amounts due to the Railways, otherwise than when they are irrecoverable, in excess of Rs 10,000/- in each case.

NOTE: Items(26) and (27) do not apply to wharfage, demurrage, storage and lost property charges which may be written off or refunded by Railway Administration without the sanction of higher authority.

28. To the grant of rewards in excess of Rs 5,000/- in each case.

29. (a) To the incurrence of expenditure on each ceremonial occasion in excess of Rs 5,000/-.

(b) To the incurrence of expenditure on important functions which are attended by President/Prime Minister/Minister of Railways in excess of Rs 40,000/- in each case.

NOTE: 1. The powers under item 29 will be exercised by the General Manager subject to an annual ceiling of Rs 2 lakhs for Production Units and Rs 6 lakhs for Zonal Railways.

2.The power under Item 29 (a) will cover the expenditure on Railway week celebration also, the limit for which will be Rs. 5,000/- for a Zonal Railway/Production Unit as a whole.

(Authority: Board?s letters No.F(X)II/94/PW/3/Pt.IX,dt. 19/2/97 and E(W)2000/CL-1/1 dt. 11/9/2000.)

30. (a) To the incurrence of expenditure in engaging/obtaining consultancy services from outside bodies in excess of Rs.15 lakhs in each case or in excess of Rs.1.5 crores in a year;

(b) To the incurrence of expenditure in engaging/obtaining consultancy services connected with property development schemes, i.e. for commercial exploitation only, from outside bodies in excess of Rs.50 lakhs in each case or in excess of Rs.2.5 crores in a year for Zonal Railways, Production Units and RDSO.

(Authority: Board?s letters No.F(X)II/2000/PW/2, dt. 29/5/2000 and F(X)II-2003/PW/1 dt. 9/1/2003.)

Note:-

i) These powers will be personally exercised by the General Manager, and will not be redelegated further. It may be ensured that no contracts are awarded by the Railways for activities which can be carried out in-house.

ii) Details of Consultancy Contracts awarded by each Zonal Railway for commercial exploitation should be endrosed to all other General Managers for information to avoid duplication.

iii) The General Managers will evolve, in consultation with FA&CAO, a suitable mechanism to ensure that the limits laid down herein are not exceeded under any circumstances.

iv) For Consultancy Contracts for Open Line, FA&CAO(Budget & Expenditure) shall be a member of the tender committee whereas for Construction Organisation FA&CAO(C) may be nominated as a member of the tender committees. In cases where FA&CAO(C) is in HAG, he may nominate one of the FA & CAOs in SAG from among those available in the construction organization as finance member of the tender committee.

v) All cases decided by the Zonal Railways should be reported to Board through the PCDOs to CRB and FC, to enable assessment of the exercise of these powers.

vi) The agency/consultant is renowned/Govt. approved and has sufficient experience in the relevant field.

(Authority: Board?s letters no. F(X)II-2000/PW/2, dt. 29/5/2000, 15/12/2000 and 27/3/2001 and F(X)II-2003/PW/1, dt. 9/1/2003.

31. (a) To the filing or defending of an appeal in the Supreme Court.

(b) to the engagement of a Railway Counsel on scale of fees higher than that prescribed by Ministry of Law and Justice;

(c) to the engagement of counsel at more than Rs 1,050/- per day in Supreme Court or in any of the High Courts or at more than Rs 750/- per day elsewhere;

(d) to payment of fees in excess of scales of fees fixed by the High Courts concerned.

32. To the grant of allowances or fees to private persons or donations to private bodies including Railway Institutes, Hospitals and Schools, in excess of the scales or maximum limits laid down by the Railway Board.

33. (a) To the payment of arbitration fees to private persons in excess of Rs 25,000/- in each case.

NOTE: (i) The circumstances under which such appointment of private persons has been made, should, however, be brought to the notice of the Board.

(ii) This will not apply to payment of fees to arbitrators appointed by Court, for which full powers will be exercised by GMs.

(Authority: Board?s letter no.F(X)II/2000/PW/2, dt.29/5/2000)

(b) To the payment of contribution/subscription to a medical institution , if medical aid is rendered by such institution to Railway employees, in excess of Rs 1,000/- per annum.

(c) To the payment of contribution or subscription to a professional institution in excess of Rs 5,000/- per annum in each case.

(Authority: Board?s letter no.F(X)II/94/PW/3, dt.26/6/96.)

NOTE: (1) The General Manager will have full powers for payment of fees to surveyors engaged for the assessment of the values of damaged consignments.

(2) In respect of any item for which no scale has been laid down in any of the extant orders, the Railway Administration shall have no powers.

34. To the payment of compensation in cases of Railway accidents, otherwise than as specified below:

(A) Ordinary Passengers(including Government servants, other than those specified in Category B below and their Dependents).
(Authority: Board?s letter no.F(X)II-2000/PW/2 dt. 23/1/2001) Upto Rs 4 lakh in any single case.
(B) Military men, being or travelling on military duty. No powers.All cases to be submitted to the higher authority.
(C) Compensation to public (other than Railway passengers) for injury to person or damage to property caused by accidents as a result of negligence or carelessness on the part of Railway.
Upto Rs 10,000/-.
(D) Claims decreed by a Court of Law. Full powers to pay any sum so decreed.
(E) Claims settled out of Court with advice of Law Officer of Government. Upto Rs 25,000/- in any single case.



35. To the payment of claims, otherwise than as specified below or claims for compensation other than those relating to goods lost or damaged and those arising out of Railway accidents ?



(i) Claims settled out of court. Upto Rs10,000/- in each case.
(ii) Claims decreed by a court of Law. Full powers subject to the condition that particulars of cases involving expenditure of more than Rs 25,000/-in each case should be reported to Railway Board for information.

NOTE: The powers under item 35(i) above should not be re-delegated to subordinate authorities.

36. Claims settled by arbitration award against any dispute arising out of a contract. Full powers, subject to the conditions that the Railway Board should be informed of the details-
(i) Where payment to a contractor as a result of the arbitrator?s award exceeded by more than Rs 50,000 of the amount considered due by the Railway Administration before the arbitration proceedings began;
(ii) Where deficiencies in the General conditions of contract or of procedure laid down by the Railway Board came to light.


NOTE: The powers under item 36 above should not be re-delegated to authorities below the level of HODs.

[E- Expenditure on works not wholly chargeable to Ordinary Working Expenses ]

37. To the inclusion in the Preliminary Works Programme of :-

(a) New Works under the Plan Heads New Lines, Gauge conversion, Railway Electrification, Metropolitan Transport Projects, Computerisation and setting up of New Production Units; and

(b) Other New Works in excess of Rs 5 crores each.

Out of Turn Works

38. To the incurrence of expenditure on New Lines, Gauge Conversion, Railway Electrification works, Metropolitan Railway Projects, Computerisation, setting up of new Production Units, or Rolling Stock or Surveys not provided in the sanctioned budget for the year or carried forward from the sanctioned budget of the previous year.

39. To the incurrence of expenditure on other works not provided in the sanctioned budget or carried forward from the sanctioned budget of any previous year, except-

(a) (i) Traffic Facility works - costing less than Rs. 50 lakhs each,

(ii) Safety related works under Bridge works, S&T and Track Renewal plan heads ? costing less than Rs. 50 lakhs each,

(iii) Other Works ? costing not more than Rs. 30 lakhs each.

(iv) Machinery and Plant ? costing not more than Rs. 10 lakhs each,

provided that the total lumpsum provision made in the budget for such works is not exceeded.

(b) (i) Traffic Facility works and line capacity works - costing less than Rs. 50 lakhs each,

(ii) Safety related works under Bridge Works, S&T and Track Renewal plan heads - costing less than Rs. 50 lakhs each,

(iii) Other works - costing not more than Rs. 30 lakhs each,

Subject to the budgetary ceiling of Rs. 10 crores (other than lumpsum) in a financial year, of which not more than Rs. 3 crores could be on other than safety related items with the proviso that all safety works should be completed within a maximum period of 8 months from the date of sanction.

Note: (1)The works thrown forward from previous year may be taken up only if the funds required for them can be found by re-appropriation within the sanctioned allotment.

(2) The savings in the lumpsum provision made in the sanctioned budget shall not be utilized for the category of works in (b) above, without the prior approval of Railway Board.

(c ) To the sanction of expenditure on new works out of turn in respect of Users? Amenities costing not more than Rs. 30 lakh in each case subject to conditions indicated in the notes below and not more than Rs. 10 lakhs in each case in respect of existing Railways? Schools, Hospitals, Dispensaries and Institutes subject to the provision that the funds required for such works as provided in the sanctioned budget for works in these categories are not exceeded.

Note: (i) Emphasis should be on creation of amenities of durable and lasting nature and funds should not be frittered away on provision of superficial items like furnishings and furniture, etc.

(ii) prescribed norms/ parameters regarding passenger population should be followed in providing the amenities/ facilities.

(iii)Powers for sanction of out of turn works between Rs. 15 lakhs and Rs. 30 lakhs each should be exercised personally by GM with personal concurrence of FA&CAO.

(iv)This will be subject to the overall ceiling of Rs. 10 crore for out of turn works.

(Authority: Board?s letter no.F(X)II-2003/PW/1, dt. 21/8/03).

40. (1) Sanction of Estimates

a) To the sanction of detailed estimates costing above Rs 20 crores and also where the excess over the abstract cost is not within the General Manager’s competence vide item no.40(2)(1) below.

NOTE: General Managers may, however, sanction estimates costing above Rs 20 crores, but below Rs 50 crores in each case where a work was included in the budget on the basis of a Survey Report subject to the following conditions:-

i) the excess over the approved cost, if any, is limited to 25%;

ii) in comparison to the scope and nature of the work envisaged in the Survey Report and the abstract estimate, there is no change at the stage of sanction of the estimate.

iii) Personal approval is obtained at the level of General Manager and FA&CAO in cases of such estimates costing above Rs 20 crores but below Rs 50 crores.

(Authority: Board?s letter no. F(X)II/2001/PW/6, dt. 30/4/2002.)

b) To sanctioning of track renewal estimates where the excess is not within the General Manager?s competence as prescribed in sub-item 40(2) (1) below.

40(2) Sanction of excess over estimates

1) To an excess over the estimated cost as entered in the Sanctioned Budget or sanctioned separately by an higher authority as follows:

a) Increase in cost due to escalation ? More than 50% of original estimate.

b) Increase in cost due to reasons other than escalation - More than 10% of original estimate or Rs 10 crores, whichever is less.

NOTE: 1. These are the overall variations on the original estimate and cannot be exceeded even if more than one revised estimate is sanctioned.

2. This delegation will not affect rules in force regarding material modification.

(Authority:Board?s letter no.F(X)II/2000/PW/2, dt.23/1/2001.)

2) To an excess over the estimated cost of Machinery & Plant included in M&P Programme in excess of 30% of the original cost or Rs 25 lakhs, whichever is less.

NOTE: Revised M&P estimate involving material modification costing more than Rs 5 lakhs each will have to be referred to Railway Board.

(Authority: Board?s letter no.F(X)II/94/PW/3, dt. 2/8/95.)

40(3). Surveys

To an excess over 20% on an original estimate sanctioned by higher authorities.

NOTE: (i) General Manager can sanction survey estimates provided the surveys are included in the sanctioned budget and approved yardsticks are followed while remaining within the amount indicated in the budget.

(ii)This delegation does not apply to works which do not have necessary procedural approval.

(Authority:Board?s letter no.F(X)II/2000/PW/2, dt.27/6/2000)

40(4) Lumpsum Works

i) To expenditure on lumpsum works provided in the sanctioned budget for the year or carried forward from the sanctioned budget of any previous year in excess of the total lumpsum provision for such works in the sanctioned budget.

ii) To sanction excess over estimates of works sanctioned under Item no. 39 in cases where percentage variation is beyond the competence of the General Manager in terms of Rule 40(2).

NOTE: The works thrownforward from previous years may be taken up only if the funds required for them can be found by reappropriation within the sanctioned allotment.

Miscellaneous
41. To the sale of -

a) any portion of a Railway line,

b) any item of authorised rolling stock or

c) any other Railway asset costing over Rs 3 lakhs.

42. To the dismantling or otherwise permanently closing to public traffic of any existing open line section.

43. To the alteration of or departure from the terms of contracts with Branch or Worked Lines.

44. To the write off of irrecoverable losses of cash, stores, tools and plant-

i) exceeding Rs 1 lakh in value when a Railway employee is in any way responsible for the loss.

ii) exceeding Rs 2 lakhs in value when a Railway employee is not in any way responsible for the loss.

NOTE: (1) Every important case of loss should be brought to the notice of the Railway Board, as soon as possible, after its discovery. When the loss involved does not exceed Rs 50,000/- the case need not be reported unless it represents unusual features or reveals serious defects in procedure.

(2)Insufficient balances under Suspense Heads not exceeding Rs 1 lakh can also be written off by the General Manager.

45. To the incurrence of expenditure in excess of Rs 40,000/- per year in connection with the entertainment of distinguished visitors, i.e. distinguished official or non-official personages, representatives of foreign technical associates, foreign technical experts, representatives of Trade and Industry including overseas companies.

(Authority:Board?s letter no.F(X)II/2000/PW/2, dt. 27/6/2000.)

46. Except in accordance with the rules contained in the Indian Railway Codes or any general or special orders issued by the Railway Board ?

i) to the construction of an assisted siding.

ii)to the acquisition, lease or disposal of land.

47. i)To enter into contracts in respect of sanctioned works in excess of Rs 40 crores for each contract (works contracts) and

ii) To enter into contracts in respect of purchase of stores in excess of Rs 15 crores for each contract (stores contracts.)

(Authority: Board?s letter no.F(X)II/2003/PW//1, dt. 26/5/2003.)

48. To the grant of advances to contractors ?

i) Mobilisation advance in excess of 10% of the contract value.

ii) Advances against new machinery and plant ? in excess of 10% of contract value or 75% of the value of the new machinery and plant brought to the site of work (whichever is less).

iii)Advances for accelerating the progress of work in special circumstances in excess of 5% of contract value or Rs 5 lakhs (whichever is less).

NOTE:All advances mentioned above shall be subject to levy of interest charges at the rate of 18% or as prescribed by the Railway Board.

(Authority: Board?s letter no.F(X)II-97/PW/4, dt. 5/5/98).

49. To any material modification estimated to cost over Rs. 30 lakhs in other than safety works and over Rs. 50 lakhs in safety related works under Bridge Works, S&T and Track Renewal planheads sanctioned by General Manager or higher authority.

Note: The exercise of this authority shall be subject to the following:

i) The excess or the revised cost of the estimate does not go beyond the General Manager?s power of sanction.

ii) Material modification estimated to cost more than Rs. 15 lakhs but below Rs.50 lakhs should be certified and sanctioned personally by Financial Adviser and Chief Accounts Officers and General Managers/Additional General Managers respectively.

iii) The material modifications pertaining to safety related works must be completed within a maximum period of 8 months from the date of sanction.

(Authority: Board?s letter no. F(X)II-2003/PW/1, dt. 9/1/2003).

50.To the grant of diet charges in any other case except ?

a) To a Railway employee undergoing treatment as indoor patient in Railway or non-Railway Government hospital for any diseases other than tuberculosis or leprosy or mental disease when the employee?s basic pay is not more than Rs 4,200/- per month.

b) (i) To a Railway employee or members of his family when receiving treatment for tuberculosis or leprosy or mental disease in a Railway hospital or an approved Institution, when the employee?s basic pay is not more than Rs 6,200/- per month.

(ii) To the dependant relatives of a railway employee receiving treatment for tuberculosis or leprosy in a Railway hospital or an approved Institution, when the employee?s basic pay is not more than Rs 6,200/- per month.

NOTE:In the case of temporary staff the pay last drawn while on active duty may be treated as substantive pay for the purpose of this sub-rule.

c) To persons, whether Railway employees or not, requiring such assistance from the Railway in emergent cases which involve living under difficulties as regards necessaries of life.

NOTE: (i) Indigent passengers injured or taken ill and removed to Railway hospitals and trespassers, who require immediate medical assistance may be given diet at the expense of the Railway Administrations, the expenditure being treated as part of ordinary working expenses of the Railway hospital.

(ii) The General Managers have powers to sanction free diet or reimbursement of the cost of such diet, according as the indoor treatment is given in a Railway hospital or in a non-Railway hospital, to Railway servants injured in the course of duty for such period as they remain indoor patients, not extending beyond one year after they are declared permanently unfit and discharged from service.

51. To the institution of legal proceedings against a newspaper for publishing false and damaging articles against the Railway Administration.

52. To the supply of electricity to outsiders except under the following conditions -

i) the provisions of the Electricity Act are not infringed;

ii) such supply does not cause any extra outlay either immediate or contingent;

iii) the supply can be made without any inconvenience to the Railway and after its full needs have been met;

iv) the rates charged allow for profit after taking into account all costs of production, direct and indirect and are above the rates supplied to Railway employees; and

v) the Railway should have power to discontinue the supply without notice and without compensation.

53. To any alteration in the existing cash and pay arrangements.

54. To the introduction of new designs for goods and coaching stock sanctioned for construction during each financial year irrespective of whether the stock is to be built to existing, sanctioned or new designs.

55. To changes, alterations or modifications in the design, layout or equipment of the existing rolling stock and marine vessels involving :-

a) infringements of the schedule of maximum and minimum running dimensions unless previously sanctioned;

b) decrease in the revenue earning capacities of coaching and goods vehicles and marine vessels, such as alterations in the class or seating capacity of coaching vehicles and marine vessels and a permanent decrease in the relationship between gross load and tare in the case of goods vehicles;

c) conversion of public service vehicles into Railway service vehicles and vice versa and material modifications (such as alterations in the wheel arrangements etc. in existing Railway service vehicles.);

d) the introduction of new facilities, fittings and equipments for the travelling public where such have not previously had the approval of the Board, e.g. cooling arrangements in carriages, electric fans in second class compartments, variations in types of lavatory and other equipments which involve matter of policy.

56. To alteration in the authorised stock of all descriptions.

57. To any expenditure on an object which has not previously been recognised as a fit object for Railway expenditure.

GOVERNMENT OF INDIA
MINISTRY OF RAILWAYS
RAILWAY BOARD

No.F(X)II-2003/PW/10 

New Delhi, dt. 9/1/2004 

The General Managers, All Indian Railways
Including CLW, DLW, ICF, RCF & Rail Wheel Factory.
East Central Railway, Hajipur and
North Western Railway, Jaipur.
Metro Railway, Kolkata.
The General Manager (Const.),
N.F. Railway, Guwahati.
CAOs (Constn), All Indian Railways (except NF Railway)
The Director General, RDSO, Lucknow.
The General Manager,
Central Organisation for Rly. Electrification, Allahabad.
CAO, MTP/Mumbai, Chennai & Delhi.
CAO/Diesel Loco Modernization Works, Patiala and
COFMOW, New Delhi. 

Sub: Delegation of powers to General Managers-Revision of Annexure-II to Chapter V, Indian Railways Financial Code, Vol. I.

The powers of General Managers are laid down in Annexure-II to Chapter-V of the Indian Railways Financial Code, Volume-I. A revised version of these powers was last issued vide letter no.F(X)II-2001/PW/6 dt. 9/5/2001. These powers have been further liberalized/enhanced by Board from time to time. In supersession of all the circulars issued on the subject, a comprehensive list of powers in the form of Advance Correction Slip No. 58 is enclosed.

Please acknowledge receipt.

                                                                                                                                                                                                          (Sanjay Lavania )
                                                                                                                                                                                                          Director Finance (Exp.)
                                                                                                                                                                                                          Railway Board.

ADVANCE CORRECTION SLIP NO. 58
FINANCIAL CODE VOLUME I - 1982 EDITION (REPRINT ? 1998)
ANNEXURE-II (See Paragraph-505)

POWERS OF GENERAL MANAGERS OF INDIAN RAILWAYS
 
In supersession of existing orders on the subject, the President is pleased to make the following rules specifying the areas in which the General Managers may not sanction expenditure or deal with other matters without previous sanction of the higher authority. These rules will be applicable to General Managers of Zonal railways and Production Units as well as Director General, Research Design and Standards Organisation and General Managers (Construction) in so far as they relate to them.

Subject to the observance of these rules, the General Managers shall have powers to sanction expenditure and to delegate their powers to authorities subordinate to them along with powers to re-delegate them to lower authorities.

Any delegation or re-delegation of powers by the General Managers to authorities subordinate to them should be made only in consultation with the Financial Adviser and Chief Accounts Officers of the Railways and will be subject to the existing codal provision as well as other regulations/instructions issued by Railway Board from time to time. In the event of a difference of opinion between the General Manager and the Financial Adviser and Chief Accounts Officer, the matter should be referred to Railway Board for orders.

The exercise of the powers delegated shall be subject to existing Code Provisions, Rules and Regulations as well as restrictions imposed from time to time by Railway Board in the context of economy in expenditure or otherwise.

RULES
The previous sanction of the higher authority is necessary.

[A ? Gazetted Staff]

1. To the creation and the abolition of a permanent post and to the alteration of the scale of pay of a service or of a post.

2. To the keeping of a post sanctioned by the Railway Board unfilled for more than twelve months upto JA Grade provided that if the post has remained unfilled for more than six months, its justification is established afresh with the concurrence of Financial Adviser and Chief Accounts Officer before operating the post.

3. To the creation of a temporary post except that post may be created without higher sanction in Senior Scale/Class II Services for a period not exceeding six months/twelve months respectively in emergent situation with concurrence of Financial Adviser and Chief Accounts Officer and provided that the post will not be operated beyond six months/twelve months.

4. (a)To the creation of work-charged posts above JA Grade.

Note: Temporary post/posts in JA Grade, Senior Scale, Junior scale, Or Class II specifically provided for in a Construction/Survey Estimate or in an Urgency Certificate sanctioned by the General Manager or by the Railway Board may be created/extended by the General Manager with prior concurrence of Financial Adviser and Chief Accounts Officer.

(b) To the grant of provisional payment beyond 3 months to incumbents of such posts which are proposed to be extended beyond available sanction.

5. (a) To grant to a Railway Officer emoluments (whether as pay, honorarium or allowances of any sort) higher than that admissible under the Railway Rules or any orders of the Government of India.

(b) To permit a Railway Officer to undertake work and/or receive fee (non-recurring or recurring) from private sources exceeding Rs 5000/- in each individual case.

(c) To permit Medical Officers including Chief Medical Officer to receive fees for professional attendance if they hold posts in which private practice is debarred under orders of a higher authority.

(d) To grant to an officer above JA Grade a reward in excess of Rs 3000/- in each individual case for Zonal Railways and Production Units and Rs 5000/- in each individual case, for RDSO.

(Authority Board?s letter no.F(X)II-97/PW/4, dt. 5/5/98. (Corrigendum)).

(e) To the acceptance of honorarium by a Gazetted Railway servant in excess of Rs 2000/- in a year for undertaking work as arbitrator in a dispute in which the Railway Administration is a party and in excess of Rs 1000/- in a year in all other types of cases, except cases of acceptance of honorarium for conducting Disciplinary Enquiries against Railway Officers arising out of Vigilance/CBI cases where the limit shall be Rs 6750/-(Rs Six thousand seven hundred and fifty only) in a year.

(Authority Board?s letter no.F(X)II-94/PW/3, dt. 28/11/96.)

NOTE: (i) General Manager may grant to an Officer upto and including SA Grade in addition to this pay, special pay limited to 10% of the presumptive pay of the additional post when he holds charge of another post in addition to his own, provided the additional charge is held for a period exceeding 45 days but not exceeding six months in the case of Officers upto and including JA grade, and 3 months in case of Officers working in SA Grade.

(ii)The aggregate of pay and additional pay shall not exceed Rs.26,000/- per month.

(iii) The dual charge arrangement shall not be carried beyond six months in the case of JA Grade and three months in the case of SA Grade Officers under any circumstances.

(Authority Board?s letter no. F(X)II-94/PW/9, dt.29/12/94 and F(E) Spl.98/FR/1/1, dt.28/1/2000.)

6. To the write-off of ?

(a) Advances.

(b) Amounts overdrawn by Officers, or otherwise due from them, which were discovered in audit within a year.

7. To the construction or purchase of a building for use as residence by an Officer or to hire a building for use as residence by an Officer under conditions which fall outside the framework of the extant instructions in regard to the ceiling of rental, minimum period for the lease and other conditions.

8. To the acceptance of resignation of an Administrative Grade Officer.

NOTE: The General Manager, while accepting resignations of the Officers upto Senior Scale level, will have the power to waive the prescribed notice period in respect of Probationary Officers selected for IAS/IFS/IPS.

[B -Non-Gazetted Staff ]

9. To the grant of special pay or other additions to pay or to the grant of personal pay otherwise than in accordance with Rule 2003(23)(a)-RII and allowances other than those admissible under Railway Fundamental or Supplementary Rules or any other orders of the Government of India.

10. (a) To the grant of honorarium in excess of Rs 10,000/- in each individual case.

NOTE:Where the honorarium is recurring, the limit of Rs 10,000/- applies to the total amount paid in a financial year.

(Authority: Board?s letter no.F(X)II/94/PW/3, dt.26/3/96.)

(b) To the grant of reward in excess of Rs 5,000/- in each individual case.

[C -General : Gazetted and Non-Gazetted Staff ]
11. To the grant of advances otherwise than as authorised under general rules and orders.

12. To the grant of leave otherwise than as admissible under the rules.

13. To the deputation of a Railway servant out of India.

NOTE:DG/RDSO, however, will be guided by Board?s extant orders on the subject.

14. To the ex-gratia payment of bonuses or rewards for inventions for which the inventor is not allowed to take a patent or is instructed to assign his patent rights to the Government.

NOTE: DG/RDSO may however grant ex-gratia payment of bonuses or Rewards upto Rs 5,000/- each for such inventions.

(Authority: Board?s letter No.F(X)II/93/PW/2, dt.8/7/93.)

15. To the grant of rewards for detection and/or apprehension of offenders in a criminal case in excess of Rs 5,000/- in each case.

16. To the reimbursement of legal expenses of a Railway servant-

(a) who institutes a suit in a Court of Law without the prior approval of the Railway Administration; or

(b) who incurs such expenses in defending legal proceedings instituted against him in respect of acts done or purported to have been done in execution of his duty either by an outsider or at the instance of the Railway Administration or with the specific sanction or under the specific Order of the State Government or the Central Government.

17. To the purchase or hire of a motor-car, motor cycle or motor boat for the exclusive use of Railway servants except motor vehicles for which provision has been made in an estimate sanctioned by the higher authority.

NOTE: (1) Before purchase or hire of a motor vehicle is sanctioned, it should be certified that the demand cannot be met by transfer from one of the works on hand or completed.

(2)The General Manager may hire motor vehicles for specific Occasions.

(3) For procurement of vehicles, prior approval of Railway Board would be required even if a provision for vehicles exists in a sanctioned estimate.

(Authority: Board?s letter no.F(X)II-2000/EXP/2 (Vehicles), dt. 6/7/2000).

18. To the payment of compensation in case of Railway accidents other than those awarded by Railway Claims Tribunal to the dependants of Railway employees killed or to Railway employees injured in accidents caused by the working of trains or Railway engines provided that the death or injury was met with in the discharge of their duties otherwise than due to their own negligence or willful action, in excess of a maximum of 24 months? emoluments of the Railway employee.

NOTE: (1) In the case of persons to whom the Workmen?s Compensation Act applies, compensation shall be paid under this rule only if the authority competent to sanction compensation considers that more liberal treatment than that given by the Act is necessary. The compensation so paid shall not, inclusive of the compensation payable under the Act, exceed the amount admissible under this rule.

(2) The term ?emoluments? means monthly average of emoluments as defined in paragraph 2544-R/II (CSR 486) and in the case of running staff the emoluments will include the pay element in running

allowance viz. 30% of the average basic pay drawn during the last twelve months or during the entire service if it is less than twelve months.

19. To the grant of compensation to a Railway employee for loss of private property except compensation in excess of Rs 5,000/- in any individual case for loss suffered by an employee in the course of a strike or Railway accident in the execution of Railway duty and from circumstances arising directly out of that duty.

20. To the sanction of ex-gratia payment in excess of Rs 3,000/- to the dependant of a Railway employee in the event of his/her death arising out of injuries sustained in the execution of his/her duty.

21. To the payment of medical charges otherwise than as authorised under general rules or orders.

22. To permit a railway servant below the rank of Junior Administrative Grade to travel by Air on duty.

NOTE: Grant of permission by the General Manager to Junior Administrative Grade Officers to travel by Air on duty would be subject to the following conditions:

1. These powers may be exercised only by General Managers and

not by CAOs, and, are not to be redelegated further. However, the Chief Administrative Officer, COFMOW/New Delhi, DCW/Patiala and MTP/Chennai may also exercise these powers with the personal concurrence of FA & CAO.

(Authority: Board?s letter no. F(X)II-2003/PW/6, dated 4/4/2003.)

2. These powers are to be exercised personally by the General Managers with the personal concurrence of FA&CAO.

3. Air travel will be permitted only in cases where the duration of the journey one-way is more than 12 hours by rail.

4. Each proposal regarding Air Travel would require to be justified on merits.

23. To the remission of recovery of rent from the incumbent of a post for which a quarter has been allotted.

NOTE: The General Manager may exempt the incumbent of a post from occupying the quarter allotted to the post and/or from paying rent thereof upto a maximum period of four months in the following circumstances:

(i) when an employee is temporarily transferred to a post in another station;

(ii) when the quarter is subjected to extensive repairs, such as renewals of roofing, replacement of flooring, or such other special works necessitating the vacation of the whole quarter;

(iii) when an employee is required to vacate the quarter under medical advice on account of an infectious disease or an epidemic.

24. To the waiver of the cost of training of a Railway employee who has received training at Railway?s cost and who is required to serve the Railway for a minimum prescribed period, in excess of the cost proportionate to the service rendered.

25. To the sanction of expenditure on deputation of Railway employees for training courses, seminars, symposia in non-Railway Institutions in excess of Rs 10 lakhs in a year on Zonal Railways including RDSO and Rs 4 lakhs in a year for Production Units.

NOTE: The overall registration fee, however, should be subject to a maximum of Rs 15,000/- and pro-rata registration fee of Rs 2,500/- per day. For arriving at this monetary limit the cost of TA & DA should not be taken into account.

(Authority: Board?s letter no.F(X)II/94/PW/3, dt.2/8/95 read with letter no.F(X)II/94/PW/3, dt.5/6/97 & F(X)II-2002/PW/7, dt. 9/5/03.)

[D - Payments to persons other than Railway employees ]
26. To the refund of fare and freight, otherwise than in accordance with relevant Tariff Rules, in excess of Rs 20,000/- in each case.

27. To the write-off of amounts due to the Railways, otherwise than when they are irrecoverable, in excess of Rs 10,000/- in each case.

NOTE: Items(26) and (27) do not apply to wharfage, demurrage, storage and lost property charges which may be written off or refunded by Railway Administration without the sanction of higher authority.

28. To the grant of rewards in excess of Rs 5,000/- in each case.

29. (a) To the incurrence of expenditure on each ceremonial occasion in excess of Rs 5,000/-.

(b) To the incurrence of expenditure on important functions which are attended by President/Prime Minister/Minister of Railways in excess of Rs 40,000/- in each case.

NOTE: 1. The powers under item 29 will be exercised by the General Manager subject to an annual ceiling of Rs 2 lakhs for Production Units and Rs 6 lakhs for Zonal Railways.

2.The power under Item 29 (a) will cover the expenditure on Railway week celebration also, the limit for which will be Rs. 5,000/- for a Zonal Railway/Production Unit as a whole.

(Authority: Board?s letters No.F(X)II/94/PW/3/Pt.IX,dt. 19/2/97 and E(W)2000/CL-1/1 dt. 11/9/2000.)

30. (a) To the incurrence of expenditure in engaging/obtaining consultancy services from outside bodies in excess of Rs.15 lakhs in each case or in excess of Rs.1.5 crores in a year;

(b) To the incurrence of expenditure in engaging/obtaining consultancy services connected with property development schemes, i.e. for commercial exploitation only, from outside bodies in excess of Rs.50 lakhs in each case or in excess of Rs.2.5 crores in a year for Zonal Railways, Production Units and RDSO.

(Authority: Board?s letters No.F(X)II/2000/PW/2, dt. 29/5/2000 and F(X)II-2003/PW/1 dt. 9/1/2003.)

Note:-

i) These powers will be personally exercised by the General Manager, and will not be redelegated further. It may be ensured that no contracts are awarded by the Railways for activities which can be carried out in-house.

ii) Details of Consultancy Contracts awarded by each Zonal Railway for commercial exploitation should be endrosed to all other General Managers for information to avoid duplication.

iii) The General Managers will evolve, in consultation with FA&CAO, a suitable mechanism to ensure that the limits laid down herein are not exceeded under any circumstances.

iv) For Consultancy Contracts for Open Line, FA&CAO(Budget & Expenditure) shall be a member of the tender committee whereas for Construction Organisation FA&CAO(C) may be nominated as a member of the tender committees. In cases where FA&CAO(C) is in HAG, he may nominate one of the FA & CAOs in SAG from among those available in the construction organization as finance member of the tender committee.

v) All cases decided by the Zonal Railways should be reported to Board through the PCDOs to CRB and FC, to enable assessment of the exercise of these powers.

vi) The agency/consultant is renowned/Govt. approved and has sufficient experience in the relevant field.

(Authority: Board?s letters no. F(X)II-2000/PW/2, dt. 29/5/2000, 15/12/2000 and 27/3/2001 and F(X)II-2003/PW/1, dt. 9/1/2003.

31. (a) To the filing or defending of an appeal in the Supreme Court.

(b) to the engagement of a Railway Counsel on scale of fees higher than that prescribed by Ministry of Law and Justice;

(c) to the engagement of counsel at more than Rs 1,050/- per day in Supreme Court or in any of the High Courts or at more than Rs 750/- per day elsewhere;

(d) to payment of fees in excess of scales of fees fixed by the High Courts concerned.

32. To the grant of allowances or fees to private persons or donations to private bodies including Railway Institutes, Hospitals and Schools, in excess of the scales or maximum limits laid down by the Railway Board.

33. (a) To the payment of arbitration fees to private persons in excess of Rs 25,000/- in each case.

NOTE: (i) The circumstances under which such appointment of private persons has been made, should, however, be brought to the notice of the Board.

(ii) This will not apply to payment of fees to arbitrators appointed by Court, for which full powers will be exercised by GMs.

(Authority: Board?s letter no.F(X)II/2000/PW/2, dt.29/5/2000)

(b) To the payment of contribution/subscription to a medical institution , if medical aid is rendered by such institution to Railway employees, in excess of Rs 1,000/- per annum.

(c) To the payment of contribution or subscription to a professional institution in excess of Rs 5,000/- per annum in each case.

(Authority: Board?s letter no.F(X)II/94/PW/3, dt.26/6/96.)

NOTE: (1) The General Manager will have full powers for payment of fees to surveyors engaged for the assessment of the values of damaged consignments.

(2) In respect of any item for which no scale has been laid down in any of the extant orders, the Railway Administration shall have no powers.

34. To the payment of compensation in cases of Railway accidents, otherwise than as specified below:

(A) Ordinary Passengers(including Government servants, other than those specified in Category B below and their Dependents).
(Authority: Board?s letter no.F(X)II-2000/PW/2 dt. 23/1/2001) Upto Rs 4 lakh in any single case.
(B) Military men, being or travelling on military duty. No powers.All cases to be submitted to the higher authority.
(C) Compensation to public (other than Railway passengers) for injury to person or damage to property caused by accidents as a result of negligence or carelessness on the part of Railway.
Upto Rs 10,000/-.
(D) Claims decreed by a Court of Law. Full powers to pay any sum so decreed.
(E) Claims settled out of Court with advice of Law Officer of Government. Upto Rs 25,000/- in any single case.



35. To the payment of claims, otherwise than as specified below or claims for compensation other than those relating to goods lost or damaged and those arising out of Railway accidents ?



(i) Claims settled out of court. Upto Rs10,000/- in each case.
(ii) Claims decreed by a court of Law. Full powers subject to the condition that particulars of cases involving expenditure of more than Rs 25,000/-in each case should be reported to Railway Board for information.

NOTE: The powers under item 35(i) above should not be re-delegated to subordinate authorities.

36. Claims settled by arbitration award against any dispute arising out of a contract. Full powers, subject to the conditions that the Railway Board should be informed of the details-
(i) Where payment to a contractor as a result of the arbitrator?s award exceeded by more than Rs 50,000 of the amount considered due by the Railway Administration before the arbitration proceedings began;
(ii) Where deficiencies in the General conditions of contract or of procedure laid down by the Railway Board came to light.


NOTE: The powers under item 36 above should not be re-delegated to authorities below the level of HODs.

[E- Expenditure on works not wholly chargeable to Ordinary Working Expenses ]

37. To the inclusion in the Preliminary Works Programme of :-

(a) New Works under the Plan Heads New Lines, Gauge conversion, Railway Electrification, Metropolitan Transport Projects, Computerisation and setting up of New Production Units; and

(b) Other New Works in excess of Rs 5 crores each.

Out of Turn Works

38. To the incurrence of expenditure on New Lines, Gauge Conversion, Railway Electrification works, Metropolitan Railway Projects, Computerisation, setting up of new Production Units, or Rolling Stock or Surveys not provided in the sanctioned budget for the year or carried forward from the sanctioned budget of the previous year.

39. To the incurrence of expenditure on other works not provided in the sanctioned budget or carried forward from the sanctioned budget of any previous year, except-

(a) (i) Traffic Facility works - costing less than Rs. 50 lakhs each,

(ii) Safety related works under Bridge works, S&T and Track Renewal plan heads ? costing less than Rs. 50 lakhs each,

(iii) Other Works ? costing not more than Rs. 30 lakhs each.

(iv) Machinery and Plant ? costing not more than Rs. 10 lakhs each,

provided that the total lumpsum provision made in the budget for such works is not exceeded.

(b) (i) Traffic Facility works and line capacity works - costing less than Rs. 50 lakhs each,

(ii) Safety related works under Bridge Works, S&T and Track Renewal plan heads - costing less than Rs. 50 lakhs each,

(iii) Other works - costing not more than Rs. 30 lakhs each,

Subject to the budgetary ceiling of Rs. 10 crores (other than lumpsum) in a financial year, of which not more than Rs. 3 crores could be on other than safety related items with the proviso that all safety works should be completed within a maximum period of 8 months from the date of sanction.

Note: (1)The works thrown forward from previous year may be taken up only if the funds required for them can be found by re-appropriation within the sanctioned allotment.

(2) The savings in the lumpsum provision made in the sanctioned budget shall not be utilized for the category of works in (b) above, without the prior approval of Railway Board.

(c ) To the sanction of expenditure on new works out of turn in respect of Users? Amenities costing not more than Rs. 30 lakh in each case subject to conditions indicated in the notes below and not more than Rs. 10 lakhs in each case in respect of existing Railways? Schools, Hospitals, Dispensaries and Institutes subject to the provision that the funds required for such works as provided in the sanctioned budget for works in these categories are not exceeded.

Note: (i) Emphasis should be on creation of amenities of durable and lasting nature and funds should not be frittered away on provision of superficial items like furnishings and furniture, etc.

(ii) prescribed norms/ parameters regarding passenger population should be followed in providing the amenities/ facilities.

(iii)Powers for sanction of out of turn works between Rs. 15 lakhs and Rs. 30 lakhs each should be exercised personally by GM with personal concurrence of FA&CAO.

(iv)This will be subject to the overall ceiling of Rs. 10 crore for out of turn works.

(Authority: Board?s letter no.F(X)II-2003/PW/1, dt. 21/8/03).

40. (1) Sanction of Estimates

a) To the sanction of detailed estimates costing above Rs 20 crores and also where the excess over the abstract cost is not within the General Manager’s competence vide item no.40(2)(1) below.

NOTE: General Managers may, however, sanction estimates costing above Rs 20 crores, but below Rs 50 crores in each case where a work was included in the budget on the basis of a Survey Report subject to the following conditions:-

i) the excess over the approved cost, if any, is limited to 25%;

ii) in comparison to the scope and nature of the work envisaged in the Survey Report and the abstract estimate, there is no change at the stage of sanction of the estimate.

iii) Personal approval is obtained at the level of General Manager and FA&CAO in cases of such estimates costing above Rs 20 crores but below Rs 50 crores.

(Authority: Board?s letter no. F(X)II/2001/PW/6, dt. 30/4/2002.)

b) To sanctioning of track renewal estimates where the excess is not within the General Manager?s competence as prescribed in sub-item 40(2) (1) below.

40(2) Sanction of excess over estimates

1) To an excess over the estimated cost as entered in the Sanctioned Budget or sanctioned separately by an higher authority as follows:

a) Increase in cost due to escalation ? More than 50% of original estimate.

b) Increase in cost due to reasons other than escalation - More than 10% of original estimate or Rs 10 crores, whichever is less.

NOTE: 1. These are the overall variations on the original estimate and cannot be exceeded even if more than one revised estimate is sanctioned.

2. This delegation will not affect rules in force regarding material modification.

(Authority:Board?s letter no.F(X)II/2000/PW/2, dt.23/1/2001.)

2) To an excess over the estimated cost of Machinery & Plant included in M&P Programme in excess of 30% of the original cost or Rs 25 lakhs, whichever is less.

NOTE: Revised M&P estimate involving material modification costing more than Rs 5 lakhs each will have to be referred to Railway Board.

(Authority: Board?s letter no.F(X)II/94/PW/3, dt. 2/8/95.)

40(3). Surveys

To an excess over 20% on an original estimate sanctioned by higher authorities.

NOTE: (i) General Manager can sanction survey estimates provided the surveys are included in the sanctioned budget and approved yardsticks are followed while remaining within the amount indicated in the budget.

(ii)This delegation does not apply to works which do not have necessary procedural approval.

(Authority:Board?s letter no.F(X)II/2000/PW/2, dt.27/6/2000)

40(4) Lumpsum Works

i) To expenditure on lumpsum works provided in the sanctioned budget for the year or carried forward from the sanctioned budget of any previous year in excess of the total lumpsum provision for such works in the sanctioned budget.

ii) To sanction excess over estimates of works sanctioned under Item no. 39 in cases where percentage variation is beyond the competence of the General Manager in terms of Rule 40(2).

NOTE: The works thrownforward from previous years may be taken up only if the funds required for them can be found by reappropriation within the sanctioned allotment.

Miscellaneous
41. To the sale of -

a) any portion of a Railway line,

b) any item of authorised rolling stock or

c) any other Railway asset costing over Rs 3 lakhs.

42. To the dismantling or otherwise permanently closing to public traffic of any existing open line section.

43. To the alteration of or departure from the terms of contracts with Branch or Worked Lines.

44. To the write off of irrecoverable losses of cash, stores, tools and plant-

i) exceeding Rs 1 lakh in value when a Railway employee is in any way responsible for the loss.

ii) exceeding Rs 2 lakhs in value when a Railway employee is not in any way responsible for the loss.

NOTE: (1) Every important case of loss should be brought to the notice of the Railway Board, as soon as possible, after its discovery. When the loss involved does not exceed Rs 50,000/- the case need not be reported unless it represents unusual features or reveals serious defects in procedure.

(2)Insufficient balances under Suspense Heads not exceeding Rs 1 lakh can also be written off by the General Manager.

45. To the incurrence of expenditure in excess of Rs 40,000/- per year in connection with the entertainment of distinguished visitors, i.e. distinguished official or non-official personages, representatives of foreign technical associates, foreign technical experts, representatives of Trade and Industry including overseas companies.

(Authority:Board?s letter no.F(X)II/2000/PW/2, dt. 27/6/2000.)

46. Except in accordance with the rules contained in the Indian Railway Codes or any general or special orders issued by the Railway Board ?

i) to the construction of an assisted siding.

ii)to the acquisition, lease or disposal of land.

47. i)To enter into contracts in respect of sanctioned works in excess of Rs 40 crores for each contract (works contracts) and

ii) To enter into contracts in respect of purchase of stores in excess of Rs 15 crores for each contract (stores contracts.)

(Authority: Board?s letter no.F(X)II/2003/PW//1, dt. 26/5/2003.)

48. To the grant of advances to contractors ?

i) Mobilisation advance in excess of 10% of the contract value.

ii) Advances against new machinery and plant ? in excess of 10% of contract value or 75% of the value of the new machinery and plant brought to the site of work (whichever is less).

iii)Advances for accelerating the progress of work in special circumstances in excess of 5% of contract value or Rs 5 lakhs (whichever is less).

NOTE:All advances mentioned above shall be subject to levy of interest charges at the rate of 18% or as prescribed by the Railway Board.

(Authority: Board?s letter no.F(X)II-97/PW/4, dt. 5/5/98).

49. To any material modification estimated to cost over Rs. 30 lakhs in other than safety works and over Rs. 50 lakhs in safety related works under Bridge Works, S&T and Track Renewal planheads sanctioned by General Manager or higher authority.

Note: The exercise of this authority shall be subject to the following:

i) The excess or the revised cost of the estimate does not go beyond the General Manager?s power of sanction.

ii) Material modification estimated to cost more than Rs. 15 lakhs but below Rs.50 lakhs should be certified and sanctioned personally by Financial Adviser and Chief Accounts Officers and General Managers/Additional General Managers respectively.

iii) The material modifications pertaining to safety related works must be completed within a maximum period of 8 months from the date of sanction.

(Authority: Board?s letter no. F(X)II-2003/PW/1, dt. 9/1/2003).

50.To the grant of diet charges in any other case except ?

a) To a Railway employee undergoing treatment as indoor patient in Railway or non-Railway Government hospital for any diseases other than tuberculosis or leprosy or mental disease when the employee?s basic pay is not more than Rs 4,200/- per month.

b) (i) To a Railway employee or members of his family when receiving treatment for tuberculosis or leprosy or mental disease in a Railway hospital or an approved Institution, when the employee?s basic pay is not more than Rs 6,200/- per month.

(ii) To the dependant relatives of a railway employee receiving treatment for tuberculosis or leprosy in a Railway hospital or an approved Institution, when the employee?s basic pay is not more than Rs 6,200/- per month.

NOTE:In the case of temporary staff the pay last drawn while on active duty may be treated as substantive pay for the purpose of this sub-rule.

c) To persons, whether Railway employees or not, requiring such assistance from the Railway in emergent cases which involve living under difficulties as regards necessaries of life.

NOTE: (i) Indigent passengers injured or taken ill and removed to Railway hospitals and trespassers, who require immediate medical assistance may be given diet at the expense of the Railway Administrations, the expenditure being treated as part of ordinary working expenses of the Railway hospital.

(ii) The General Managers have powers to sanction free diet or reimbursement of the cost of such diet, according as the indoor treatment is given in a Railway hospital or in a non-Railway hospital, to Railway servants injured in the course of duty for such period as they remain indoor patients, not extending beyond one year after they are declared permanently unfit and discharged from service.

51. To the institution of legal proceedings against a newspaper for publishing false and damaging articles against the Railway Administration.

52. To the supply of electricity to outsiders except under the following conditions -

i) the provisions of the Electricity Act are not infringed;

ii) such supply does not cause any extra outlay either immediate or contingent;

iii) the supply can be made without any inconvenience to the Railway and after its full needs have been met;

iv) the rates charged allow for profit after taking into account all costs of production, direct and indirect and are above the rates supplied to Railway employees; and

v) the Railway should have power to discontinue the supply without notice and without compensation.

53. To any alteration in the existing cash and pay arrangements.

54. To the introduction of new designs for goods and coaching stock sanctioned for construction during each financial year irrespective of whether the stock is to be built to existing, sanctioned or new designs.

55. To changes, alterations or modifications in the design, layout or equipment of the existing rolling stock and marine vessels involving :-

a) infringements of the schedule of maximum and minimum running dimensions unless previously sanctioned;

b) decrease in the revenue earning capacities of coaching and goods vehicles and marine vessels, such as alterations in the class or seating capacity of coaching vehicles and marine vessels and a permanent decrease in the relationship between gross load and tare in the case of goods vehicles;

c) conversion of public service vehicles into Railway service vehicles and vice versa and material modifications (such as alterations in the wheel arrangements etc. in existing Railway service vehicles.);

d) the introduction of new facilities, fittings and equipments for the travelling public where such have not previously had the approval of the Board, e.g. cooling arrangements in carriages, electric fans in second class compartments, variations in types of lavatory and other equipments which involve matter of policy.

56. To alteration in the authorised stock of all descriptions.

57. To any expenditure on an object which has not previously been recognised as a fit object for Railway expenditure.




Source : Ministry of Railways (Railway Board) CMS Team Last Reviewed on: 22-02-2011  


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