CONTENTS - Central Public Works Department

242 SECTION 38
SECTION 38
PAYMENT FOR THE SUPPLIES
38.1 General
All the stores that are received are verified, and measurements and details thereof are to be recorded
in the Measurement Book if the purchase is for specific work, and in the Goods Receipt Sheet if the
purchase is for stock. Payments are to be made by the Executive Engineer on the basis of the entries
recorded in the Measurement Book or Goods Receipt sheet as the case may be, according to the terms
of the payment as finalised in the supply order.
38.2 Payments against rate contract orders and insurance charges
In respect of the supplies received against the orders/indents placed against/through the DGS&D rate
contracts, the payments are made on the basis of inspection certificates issued by the Inspection Wing of
the DGS&D, and Receipt Certificate recorded thereon by the consignees. After the payment is made to
the suppliers by the Controller/Deputy Controller of Accounts (Supply), the office sends the bills and the
inspection notes (duly verified by the consignee) to the concerned Pay & Accounts Officer of the consignee
(Divisional Officer), who in turn issues cheques for the payment to the Controller/Deputy Controller of
Accounts (Supply), prepares PAO adjustment memo for the payment so made, and sends the same to
the consignee concerned. The consignee adjusts the memo through transfer entry in the monthly accounts,
crediting the amount to the remittance head and debiting to the work concerned.
38.3 Payment for steel & iron
For steel, advance payments shall be made only to main producers, i.e. TISCO, IISCO, RINL and
SAIL. The Superintending Engineer shall have full powers for the same. Advance payment as per their
standard terms of payment, inclusive of octroi, bending bundling charges may be made for procurement
of steel from the stockyard of the Steel Authority of India Limited or any other main producer before the
supplier issues the necessary delivery order. Sales tax/VAT, where payable, shall be paid extra.
38.4 Payment for cement
For DGS&D rate contract supplies, 98% payment is made on production of proof of despatch by
railway, i.e. railway receipt, and balance 2% after receipt of the consignment in good condition by the
consignee. Payment without consignee’s receipt certificate is permissible if the later is not received within
two months from the date of despatch. In case of local deliveries, 100% payment is made on production
of consignee’s receipt certificate.
38.5 Short/non-receipt of stores
The consignee should watch the actual receipt of the stores and report non-receipt or shortages or
rejections to the paying authority without loss of time, and in any case within 30 days of receipt of proof of
despatch/arrival of stores at destination.
38.6 Advance payments for purchase of stores
The Chief Engineers, Superintending Engineers and Executive Engineers are authorised to make
advance payments upto 90% to the firms for supply of stores upto the limit of their respective powers of
acceptance of tenders subject to the following terms and conditions:
(i) Advance payment shall be made only in cases where it is considered absolutely necessary.
(ii) The amount of advance payment against contract shall be made on the basis of a valid expenditure
sanction issued with the concurrence of the competent authority.