Treasury operations continued

Payments

In the case of payments, claims are presented in the prescribed form at
the treasury by the departmental drawing offices or by the public or
pensioners. The bills presented by the public are countersigned by
departmental officers. These claims are subject to treasury checks such
as arithmetical accuracy, correctness of the classification, comparison of
signature of the departmental drawing officer with the specimen signatures
on record with the treasury, identification of the payee, conformity with
authority, if any, issued by the Accountant General or the sanction of the
competent authority, completeness of the bill with supporting schedules in
respect of recoveries etc. The Bills are then passed for payment and sent
to the bank which makes the payment for the amounts as passed by the
treasury after identification of the payee. In places where the system of
cheque payments by the treasury has been introduced, the treasury
makes the payment of bills passed for payment through cheques which
are enchased by the payees at the bank. In the case of non-banking
treasuries, the treasury also perform the function of making the cash
payments.

In the case of banking treasury/sub-treasury, the bank which receives the
money and makes the payments, send a scroll daily of the receipt and payments transactions occurring there to the corresponding treasury/subtreasury. These bank scrolls merely list out the individual receipts and
payments giving the particulars of the depositor/payee and amounts and
are required to reach the treasury the same evening or the next morning.

The sub-treasuries are not required to compile the transactions occurring
with them. They send the account of transactions, both receipts and
payments, along with the supporting documents (challans and vouchers)
daily to the district treasury. In some States, the sub-treasury compiles the
receipt transactions under certain tax revenue heads such as sales tax.
The accounts of the sub-treasury are incorporated in the accounts of the
district treasury on the same day or at the latest on the day following the
day of their receipt in the same way, as if they had taken place with it.

Daily closing

The process of closing a State treasury for the day is as follows:
(i) The Accountant transfers the totals of his subsidiary registers into
the cash book and prepares a balance sheet in a prescribed form.
(ii) The Treasury Officer, checks both registers and cash books,
comparing each payment entry with its voucher and the register
totals with those entered in the cash books, and verifies a certain
number of the totals, the rest being checked by a Clerk; other than
the Accountant. The cashbook totals are also checked by a senior
subordinate other than the Accountant.
(iii) Meanwhile, the Treasurer sums both sides of his cash book and
draws up a balance memorandum which gives details in kind of the
notes, coins; etc.. Comparing the balances in his hands.
If the results in the balance sheet agree, the Treasury Officer signs the
cash book and the balance sheet and the accounts for the day are closed.

Note1: -The Accountant’s balance includes the balances of the subtreasuries and also the remittances in transit between the treasuries in the district, which have to be deducted before agreement can be effected with the Treasurer’s balance.

(iv) The Treasury Officer then verifies the cash, etc. in the hands of the
Treasurer as shown in his balance and together with the Treasurer,
locks it up under double lock in the strong room, which is then left
for the night in charge of the guard.