BANKING ARRANGMENT FOR ADDITIONAL FINANCING1
Then HOD’s submit Sanction & Fund
Release Proposal to PCU, ARIAS Society
PROCESS FOR RELEASE OF FUND
DDO OFFICE
All schemes upto Rs. 100.00 lakhs- by SPD
All schemes above Rs. 100.00 lakhs and upto Rs. 250.00 lakhs -by SPD with approval of APC
All schemes above Rs. 250.00 lakhs-by SPD with approval of Sanction Sub Committee (SSC)
Schemes under direct implementation responsibility of PCU, and costing upto Rs. 20.00 lakhs -by SPD
Sanctions above Rs. 20.00 lakhs for schemes, which are under direct implementation responsibility of PCU, is accorded by SPD with approval of APC
PARENT-CHILD BANK ACCOUNTS
On recommendation of the World Bank’s May 2012 Mission, Parent-Child Bank Account Systems started under AACP-AF from June, 2012, as an effort towards Better Fund Management for efficiency in Financial Management
MOU signed with 3 Banks with coverage in Maximum Districts
Union Bank of India
United Bank of India
Union Bank of India - PWD and Forest
United Bank of India - Agriculture and Fisheries
UCO Bank - Dairy and A.H. & Veterinary
Banks submit monthly MIS report of Parent-Child A/c to PCU.
PCU OFFICE
PCU fixes limit for Accounting Centre (Child Account) depending on the
FRP and the limit is intimated to the bank as well as to Accounting Centre.
After approval of Sanction & Fund Release Proposal by PCU
 
 
DDO OFFICE
BANK
After receiving the Fund Limit Intimation Order by the DDO’s, fund are released
immediately through electronically (RTGS) to the beneficiary groups/contractor etc.
All payment made through bank/electronic transfer, a payment advice letter send to the bank with cheque, with detail like –
Beneficiary Group / Contractor name
Full A/c No.
FUND RELEASE PROCESS IN
letter by Bank, Bank transfer fund
to beneficiary groups / Contractor etc.
through RTGS/electronically & also send
& beneficiary groups /contractor etc.
BENEFICIARY GROUPS
bank accounts of all accounting centers.
Nodal Office of each line department has also viewing
right of transactions of bank account of all the
accounting centre under the respective line Dept
DDO’s of each department has viewing right
of transaction of bank account of Child A/c.
8
In Cash Book Fund Limit Amount booked
Bank Reconciliation (difference between Fund Limit issue by Parent A/c & Fund Limit Drawn by Child A/c)
In CHILD A/c
Transaction amount is booked in receipt & payment side of cash book of all ACs.
Bank Reconciliation
DISTRICT ACCOUNT MANAGER
PCU appointed 10 (Ten) nos. of District Account Manager (DAM) under AACP-Additional Financing.
Each DAM is assigned 4 to 6 Accounting Centre in respective Districts.
Objective:
DAMs primarily responsible for
updating monthly accounts from manual cash book and ledgers maintained by accounting centers
send reports to PCU for consolidation on a monthly basis
support/train community groups on FM aspects
Continued
DAM assist Accounting Centres (AC) for preparing Accounts
Enter data in accounting software (Tally) from AC’s Cash Book
Prepare and submit Monthly/Quarterly Reports.
Verify manual Cash book of ACs with supporting vouchers.
Assist and guide the ACs on accounts matter.
Assist ACs in Audit matters.
Verify books of accounts of BRC/beneficiary groups from time to time.
TRAINING ON PARENT-CHILD
PCU conducted detailed training programs for Accounts Staffs of Accounting Centres as well as for District Accounts Managers.
Monthly Reimbursement Report
Due Date
Required supporting documents
1. Bank Reconciliation statement 2. Photocopy of original bank statement
Responsibility for preparation of report
DAMs prepare reports & submit to PCU with signature of DDO’s in the IUFR formats
MONTHLY REIMBURSEMENT CLAIMS
Reimbursement Claim for AF-AACP is IUFR based.
Accounting Centers submit reimbursement claim directly to PCU in IUFR format with a copy to HoD.
PCU compile data and submit consolidated IUFR to the World Bank for approval.
On receipt of no-objection from the World Bank PCU submit reimbursement claim to Controller Aid, Accounts and Audit (Government of India) in IUFR format.
REIMBURSEMENT CLAIM
THANK YOU