General Financial Rules GO Min. of Finance Ltr. No F.23(7).

E11 (A1/83) Dated 07 02 1984 on Procurement of Library Books and Good Offices Committee
THE MINISTRY OF FINANCE VIDE THEIR LETTER NO.F. 23(7).Ell (Al/83 DATED 7.02.1984 HAVE MADE CHANGES IN THE GENERAL FINANCIAL RULES WHICH DISPENSE WITH THE NECESSITY OF CALLING FOR TENDERS OR QUOTATIONS Copy of O.M. No. F23 (7) E.11 (Al/83 New Delhi dated the 7.2.1984/18 Magh 1905(Saka) of Government of India. Ministry of Finance (Department of Expenditure), addressed to all the Ministries/Departments of the Government of India and copies endorsed to Comptroller and Auditor General of India and the Union Public Service Commission and others. Subject : Amendment to rules 99 and 116 of the General Financial Rules, 1963 (Third edition) exclusion of books, publications and periodicals, etc. from the definition of "Stores". Attention of all the Ministries/Departments of the Government of India is invited to rules 99 and 116 contained in Chapter 8 dealing with the "Stores" in the General Financial Rules, 1963. The President has been pleased to decide that hereafter the books, publications, periodicals, etc. of a library will not be treated as an item of "Stores" as defined in the "Note" below Rule 99 of the General Financial Rules, 1963. Accordingly the provisions of the said "Note" and the Government of India's decision(l) below Rule 116 of the General Financial Rules 1963, (Third Edition) have been amended as per amendment enclosed." This issues with the approval of the Comptroller and Auditor General of India and the Department of Supply. 2. Hindi version of this o.m. is enclosed ** *Reproduced below ** Not enclosed. Sd/- (K.L. MEHTA) Under Secretary to the Government of India Tele : 373159 GOOD OFFICES COMMITTEE AMENDMENT RULES,1963(3rd Ed.) Page 38 Chapter 8 Rule 99 TO GENERAL FINANCIAL

The following words shall be added to the last sentance in the "Note" below rule 99 :"but excluding books, publications, periodicals, etc., library" (Ministry of Finance (Deptt. of Exp.) O.M.No. F23 (7) E II (Al/83 dated 7.2.1984 and Deptt. of Supply U.O. No. I.D. No. Pill-3(5)/82 dates 17.1.83 and C.A.G's U.O. No. 1964-- TA.11/21-83 dated 23.12.83 PAGES 40-41 CHAPTER 8 RULE 116 For the existing Government of India's decision below Rule 116, the following shall be substituted : Government of India's decision (1) .- The position of library books, etc, is different from that of other stores.

Accordingly, the following procedures shall be observed for purchase, write off, disposal of mutilated/damaged books and physical verification of books in the libraries attached to the various Departments/Offices :1. Librarian (not below the rank of Deputy Secretary to the Govt. of India) subject to the power delegated under Delegation of Financial Powers Rules, 1978, may purchase books, etc., from the reputed and standard booksellers on the prevalent terms and conditions. Tenders need not be called for this purpose. 2. Loss of three volumes per one thousand volumes issued/consulted in a year may be taken as reasonable provided such loss cannot be attributed to dishonesty or negligence on the part of the Librarian. Loss of a book of the value exceeding Rs.200/- (Rupees two hundred) and the books of special nature and rarity shall invaribly be investigated and consequential action taken. All such losses will, however, be written off only by a competent authority. 3. Librarian who is of the rank not below Deputy Secretary to the Government of India or Head of the Department may write off the loss of volumes mentioned in the preceding paragraph provided the total value of all such books, etc., does not' exceed the monetary limit prescribed in the Delegation of Financial Powers Rules, 1978, for Head of a Department in respect of deficiencies and depreciations in the value of stores (other than a motor vehicle or a motor cycle) included in the stock and other accounts. In the event of the total value exceeding the monetary limit specified above, the loss of books shall be written off by the competent authority as specified in the delegation of Financial Powers Rules, 1978. 4. There may be no objection to the Librarian disposing of mutilated/damaged/obsolete volumes to the best interest of the library. However, the disposal of such volumes should be made on the recommendations of a three-member Committee to be appointed by the Administrative Ministry/Department which shall decide whether the books mutilated/damaged/obsolete are not fit for further use. 5. Complete annual physical verification of books should be done every year in the case of Libraries having not more than 20,000 volumes and not fewer than library qualified staff. In case there is only one qualified staff the verification may be done as per sub-para (vi). 6. Complete physical verification at intervals of not more than three years should be done in the case of libraries having more than 20,000 but not more than 50,000 volumes. 7. Sample physical verification at intervals of not more than five years may be done in the case of libraries having more than 50,000 volumes. If such a sample verification reveals unusual or unreasonable shortage, complete verification shall be done. 8. ) Sample physical verification at intervals of not more than five years may be done in the case of libraries having more than 50,000 volumes. If such a sample verification reveals unusual or unreasonable shortage, complete verification shall be done. (Ministry of Finance 0 M No 23(7) E II(A)i83 dated 72.1984 and CAG's U G No 1964-TA 11121--83 dated 23 12 83

The GOC is making concerted efforts to make itself as broad based as possible and also to extend Its role by incorporating the functions which should be beneficial both to the Librarians and Book Trade. To start with, the following Sub-Committee already exists : JOINT ACTION COMMITTEE (ON TRADE DISCIPLINE & LIBRARY SUPPLIES) Dear Librarian Friends, Re : FORMATION OF NEW GOOD OFFICES COMMITTEE BY THE BOOK TRADE AND ANNOUNCEMENT OF NEW CONVERSON RATES We would like to draw your kind attention to the fact that the Book Trade has been constantly emphasizing on the Librarian fraternity over the last many years the fact that the Book Trade has been suffering heavy losses in the Library supplies because of the existing uneconomic formula of conversion rates for foreign exchange. You would recall that the Good Offices Committee (GOC) was formed way back in 1972 after a strong need was felt by both the Librarians and the Book Trade to adopt some uniform and stable method of Exchange Rates for foreign currencies. The formula then adopted was found absolutely acceptable and stable for the last over 23 years. Only recently, because of some unforeseen reasons the situation has taken a sudden turn for the worse. For the last over 3 years the GOC has been fixing the rates based on the current Bank rates for foreign currencies. The Librarian friends do appreciate that the payment for supplies are made not before 180 days. Today we are living in an era of extreme volatile fluctuations in the currency rates, and therefore suffering heavy losses has become the order of the day. You will agree that the above situation cannot be allowed to be carried on. At the last meeting of the GOC held on 15.12.1997 all the facts and figures were once again placed before our Librarian friends and an appeal was made to understand the seriousness of the situation. At this meeting 30 days time was sought by the Librarians. Even this period has lapsed without any concrete suggestion. Hence very very reluctantly the Book Trade is left with no other option but to put up Its own conversion rates that too based on the : "BANK FORWARD RATES" which are determined by Reserve Bank Of India/State Bank Of India on regular basis. We are sure you will appreciate the serious paradox in which we are placed and accept the library supplies at the present reasonable exchange rates formulated by us. For this, we strongly solicit your continued valued support and co-operation. Your sicerely, sd/- (S.C. Sethi) President, FPBAI.

1) Fixed Conversation Rates between the EURO, and Deutsche Mark, French Frank, Italian Lira, and Dutch Guilder (furnished by Nationalized Bank) are as under: 1 EURO @ 1.95583 DEM (Deutsche Mark, Germany), @ 6.55957 FRF (French Frank, France), @ 1936/.27 ITL (Italian Lira, Italy), @ 2.20371 NLG (Netherlands). (2) Fixed Conversation Rates between the EURO and Danish Kroner and Norwegian Kroner for all transactions: 1 EURO @ 8.48 DKR (Danish Kroner, Denmark), @ 8.87 NKR (Norwegian Kroner, Norway). (3) Fixed Conversation Rates between the US $ and Hongkong Dollar for all transactions: 1 US $ @ 7.79 HKD (Hongkong Dollar)

TERMS OF SUPPLY 1. In order to bring about a uniformity of GOC recommended conversion rates, library discount and standardisation in the terms of supply, the Librarians are advised to deal only with the members of State and national level book trade associations and federations. 2. Books on approval should be finalised/returned within 30 days. The payment for the books approved should be made within 60 days of the receipt of the bill. The bill is to be raised by the supplier at the conversion rate prevailing on the date when the books are finally selected by the librarians for purchase. 3. Payment of outstation suppliers should preferably be made through bank drafts, after deducting bank charges. 4. The suppliers shall certify on the bills that only the latest editions have been supplied and they are not remaindered titles. 5. Librarian shall not insist on price certificates if the bills raised by booksellers carry their Income Tax Permanent account numbers and also a declaration that the prices have been correctly charged in accord- ance with the publishers'/importers'/distributors' invoices and publishers' catalogues. in) The orders placed by the libraries will be usually valid for six months unless otherwise mutually agreed upon by the librarian and the supplier. DISCOUNT 6. All books in English. Hindi and other Regional languages, whether of Indian origin with the exception of those covered by the following special categories, will carry a uniform discount of 10% of the published prices in respect of Indian or converted into Rupee prices in the case of imported titles.

Special Categories Central and State Government publications - No. discount. Short/NO discount titles procured from abroad against specific order or Indian Publications. The importer or the library supplier is expected to work on a margin of 15% on net landed cost. The invoice is to be prepared on the following terms : published price minus (-) discount earned plus(+) 15% handling charges plus (+) actual freight. clearance, bank and postal charges. Documentary evidence to be submitted by the supplier to the library on demand. The discount on remaindered titles will be 30% of the published price and should be charged through separate irlvoices. Sd/-

(B.Chowdhri) Hony. Secretary, GOC