Railway Store Department Code Vol-1, Ch-1 PDF

11/21/24, 9:16 AM CHAPTER I CHAPTER I INTRODUCTORY...

11/21/24, 9:16 AM CHAPTER I CHAPTER I INTRODUCTORY ORGANISATION 101. The Controller of Stores.—The administration and control of the stores of a railway will be conducted by the Stores Department, under the supervision of a Controller of Stores. On him will devolve the duty of ascertaining the needs of a railway in the matter of materials and stores and of arranging for the supply of such materials and stores in the most efficient, economical and expeditious manner possible. He will be responsible for their receipt, inspection and distribution to the various stores depots, for their custody while in-charge of the stores department and finally for their issue on requisitions received from authorised officials of the railway. He will be in-charge of inventory control. 102. The stocks of certain groups of the stores required by a railway have often to be held by the users at the place of work:— (i) To avoid piecemeal requisitioning of stores from the Stores Department, (ii) For use in emergencies, so as to safeguard against delays or detentions in transportation, and (iii) In some cases, in consideration of the special nature of the material stocked and of the transportation of such material. Such stores are :- (i) Permanent way or other engineering material in the custody of Permanent Way Inspectors and Inspectors of Works. (ii) Locomotive, carriage and wagon parts and electrical stores in running sheds, signal stores, train examining stations and in-charge of out-door electrical chargeman and signal inspectors respectively. (iii) Stores in workshops waiting to be used in repairs or manufacture of locomotive and carriage and wagon duplicates. (iv) Stores which have been purchased for special works, and charged to such works, but (a) left in the custody of the Stores Department (Custody Stores), or (b) lying at site of work (materials-at site). 103. Functions of the Controller of Stores.—All Stocks of stores on hand, whether with the Stores Department or other departments of the Railway, represent funds that are not productive. While stocks should be such that stores required by the railway are readily available, they should be as small as possible, and losses due to obsolescence or deterioration should be the minimum practicable. The centralized control that is required for this purpose will vest in the Controller of Stores who will be the head of Stores Department and will be responsible for the— (a) purchase and inspection, and (b) custody and issue of railway stores. 104. All materials and stores for which the consuming departments have no immediate use should be returned to the Stores Depots, the Controller of Stores being responsible for their survey and valuation, and for disposal by sale or otherwise. He has also to deal with all the surplus, and unserviceable material of the railway. https://indianrailways.gov.in/railwayboard/uploads/codesmanual/StoreDept-I/StoreICh1_Data.htm#101. 1/14 11/21/24, 9:16 AM CHAPTER I 105. Nomenclature-cum-Price List.—He should issue and maintain upto-date a Nomenclature-cum- Price List including all items of stores in stock in the Stores Depots. Each separate item of stores in this list should be assigned a number and this number as well as the description should be quoted on all requisitions, receipt, issue and other documents relating to that item. 106. The Controller of Stores is not a Disbursing Officer, nor he is required to keep any general accounts of the stores transactions of the railway. His duties in this respect will be limited to the maintenance of numerical records of stores in stock and to the preparation of the initial documents of receipt and issue. 107. General Supervisory Control.—The Controller of Stores should arrange for submission to him of such statements and returns as may be necessary to keep him informed of the stocks available in his depots, the manner in which the requisitions of the departments are being complied with, the inflow of materials not required by departments and the steps taken to dispose of surplus and unserviceable stores. 108. Planning of Supplies of Stores.—The Controller of Stores is responsible for preparing a correct estimate of the quantities of stores to be purchased or manufactured in the railway workshops each year and for making the most advantageous arrangements possible for the economic purchase of stores. In this, he will be guided by the Purchase Policy Rules, the Contract Rules and the rules prescribing the purchase of certain articles through specified agencies, i.e. the Railway Board and the DGS&D. The Directorate General of Supplies and Disposals is the biggest agency and it has been set up with the object of collecting together the requirements of the various government departments and making bulk purchases at the most economic rates. The purchase through the agency of the Directorate General of Supplies and Disposals is normally obligatory subject to some monetary limits in the case of a large number of articles for items other than Rly. Board specified exclusive railway items and, in respect of such purchases, the Controller of Stores should work in closed co-ordination with that department, while watching the interests of the railway administration. Stationery, printing stores and office machinery and appliances for all government departments and for railways are similarly purchased through the Controller of Printing and Stationery. Supplies of wooden sleepers are arranged for through an organisation known as the Sleepers Pool. Mathematical Instruments are to be obtained through the National Instruments (Private) Ltd., Calcutta. 109. Purchase of Stores.—The purchase of all other stores should be arranged for by the Controller of Stores, under the orders of the General Manager, subject to certain reservations which the Railway Board have made regarding the call of tenders and for the letting out of contracts for certain items of stores, such as coal, rails, cast-iron sleepers, and rolling stock. In respect of items earmarked for procurement by the Railway Board, the Controller of Stores will ensure timely submission of indents as in the case of DGS&D items. STORES DEPOTS 110. Nature & Distribution of Stocks.—For the purposes of maintenance and distribution, the stores are divided into General Stores & Engineering Stores including permanent way stores. The organisation for the control of stocks of permanent way materials is generally under the direction of an officer designated the Track Supply Officer who, with his staff of any separate permanent-way depot that may exist, constitutes a self-contained branch of the Stores Department. It will be the duty of the Track Supply Officer to maintain close co-operation between the Controller of Stores and the Chief Engineer. 111. Materials are stocked at suitable points on the line in stores depots under Depot Officers subordinate to the Controller of Stores. In addition, imprest stocks of stores are also sanctioned to categories of subordinates, such as Running Shed Foreman, Train Examiners, Electrical Chargeman, Permanent Way Inspectors, &c. 112. Location of Stores Depots.— For facility of work, there should ordinarily be: (i) A Locomotive Stores Depot attached to and serving the main locomotive workshops of the railway, steam, diesel and electric. (ii) A Carriage and Wagon Stores Depot similarly attached to the main carriage and wagon shops. https://indianrailways.gov.in/railwayboard/uploads/codesmanual/StoreDept-I/StoreICh1_Data.htm#101. 2/14 11/21/24, 9:16 AM CHAPTER I (iii) A Signal Stores Depot serving the Signal shops, if any. (iv) One or more Permanent-way Material Depots for storing permanent way and bridge materials. (v) Stationery Depot. (vi) One or more stores depots or yards for collecting all scrap and unserviceable material. Such depots should be situated in or near the best market for the disposal of such articles, (vii) Other General Stores Depots as found necessary. No new Stores Depot should be formed without the sanction of the General Manager such sanction being recorded in the minutes of Official Meetings. 113. Stock Items.—Such Items will be kept in the custody of the Stores Department which are frequently and regularly required and whose unit cost justifies incurring inventory carrying cost associated with these items. Such items will be known as 'Stock' items. 114. Ordinary Stores.—Ordinary Stores are generally such items of Stores for which there is a regular turnover caused by a constant demand and which are stocked by the Stores Department in its Depot. 115. Emergency Stores.—The depots have also to stock certain items of stores though they do not have a regular turnover caused by a constant demand. These are 'Emergency Stores' and comprise items of stores which do not ordinarily wear out or require renewal, which have, however, to be kept in stock to meet emergencies, such as that due to breakage or unanticipated deterioration, and which are not readily obtainable. The stock cards relating to such stores should be marked with the letter 'E'. 116. Non-stock Items.—All items other than 'stock' items will be called "Non-stock1 items. These items may, however, be described in the Standard Nomenclature List No purchase of such items will be made for stock purposes. 117. Special Stores.—These are stores required for works and other special purposes i.e. other than for 'operation' or ' ordinary maintenance and repairs' and which are ordinarily dispatched directly to the requisitionist without being stocked in a stores depot. 118. Surplus Stores.—These are of two kinds, 'Moveable' and 'Dead'. Moveable Surplus Stores comprise items of stores which have not been issued for a period of 24 months, but which, it is anticipated, will be used in the near future. Dead Surplus Stores comprise items of stores which have not been issued for 24 months and which, it is considered, are not likely to be utilised on any railway within next two years. 119. Such surplus stocks may be the result either of changes in design, in specification, &c. of the 'stock items' of stores or of consuming departments returning to the depots special items or stocks items of stores no longer required by them such stores have to be held in custody in stores depots and steps taken for their prompt disposal. 120. Surplus stores should be distinguished from "over stocks" or ordinary stores (see paragraph 2230-2). 121. Main Depots.—The stock of each depot should comprise only those materials or stores as are required in the shop or Divisions which the depot serves. 122. Subject to the above rule, each stock item should be allocated to one depot, the factor governing the selection of the depot being generally the proximity to the base of supply. The depot so nominated will be the Main Depot for the item, all other depots which may stock the same item for issue in their respective territories being 'Subsidiary Depots' as far as that item is concerned. All orders for purchase or manufacture by Workshops of an item of stores will be placed by the 'Main Depot' for the item, the 'Subsidiary Depots' merely placing requisitions on the Main Depot. 123. The assignment of one depot as a Main Depot for an item of stores prevents the slow accumulation of surplus stocks in each depot by individual direct purchases of stores, obviates loss of valuable time involved in reference to each other depot to see whether surplus stocks are available before a purchase order can be placed, and as will be seen from the detailed procedure in paras 1414 to https://indianrailways.gov.in/railwayboard/uploads/codesmanual/StoreDept-I/StoreICh1_Data.htm#101. 3/14 11/21/24, 9:16 AM CHAPTER I 1439, concentrates the surplus stores of an item in one depot, viz., the Main Depot and therefore enables the systematic working off of such surplus before purchases are resorted to. 124. Minima and Maxima.—A minimum and maximum limit should be laid down for the quantity of each 'stock item' of stores in a depot at any time below or above which the balances should not ordinarily be allowed to go. 125. Minimum Stock.—The minimum limit should be a quantity of stock representing an average weekly issue multiplied by the number of weeks, which from past experience, it is known will elapse from the date of placing an order before fresh stocks can arrive at the depot. The minimum limit is therefore the lowest permissible level to which the stock of an item may fall without a stock recoupment having been sent forward for replenishment. It is the "Stock Order Point" signifying the point at which the recoupment demand should be sent forward. 126. In the case of items arranged for on an annual contract basis, it is possible to keep the "minimum" very low, because the time required to get fresh stocks is merely the period required for placing a purchase order on the firm against the annual contract. Supplies of items, which are merely purchased as and when required, take a considerably longer time than supplies of items ordered up against annual contract as the time factor must be adequate for the calling of tenders, placing of order, and for the contractor to obtain his supplies after receipt of the orders. As such, a system of as-and- when-required-purchases, in addition to involving higher minima stocks being kept, results in the items frequently running out of stock. Every endeavor should therefore be made to place as many stock items as possible on annual contracts. 127. The minimum stock limit should be fixed as low as possible depending upon the prevailing market conditions and the proximity of the depot to the normal source of supply. 128. Maximum Stock.—The fixing of the maximum limit is governed by the following factors :— (i) Economic Size of Each Order.—The "Maximum" is the lowest quantity that may be ordered for at any time after providing that stores are never less than the prescribed minimum. As orders for small- quantities at a time at frequent intervals would result in increased cost of packing and other charges, including heavy clerical and accounting work, cost of stationery and inconvenience to the suppliers, the "maximum" should be carefully fixed with due consideration for this factor. (ii) Increased Lock up of Capital.— On the other hand, the fixation of high limit would involve apart from inventory carrying costs unnecessary locking up of capital, risk of deterioration of stores, extra storage and protection arrangement, increased labour charges, and accumulation of surplus by unnecessary advance purchase of stores, which by the light of information available at a later date could otherwise have been cancelled from the contract obligations under the clauses empowering increase or decrease of the contracted quantity. (A working rule is that the maximum should not ordinarily exceed twice the minimum limit prescribed for an item). 129. Minima and Maxima for Workshop Items.— Maximum and minimum stock limits for items manufactured in railway workshops should be fixed in consultation with the Works Manager of the shops concerned, taking into consideration the time taken by the workshops to complete any recoupment orders placed on them. 130. Powers of the Controller of Stores.—The financial and other powers of the Controller of Stores are such as are delegated to him by the General Manager, within the" provisions of the Indian Railway Codes and the rules and orders issued by Railway Board from time to time. 131. Standards of Financial Propriety.— In exercising these powers, the Controller of Stores should pay strict regard to the standards of financial propriety among which are the following:— (i) The expenditure should not prima facie be more than the occasion demands, and that every government servant should exercise the same vigilance in respect of expenditure incurred from public moneys as a person of ordinary prudence would exercise in respect of the expenditure of his own money. https://indianrailways.gov.in/railwayboard/uploads/codesmanual/StoreDept-I/StoreICh1_Data.htm#101. 4/14 11/21/24, 9:16 AM CHAPTER I (ii) No authority should exercise its powers of sanctioning expenditure to pass an order which will be directly or indirectly to its own advantage. (iii) Public money should not be utilized for the benefit of a particular person or section of the community, unless:— (a) the amount or expenditure involved is insignificant or (b) a claim for the amount could be enforced in a court of law or (c) the expenditure is in pursuance of a recognised policy or custom. (iv) The amount of allowances, such as travelling allowances, granted to meet expenditure of a particular type, should be so regulated that the allowances are not on the whole sources of profit to the recipients. Note.—All proposals involving financial implications except those which have been specifically exempted for this purpose should be referred to finance branch for advice before these are sanctioned. 132. Schedule of Powers of Purchase, Sales &c, of the Controller of Stores/Chief Materials Manager.— It has been found in practice that the powers of the General Manager in the matter of the purchase, sales &c, of railway stores need not be delegated to Controller of Stores/Chief Materials Manager beyond the limits shown in the schedule below. These limits should not ordinarily be exceeded. Subject to such safeguards as may be laid down in consultation with the Financial Adviser and Chief Accounts Officer and within the limits laid down by the General Manager, the Controller of Stores may delegate powers of purchase to his subordinate officers attached to his office, excepting where levels of delegations have been fixed by the Board. Note.—The expression subordinate officers attached to his office occurring at the end of the above sub- paragraph includes all Gazetted Officers under the Stores Department of the Railways whether at the Headquarters, Depots or Divisions. POWERS Item Nature of Power Extent of power No. 1 2 3 1 Purchase of stores including stationery and Up to Rs. 2 Crores for CMM and Rs. 15 printing. Crores for COS for each individual (Authority Board's letter No. 87/RS(G)/779/27 item. Same as stipulated in Para dated 23.01.2014) –acs no.33 331 (c) the previous sanction of the General Manager is necessary to- Subject to the constitution of tender (1)the adoption of the single tender committees to deal with tenders of the value of system to orders, the estimated Rs. 10 lakhs or above in each case, vide value of which exceeds paragraph 351, note I. (i) Rs.3 Lakhs in the case of non-proprietary articles in normal circumstances and Rs. 15 Crore in the case of proprietary articles where PAC 'c' has been https://indianrailways.gov.in/railwayboard/uploads/codesmanual/StoreDept-I/StoreICh1_Data.htm#101. 5/14 11/21/24, 9:16 AM CHAPTER I certified subject to the rates quoted being reasonable; (ii) Rs. 5 Lakhs in case of emergencies, in case of Proprietary articles where PAC 'a' has been certified and in case of articles in the process of indigenous development subject to the rates quoted being reasonable; (2) the adoption of the open tender system to orders, the estimated value of which exceeds Rs. 10 Lakhs; 2 Purchase of stores through the Directorate (a). Power to sign on behalf of the General of Supplies and Disposals. General Manager all indents placed in India on the Directorate General of Supplies and Disposals against "General Purposes" grant and to certify minor casual indents not involving expenditure against the advance grant upto a limit of Rs. 30,000 in each case. Also power to incur liability in respect of "other than imported stores for general purposes" in anticipation of funds being provided in the sanctioned budget for the following financial year and to certify indents for such stores placed on the Directorate General of Supplies and Disposals accordingly. (b).ln the case of running contract the Controller of Stores/Chief Materials Manager may exceed the contract quantity plus tolerance laid down by the Directorate General of Supplies and Disposals with the prior sanction of the Director General of Supplies and Disposals, and subject to the limit of Rs. 10,000 in each case 3 Purchase of Printing & Stationery - Deleted All powers under paragraph 1109 of this code. - Deleted (Authority Board's letter No. 87/RS(G)/779/27 dated 23.01.2014) –acs no.33 (Authority Board's letter No. 87/RS(G)/779/27 dated 23.01.2014) – acs no.33 4 Penalties for failure to deliver stores within the 1. The penalties laid down in the stipulated time. contract Document are - a) Cancellation of the contract and recovery of any loss or damage which the railway may sustain by reason of such failure on the part of the contract, or b) Forfeiting of Security Deposit at the rate of 10% of contract value, provided the same has been https://indianrailways.gov.in/railwayboard/uploads/codesmanual/StoreDept-I/StoreICh1_Data.htm#101. 6/14 11/21/24, 9:16 AM CHAPTER I submitted as per contract condition. or c) Purchase else where at the contractor's risk or d) Recover from the Contractor as agreed Liquidated Damages and not by way of penalty, a sum equivalent to 2% (Two percent) of the price of any stores (including elements of taxes, duties, freight, etc.) which the contractor has failed to deliver within the period fixed for delivery in the contract or as extended for each month or part of a month during which the delivery of such stores may be in arrears where delivery thereof is accepted after expiry of the aforesaid period, subject to a maximum of ten percent of value of the delayed supplies. There should normally be no system of waiver of LD and imposition of Token LD for delayed supplies in supply contracts. System of waiver of LD and imposition of Token Liquidated Damages for delayed supplies in supply contracts will strictly be an exception rather than rule and only in situations where the circumstances leading to delays in supplies were beyond the control of supplier. 2. In respect of purchases made under the General Manager's sanction, the Controller of Stores/Chief Materials Manager may be given powers of granting extensions of delivery periods. He has also powers to impose or waive penalties in such cases, with the concurrence of the Financial Adviser and Chief Accounts Officer. 5 Cancellation of orders placed by the Controller Full powers. of Stores under his own power of purchase or against annual contract sanction by the General Manager. 6 Obtaining excess quantities against items on Full Powers subject to the contract rate contracts. Conditions. 7 Obtaining excess quantity against items on Power to exceed the original contract running contracts entered into by the Railways quantity beyond the percentage tolerance agreed, subject to a limit of 10% of the value of the contract subject to conditions of Para 441-S. https://indianrailways.gov.in/railwayboard/uploads/codesmanual/StoreDept-I/StoreICh1_Data.htm#101. 7/14 11/21/24, 9:16 AM CHAPTER I 8 Sale of Stores to other railways. Full powers to sell any stores to other railway at full book rate or higher plus such additional charges as prescribed. 9 Sale of over-stocks of ordinary emergency or special stores:— By tenders................... Full powers and power to adjust the difference between book value and sale value. By direct sale............... Full powers to sell at the book rate or purchase rate whichever is higher plus the prescribed departmental charges. 10 Direct sale of books, forms, stationery, petty Power to sell at the book rate or stores and clothing for menial staff. purchase rate whichever is higher plus freight incidental supervision charges to the following Railway Employees' Co- operative Credit Society, Railway Institutes, Government Railway Police Department, Indian Posts and Telegraphs Department, Railway Battalions, Railway Regiments and other similar bodies. 11 Disposals by sale or transfer of scrap, unserviceable, surplus and obsolete stores and adjustment of the difference between the book value and sale value. (a)By tender……………………… Full powers to dispose of such material and to adjust the difference between the book value and sale value. (b)By direct sale to other Govt. Dept. and quasi Power to sell at book value or last Govt. bodies, public undertakings of Govt. of auction rate whichever is higher or at a India or State Govt. loss not exceeding Rs. 200 in each case. Note.-lf as a condition of sale, freight is to be borne by the administration cost of such freight should be taken into consideration in computing the loss. (This rule applies to all cases of sales). (c)By auction………………… Full powers subject to paragraph 2224. 12 Extension of time and enforcing or Power to grant extension of time either waiving of ground rent in connection with the for payment or removal of material sale of scrap to contractors and cases of stores specified in contracts entered into by awaiting removal from Railway premises. him and to enforce or to waive ground rent provided the railway has suffered no loss by such extension or waiving which facts must be recorded in writing in each case. 13 Writing down value of surplus or obsolete stores Power to write down the value of such on the books. items of stores as become surplus to requirements or absolute subject to a limit of Rs. 1 Lakhs for each item on the recommendation of Survey Committees. 14 Certification of indents for the purchase of Full power to sign and certify such stores through the Directorate General of indents. Supplies and Disposals against the works grant. https://indianrailways.gov.in/railwayboard/uploads/codesmanual/StoreDept-I/StoreICh1_Data.htm#101. 8/14 11/21/24, 9:16 AM CHAPTER I 15 Tender Deposits— (i) Refund of Security deposit. Full powers provided the contracts are satisfactorily completed. (ii) Forfeiture of earnest money deposited Full powers in accordance with the along with tenders and of security provision of the tender or contract deposits. provided that when the General Manager approves such tenders or contracts, he should decide the question of forfeiture. 16 Contracts – Full powers. Note. —Contracts should be given after for loading and unloading goods. public call for tenders. 17 Adjustments against the Stock Adjustment Full Powers Provided the adjustments Account. are:- (a) restricted to a limit of Rs. 5,000 for each individual case. (b) not due to the negligence, carelessness or dishonesty of any railway employee; (c)not due to different methods of measurement adopted by the Accounts Department Stock Verifiers and the departments. (d) Such that the Chief Accounts Officer agrees need not be referred to the General Manager. Note. - (1) The limit of Rs. 1,000 may be extended to Rs. 10,000 with respect of adjustments due to fluctuations in market rates. Note.- (2) The restriction in clause (a) does not apply to adjustments of the difference between book rates and sale values for which vide items 9 and 11. 18 To write off shortages of articles of dead stock, (i) Full powers upto Rs.5,000/- in each losses of stores and tools and plant in stock individual case provided that the and in transit on Revenue Account and adjustments :- to sanction adjustments effected in the numerical accounts for verifications undertaken (a) are not due to the negligence, departmentally or by the Accounts Deptt. carelessness or dishonesty of any railway Employees. (b) arising out of Accounts Department Verifications are such that the Chief Accounts Officer agrees need not be referred to the General Manager. (ii) And up to Rs. 2,000 in each case where the loss is due to the negligence carelessness or dishonesty of any railway employee where it is not possible to https://indianrailways.gov.in/railwayboard/uploads/codesmanual/StoreDept-I/StoreICh1_Data.htm#101. 9/14 11/21/24, 9:16 AM CHAPTER I effect the recovery of the cost of the stores from the employee concerned. (Authority Board's letter No. 2008/RS(G)/779/9 dated 06-02-2009).- -acs no. 16 page no. 6 to 9 Item No. Nature of Power Extent of power 1 2 3 1 Purchase of stores other than stationery and Up to Rs. 50 lakhs for CMM and Rs.1.5 crores printing. to COS for each individual item. Same as stipulated in paragraph 331 (c) the previous sanction of the General Manager is necessary to— Subject to the constitution of tender (1) the adoption of the single tender system to committees to deal with tenders of the value orders, the estimated value of which exceeds Rs. of Rs. 2 lakhs or above in each case, vide 10,000 in the case of non-proprietary articles paragraph 351, note I. and Rs. 25 lakhs in the case of proprietary articles and articles in the process of indigenous development subject to the rates quoted being reasonable; (2) the adoption of the open tender system to orders, the estimated value of which exceeds Rs. 3 lakhs; (3) the direct purchase of stores, for which indents have to be placed with the DGS &D value exceeding Rs. 25 lakhs. 2 Purchase of stores through the Directorate a) Power to sign on behalf of the General General of Supplies and Disposals. Manager all indents placed in India on the Directorate General of Supplies and Disposals against "General Purposes" grant and to certify minor casual indents not involving expenditure against the advance grant upto a limit of Rs. 30,000 in each case. Also power to incur liability in respect of "other than imported stores for general purposes" in anticipation of funds being provided in the sanctioned budget for the following financial year and to certify indents for such stores placed on the Directorate General of Supplies and Disposals accordingly. (b) In the case of running contract the Controller of Stores/Chief Materials Manager may exceed the contract quantity plus tolerance laid down by the Directorate General of Supplies and Disposals with the prior sanction of the Director General of Supplies and Disposals, and subject to the limit of Rs. 10,000 in each case. 3 Purchase of Printing & Stationery All powers under paragraph 1109 of this code 4 Penalties for failure to deliver stores within 1. The penalties laid down in the contract the stipulated time. document are— https://indianrailways.gov.in/railwayboard/uploads/codesmanual/StoreDept-I/StoreICh1_Data.htm#101. 10/14 11/21/24, 9:16 AM CHAPTER I Note.—Where no loss can be proved to have (a) Cancellation of the contract and recovery of occurred, no penalty is leviable. any loss or damage which the railway may sustain by reason of such failure on the part of the contractor, or (b) Purchase elsewhere at the contractor's risk or (c) Recovery from the contractor of a sum of 2 per cent of the contract price of the consignment per month or part during which the supply may be in arrear upto the amount of the actual loss sustained by the railway. The Controller of Stores/Chief Materials Manager may be given full powers to impose or waive these penalties in respect of all contracts entered into by the Railway. When waiving a penalty, the reason for doing so must be fully recorded on the relevant files and the stores bill forwarded to the Chief Accounts Officer suitably endorsed. 2. In respect of purchases made under the General Manager's sanction, the Controller of Stores/Chief Materials Manager may be given powers of granting extensions of delivery periods. He has also powers to impose or waive penalties in such cases, with the concurrence of the Financial Adviser and Chief Accounts Officer. 5 Cancellation of orders placed by the Full powers. Controller of Stores under his own power of purchase or against annual contract sanction by the General Manager. 6 Obtaining excess quantities against items on Full powers subject to the contract conditions. rate contracts 7 Obtaining excess quantity against items on Power to exceed the original contract quantity running contracts entered into by the beyond the percentage tolerance agreed, subject Railways. to a limit of 10% of the value of the contract subject to conditions of para 441-S. 8 Sale of Stores to other railways Full powers to sell any stores to other railway at full book rate or higher plus such additional charges as prescribed. 9 Sale of over-stocks of ordinary emergency or special stores:— By tenders................... Full powers and power to adjust the difference between book value and sale value. https://indianrailways.gov.in/railwayboard/uploads/codesmanual/StoreDept-I/StoreICh1_Data.htm#101. 11/14 11/21/24, 9:16 AM CHAPTER I By direct sale............... Full powers to sell at the book rate or purchase rate whichever is higher plus the prescribed departmental charges. 10 Direct sale of books, forms, stationery, petty Power to sell at the book rate or purchase rate, stores and clothing for menial staff. whichever is higher plus freight incidental and supervision charges to the following Railway Employees' Co-operative Credit Society, Railway Institutes. Government Railway Police Department, Indian Posts and Telegraphs Department, Railway Battalions, Railway Regiments and other similar bodies. 11 Disposals by sale or transfer of scrap, unserviceable, surplus and obsolete stores and adjustment of the difference between the book value and sale value. (a)By tender……………………… Full powers to dispose of such material and to adjust the difference between the book value and sale value. (b)By direct sale to other Govt. Dept. and Power to sell at book value or last auction rate quasi Govt. bodies, public undertakings of whichever is higher or at a loss not exceeding Govt. of India or State Govt. Rs. 200 in each case. Note.—If as a condition of sale, freight is to be borne by the administration cost of such freight should be taken into consideration in computing the loss. (This rule applies to all cases of sales). (c)By auction………………… Full powers subject to paragraph 2224. 12 Extension of time and enforcing or waiving Power to grant extension of time either for of ground rent in connection with the sale of payment or removal of material specified in scrap to contractors and cases of stores contracts entered into by him and to enforce or awaiting removal from Railway premises. to waive ground rent provided the railway has suffered no loss by such extension or waiving which facts must be recorded in writing in each case. 13 Writing down value of surplus or obsolete Power to write down the value of such items of stores on the books. stores as become surplus to requirements or absolute subject to a limit of Rs. 25000 for each item on the recommendation of Survey Committees. 14 Certification of indents for the purchase of Full power to sign and certify such indents. stores through the Directorate General of Supplies and Disposals against the works grant. https://indianrailways.gov.in/railwayboard/uploads/codesmanual/StoreDept-I/StoreICh1_Data.htm#101. 12/14 11/21/24, 9:16 AM CHAPTER I Tender Deposits— (i) Refund of Security deposit. Full powers provided the contracts are satisfactorily completed. (ii) Forfeiture of earnest money deposited Full powers in accordance with the provision of along-with tenders and of security deposits. the tender or contract provided that when such tenders or contracts are approved by the General Manager, the question of forfeiture should be decided by him. 16 Contracts— Full powers. For loading and unloading goods. Note. —Contracts should be given after public call for tenders. 17 Adjustments against the Stock Adjustment Full powers provided the adjustments are:— Account. (a) Restricted to a limit of Rs. 5,000 for each individual case. (b) Not due to the negligence, carelessness or dishonesty of any railway employee; (c) not due to different methods of measurement adopted by the Accounts Department Stock Verifiers and the departments. (d) Such that the Chief Accounts Officer agrees need not be referred to the General Manager. Note.—(1) The limit of Rs. 1,000 may be extended to Rs.10,000 with respect of adjustments due to fluctuations in market rates. Note.—(2) The restriction in clause (a) does not apply to adjustments of the difference between book rates and sale values for which vide items 9 and 11. 18 To write off shortages of articles of dead (i) Full powers upto Rs. 5,000 in each individual stock, losses of stores and tools and plant in case provided that the adjustments:— stock and in transit on Revenue Account and to sanction adjustments effected in the (a) are not due to the negligence, carelessness or numerical accounts for verifications dishonesty of any railway employees; undertaken departmentally or by the Accounts Deptt. (b) Arising out of Accounts Department Verifications are such that the Chief Accounts Officer agrees need not be referred to the General Manager. https://indianrailways.gov.in/railwayboard/uploads/codesmanual/StoreDept-I/StoreICh1_Data.htm#101. 13/14 11/21/24, 9:16 AM CHAPTER I (ii) And up to Rs. 2,000 in each case where the loss is due to the negligence, carelessness or dishonesty of any railway employee where it is not possible to affect the recovery of the cost of the stores from the employee concerned. https://indianrailways.gov.in/railwayboard/uploads/codesmanual/StoreDept-I/StoreICh1_Data.htm#101. 14/14