INSURANCE CORPORATION

EMPLOYEES' STATE
PANCHDEEP BHAWAN
HQRS. OFFICE:
GUPTA MARG
COMRADE INDERAJIN
NEW DELHI-110002

D a t e d )June, 2006
No.F-16/13/3/2/04-A/cs.7

To
Sr. State Medical
The Director (Med.) Delhi The
The Regional Director Commissioner State
Medical Superintendent,
Regional Office. Medical Commissioner
ESI Hospital.
ESI Corporation.

and adjustment of advances

Subject Release of funds for ARM/SRM
regarding.

Sir W-17/11/1/99-Constn. dated

letter No.
Kindly refer to this office 24.1.2006 regarding
V-14/14/2/05-C dated
31.05.2005 and letter No.
L o w s t a R

towards ARM
funds from HQ Office
uidelines issued for requisition of
of outstanding advances.
and SRM works and adjustment

the payment
funds to the field units and
For easy and quick flow of of the
to maintain the quality
thereon to the construction agencies following
to adhere strictly the
building. it is further requested
procedure:
and M.S. of the Model
(i) The Regional Director. SSMCs/SMCs
funds for ARM and SRM work for
Hospitals would be allocated the the
control independently for
the buildings under their
Division. If no allotment is
financial year by the Construction
lubo6 Division may be addressed for
received. the Construction
getting the allotted amount.

should be made based on

(ii) Sanction by the respective authorities
the delegation of powers and in concurrence with local finance
aecording full justificatior particularly
for Special Repair
ensured that the sanction is not
Estimates. Also it should be
exceeding the budget amount communicated.

undertaken based . o n the

(iii) If the Special Repairs work to be
justification is beyond the delegated power of the field head of
be approached with
deptts.. Construction Divisicn (HQ) should
The Construction Division
proper estimate and justification.
after scrutiny and found justified shall take action for

obtaining the sanction of the competent authority in

concurrence with Finance Division. After approval the sanction
will be communicated. The availability f-the-budget should be
ensured before sending any proposal to H office.

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368 .
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a u t h o r i t i e s to
the delegated
of
(iv) It is incumbent on the part decided t o
if it has been
e n s u r e due r e d u c t i o n
in ARM e s t i m a t e entire/Major part of
Special Repair work for the
entrust major
the building.
be specifically
sanctioned shall
(v) Funds for ARM/SRM so
from Accounts and Finance
Branch-2 of the HQ
requisitioned Regional
Office who shall transfer the amount to the respective
contain
Accounts unit. The letter requisitioning the fund should
the foliowing particulars invariably.

The budget allotment. the amount so £ar sanctioned and released

a
to the Construction Agencies both under ARM & SRM 8eparately.
amount now requisitioned both under ARM and SRM
(b The
separately.
(c) No amount is lying unadjusted on 31.3.2006 in respect of both
ARM and SRM. if the payment requisitioned is not for different
agencyY.
(a) The reference should specifically indicate that the requirement
of fund has been approved by the R.D. SSMCs/SMCs and M.S. of the
hospital as the case may be and duly vetted by finance.

(vi) Despite the HQ instructions on the subject thatno funds wil1l be

released if the. advances are outstanding upto theend _of
previous year if the R.D, SSMCs/SMCs and M.S. of the hospital as
the case may be felt that further release is justified. they may
refer the matter to the Construction Division(HQ) fully
explaining the circumstances and justification. The
Construction Division shall after obtaining the orders of the
competent authority oon the reasons adduced and found
justifiable will intimate the field unit. The reference need not
to be marked to Accounts Branch or any other branch of the HQ
0Ffice since no fruitful purpose would be served by endorsing
copies of the relaxation sought from Construction Division.
The letter calling for relaxation should indicate clearly the
amount outstanding and the series of action taken by the field
unit to 1iquidate outstanding advances.

(vii) As the outstanding advances are always adversely commented by

the C&AG in their report and inviting criticism from top
nanagement and taking into account the special relaxation
accorded vide this office letter dated 24.1.2006. the regional
head of the deptts. are requested to pay their specific attention
for obtaining the expenditure statement for liquidating the
outstanding advances particularly those pending for the longer
periods.

(viii) If the outstanding advances are pertaining to State PWDs, after

taking necessary steps upto the level of Secretary. PWD, a
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reference need to be made to theConstruction Division(HQ) for

recovering the amount fromreference
on account of payment due to be
letter to the Construction
paid tothe State Govt. The
Division should clearly indicatethe various steps taken by the
Regional Units upto the level of PWD Secretary. Resorting of

recovery from on account payment should be made as an

to
exception to the rule after exhausting all practicable steps
obtain the expenditure statement at local level.

It is not prudent to place 50% of the sanctioned amount at the

(ix)
end of l a s t nonth or the l a s t quarter of any financial year, as
the amount would not be utilized bYy the construction agency
entrusted. It should be
gualitatively for carrying out the work
amount is
ensured that at best not m o r e than 1/3 of the budget
work and to
released during last uarter. to avoid rush of
maintain the discipline in financial management.

The above is issued in consultation with A.C. (Constn.) and with the
approval of the Financial Commissioner.

Kindly acknowledge the receipt of the letter.

Yours faithfully.

(K.Rajasakar)
Joint Director(Fin)

Copy to
(1) M.C. for kind information.
(2) A.C. (Constn.) with reference to his endorsement in the
file on the malter.
(3) Joint Director (Fin.II). Hie is requested to release the
fund once the reference is received from the field units
and the referance contains all the details as stated
ibid at para (v).
(4) J.D.(Fin./D.D. (Fin.) of the region.

Joint Director(Fin.)