Q.1.

what are the important checks done by AEE before

passing a works contract bill.
Answer:
1. Inspection of work for the laid percentage as per
specification, balance work by the SSE
2. Supply portion bill or execution portion to be ensured
3. Contractual condition to be seen,
4. Bill entries have been made in the books,
5. No over writing,
6. Deductions have been made for short supply-
pending liability etc.

Q.2.What are the important checks by Executive before a

proposal submitted for finance vetting.
Answer:

1. Why the work is required?

2. Even if there are directives from HQ or Railway
Board,
3. Justification shall include financial advantage,
4. Quantity involved,
5. Time to be taken for the work,
6. Work to be done through works contract or
departmentally,
7. Availability of funds,
8. Release material has been taken into account,
9. Probable sources for the supply of material,
10. Why the material portion cannot be procured by
COS etc.
Q.3. What are the Important checks for initiating a proposal in your field of
working for sanction of a work in Law Book.

Answer:

1. The work proposed is going to ease in maintenance cost,

2. operating viability,
3. safety,
4. financial viability
5. The work shall be proposed in Capital or DRF.
6. Preferably in Capital if ROR can be worked out.
7. Quantification and rate analysis as per LAR or
8. budgetory quote.
9. LAR shall be recent and budgetory quote shall be from
genuine source.

When a new item is required to be standardized, the SR.DEE concerned should send a
preliminary proposal to CEE giving the description of the item, available details of specifications
and drawings, where item is proposed to be used, estimated annual consumption, basis of the
estimated consumption, likely sources of supply and other relevant details. The proposal will be
carefully scrutinized in CEE's office and if standardization is considered justified, a complete
proposal, as prescribed by the Stores Department will be forwarded to COS, who will arrange to
include the item in the 'Standard Nomenclature List of Stores under advice to the Stocking
Depots and the Sr.DEEs concerned.

When indents are prepared, the essential points to be borne in mind are listed below
a) The description should he complete and written out clearly. Figures in the description (e.g.,
kW rating) should be spelt out also in words. If the space in the standard form is not sufficient
to write out the description in full, it should be given in a separate attached sheet, preferably
typed.
b) When mention is made of a local drawing or specification, requisite number of copies should
be attached, taking care that these are with the latest amendments.
c) The quantity should be invariably given in words and figures in the respective columns.
d) The designation and full postal address of the consignee and the controlling officer should
be given to facilitate correct dispatch of Railway Receipt and other documents.
e) When a non-standard item is asked for, particulars of the last supply, if any, should be given
to enable the Store Department to locate likely suppliers.
f) When the requisition is for a proprietary article, the ordering reference as given by the
Manufacturer should be quoted and carefully tallied and a Proprietary Article Certificate in the
prescribed form should be attached, duly signed and countersigned by the Competent
Authority.
g) The rate should be either on the basis of last purchase rate suitably adjusted for price
variations or on the basis of actual market quotations or a reasonable estimate. It will be
helpful if the basis on which the rate is quoted is mentioned on the indent itself or in the
covering letter.
h) The chargeable head of account should be correctly indicated.
i) Any corrections should be initialed by the officer signing the requisition.

10813 Check on Bills

Detailed instructions issued by the Stores Department are available in regard to the procedure
to be followed for checking and passing of supplier's bill. The 'original' bill is sent to the
consignee and the 'duplicate' to the controlling officer. The original bill checked and signed by
the consignee is sent to the controlling officer for countersignature and onward transmission to
the supplier under advice to the bill passing Accounts Office. A few illustrative points in regard
to technical and other checks to he exercised by consignees and controlling officers are
explained below for guidance. These are supplementary to the procedural instructions of the
Stores Department referred to above: -
1. Sometimes Purchase Order are placed FOR destination station. Freight then is required to be
borne by the suppliers and the accepted rate is inclusive of this. In some other cases Purchase
Orders specify dispatch of the stores FOR dispatching station, when freight is to be borne by the
consignee. Only in the latter case should the consignee ordinarily give a credit note to cover the
freight charges. In the case of the first type of Purchase Order i.e., FOR destination, if
erroneously the stores are booked by the supplier 'freight to-pay', the freight, for which a credit
note is given by the consignee, is recoverable from the bill and the controlling officer should be
advised accordingly.
To avoid errors of this type, it is advisable for consignees to maintain separate registers,
preferably in different colors, to register purchase orders of the two types. It should also be
remembered that loss suffered by the railway due to such errors is recoverable from the
supervisor responsible.

2. Inspection of the equipments supplied should be carried out carefully in accordance with the
specifications and drawing mentioned in the Purchase Order. Metallurgical tests should
invariably be arranged through the Chemist and Metallurgist of the Railway when required,
particularly for OH E fittings, alloy steel components for rolling-stock etc., where strict
adherence to the specified material is very important. Test certificates produced by the
suppliers are of doubtful reliability, unless they are from recognized laboratories.

3. Quantity check should be carried out carefully, number, weights and lengths stated by the
suppliers on packages should he checked at random and based on these checks, if required, 100
per cent checks should be carried out. Where Railway samples have been made available to the
manufacturer these should be taken back and accounted for.
4. The quantities accepted are required to be entered forthwith in ledgers and the details of
entries shown on the bills before they are certified. Controlling Officers should test-check these
entries frequently.

5. Where the supply has been received after, the due date stipulated in the order, sanction of
the Competent Authority should be obtained before the supply is accepted.

7. In the event of rejection, a letter should be addressed to the firm forthwith detailing the
reasons and duly countersigned by the controlling officers. Rejected supplies when
dispatched by rail to the supplier, should be invariably sent ‘freight to pay’. Rejected
supplies not removed by local suppliers from the consignees premises within the
stipulated time are liable to levy of storage charges as laid down by local instructions.

7. Occasionally suppliers allow a small rebate if their bills are passed within a specified period.
This condition is incorporated in the order itself at the time of analyzing the order or it may be
indicated by the Supplier when submitting his bill. Such bills specially watched and passed in
time, both by the consignee and the controlling officer, to take advantage of the rebate
admissible. It should, however, be noted that tests required to prove the quality of the supply
should not be waived merely to pass the bill by the stipulated date.

8. Occasionally, orders are placed on ‘time preference' basis i.e., a lower quotation is passed
over and higher quotation accepted to take advantage of the earlier delivery offered by the
latter. In such cases delivery of supplies after the stipulated date will automatically involve
certain penalties on the supplier. Acceptance of delayed supplies against time preference
orders should be in accordance with instructions on the subject issued by the Stores
Department.

Procedure of Inspection: Stores should be checked with the standard specification or drawing
on which the order is based. In the rare cases where orders have been made to a sample, a
standard sealed sample shall be held by the Inspecting Officer and Stores accepted only if they
are up to the standard sample’.