Multiple choice questions on the Delegation of Financial Powers Rules, 2024 (DFPR 2024) with answers and explanations. This is Set 10 of 44, covering Rule 10 – Government of India's Decision (2). Each set has 25 questions. Try each question first, then tap Show answer to check your answer and read the explanation.
Source: Delegation of Financial Powers Rules, 2024 (Ministry of Finance, Department of Expenditure, notification S.O. 1543(E) dated 22.03.2024) and the Government of India decisions, appendices and related orders printed in the official DFPR 2024 booklet.
1. Lump-sum funds earmarked for northeast areas are kept under which non-functional Major Heads?
(a) 2552, 4552 and 6552
(b) 2052, 4052 and 6052
(c) 3601, 3602 and 3603
(d) 2071, 2075 and 2235
Ans. (a) 2552, 4552 and 6552 — Explanation: Government of India's Decision (2) under Rule 10 notes that lump-sum funds for northeast areas are earmarked under non-functional heads, i.e., Major Heads 2552, 4552 and 6552. [Ref: Rule 10, GoI Decision (2)]
2. The non-functional Major Heads for the North East Region are described in the Decision as
(a) Heads for salaries of northeast staff
(b) Receipt heads
(c) Control heads from which no actual expenditure is made in the normal course
(d) Functional heads for scheme expenditure
Ans. (c) Control heads from which no actual expenditure is made in the normal course — Explanation: The Decision explains that these non-functional heads are merely control heads from which no actual expenditure is made during the normal course. [Ref: Rule 10, GoI Decision (2)]
3. Which Ministry is an exception, making actual expenditure from the non-functional NER heads?
(a) Ministry of Home Affairs
(b) Ministry of Development of North Eastern Region
(c) Ministry of Finance
(d) Ministry of Rural Development
Ans. (b) Ministry of Development of North Eastern Region — Explanation: The Decision notes that no actual expenditure is made from these heads in the normal course, except in the case of the Ministry of Development of NER. [Ref: Rule 10, GoI Decision (2)]
4. Why are NER heads used to obtain appropriation from Parliament before re-appropriation to functional heads?
(a) To transfer funds to States directly
(b) To delay release of funds
(c) To avoid audit
(d) To capture the allocation for the NER region in the budget documents
Ans. (d) To capture the allocation for the NER region in the budget documents — Explanation: The Decision explains that the use of NER heads arises from the need to capture the allocation for the NER region in the budget documents. [Ref: Rule 10, GoI Decision (2)]
5. Re-appropriations from the non-functional NER heads to the functional heads are described as
(a) Irregular
(b) Prohibited
(c) Discretionary grants
(d) Unavoidable and technical in nature
Ans. (d) Unavoidable and technical in nature — Explanation: The Decision states that re-appropriations from these non-functional heads are unavoidable and technical in nature. [Ref: Rule 10, GoI Decision (2)]
6. Re-appropriation of NER funds from the non-functional Major Heads to the functional heads is delegated to
(a) The Financial Adviser alone
(b) The Head of Office
(c) The Minister of DoNER
(d) The Secretary of the Ministry or Department concerned
Ans. (d) The Secretary of the Ministry or Department concerned — Explanation: Para 2(i) of the Decision delegates this re-appropriation to the Secretary of the Ministry/Department concerned. [Ref: Rule 10, GoI Decision (2), para 2(i)]
7. The delegated power to re-appropriate NER funds from non-functional to functional heads can be exercised
(a) Only in the last quarter
(b) Only with Budget Division's consent
(c) Including during the first quarter of the financial year
(d) Only after the first quarter
Ans. (c) Including during the first quarter of the financial year — Explanation: Para 2(i) expressly delegates the power including re-appropriations during the first quarter of the financial year. [Ref: Rule 10, GoI Decision (2), para 2(i)]
8. The Secretary may further delegate the power to re-appropriate NER funds to functional heads to an officer not below the rank of
(a) Additional Secretary
(b) Deputy Secretary
(c) Joint Secretary or equivalent
(d) Director
Ans. (c) Joint Secretary or equivalent — Explanation: Para 2(i) allows the Secretary to further delegate such powers to any officer not below the rank of Joint Secretary or equivalent. [Ref: Rule 10, GoI Decision (2), para 2(i)]
9. All other re-appropriations from NER to non-NER purposes require approval of
(a) The Chief Minister of the State concerned
(b) The Head of Office
(c) The respective Secretaries or the Ministry of Finance, as applicable
(d) No approval
Ans. (c) The respective Secretaries or the Ministry of Finance, as applicable — Explanation: Para 2(ii) states that all other re-appropriations from NER to non-NER purposes continue to require approval of the respective Secretaries or the Ministry of Finance, as applicable. [Ref: Rule 10, GoI Decision (2), para 2(ii)]
10. The relaxation for NER re-appropriation to functional heads (including in the first quarter) is NOT applicable to
(a) Ministry of Health and Family Welfare
(b) Ministry of Education
(c) Ministry of Development of North Eastern Region
(d) Ministry of Home Affairs
Ans. (c) Ministry of Development of North Eastern Region — Explanation: Para 2(iii) says the relaxation is not applicable for the Ministry of Development of NER. [Ref: Rule 10, GoI Decision (2), para 2(iii)]
11. The Decision on re-appropriation of funds earmarked for NER was issued vide DoE OM No. 02(01)/2024-E.II(A) dated
(a) 05.08.2016
(b) 01.04.2024
(c) 03.06.2024
(d) 23.02.2024
Ans. (c) 03.06.2024 — Explanation: The decision cites MoF DoE O.M. No. 02(01)/2024-E.II(A) dated 03.06.2024. [Ref: Rule 10, GoI Decision (2)]
12. Major Head 4552 in the NER context relates to
(a) Revenue expenditure on North Eastern Areas
(b) Grants to States
(c) Loans for North Eastern Areas
(d) Capital Outlay on North Eastern Areas
Ans. (d) Capital Outlay on North Eastern Areas — Explanation: In the Government accounting scheme, 2552 is the revenue head, 4552 the capital outlay head and 6552 the loans head for North Eastern Areas. All three are non-functional control heads. [Ref: Rule 10, GoI Decision (2)]
13. For incurring expenditure, the NER funds kept under non-functional heads are
(a) Surrendered at the end of the year
(b) Transferred to the Contingency Fund
(c) Spent directly from the non-functional heads by all Ministries
(d) Mandatorily routed to the functional heads in the respective schemes
Ans. (d) Mandatorily routed to the functional heads in the respective schemes — Explanation: The Decision states that for incurring expenditure, these funds are mandatorily routed from the non-functional heads to the functional heads in the respective schemes. [Ref: Rule 10, GoI Decision (2)]
14. Which provision of Rule 10 itself permits re-appropriation from lump-sum provision for northeast areas to concerned schemes?
(a) Rule 10(5)
(b) Rule 10(10)(iv)
(c) Rule 10(8)
(d) Rule 10(9)(iv)
Ans. (d) Rule 10(9)(iv) — Explanation: Rule 10(9)(iv) empowers Chief Accounting Authorities to re-appropriate funds from lump-sum provision for northeast areas to concerned schemes, limited to schemes for the northeast areas. [Ref: Rule 10(9)(iv)]
15. A Ministry (not DoNER) wants to move NER funds from Major Head 2552 to its scheme's functional head in May. Who can approve this?
(a) Only the Ministry of Finance, because it is the first quarter
(b) Only the Ministry of DoNER
(c) The Secretary, or an officer not below Joint Secretary if so delegated
(d) Only Parliament
Ans. (c) The Secretary, or an officer not below Joint Secretary if so delegated — Explanation: GoI Decision (2) delegates such technical re-appropriation to the Secretary, including during the first quarter, with power to delegate further to an officer not below Joint Secretary. [Ref: Rule 10, GoI Decision (2), para 2(i)]
16. A Ministry wants to divert savings under its NER provision to a non-NER scheme. Under the Decision, this
(a) Is barred absolutely
(b) Continues to require approval of the respective Secretary or the Ministry of Finance, as applicable
(c) Needs no approval
(d) Is fully delegated to a Joint Secretary
Ans. (b) Continues to require approval of the respective Secretary or the Ministry of Finance, as applicable — Explanation: Para 2(ii) states that all other re-appropriations from NER to non-NER purposes continue to require the approval of the respective Secretaries or the Ministry of Finance, as applicable. [Ref: Rule 10, GoI Decision (2), para 2(ii)]
17. Which statement about the NER re-appropriation Decision is correct?
(a) It abolishes the 10% earmarking for northeast
(b) It makes NER funds available for establishment expenditure
(c) It treats routing of NER funds from control heads to functional heads as a technical re-appropriation
(d) It applies only to the Ministry of DoNER
Ans. (c) It treats routing of NER funds from control heads to functional heads as a technical re-appropriation — Explanation: The Decision considers re-appropriations from non-functional NER heads to functional heads unavoidable and technical, and delegates them to Secretaries (except for DoNER). [Ref: Rule 10, GoI Decision (2)]
18. Major Head 6552 in the NER context relates to
(a) Loans for North Eastern Areas
(b) Revenue expenditure on North Eastern Areas
(c) Capital Outlay on North Eastern Areas
(d) Pensions in North Eastern Areas
Ans. (a) Loans for North Eastern Areas — Explanation: In the accounting classification, 6552 is the loans head, 4552 capital outlay and 2552 revenue for North Eastern Areas. [Ref: Rule 10, GoI Decision (2)]
19. Under the general re-appropriation guidelines, re-appropriation in the first quarter needs MoF approval. How does the NER Decision modify this?
(a) It permits technical re-appropriation of NER funds from control heads to functional heads by the Secretary even in the first quarter
(b) It makes no change
(c) It bans all re-appropriation in the first quarter
(d) It requires Parliament's approval for NER funds
Ans. (a) It permits technical re-appropriation of NER funds from control heads to functional heads by the Secretary even in the first quarter — Explanation: Para 2(i) of GoI Decision (2) delegates re-appropriation of NER funds from non-functional to functional heads to the Secretary, including during the first quarter. [Ref: Rule 10, GoI Decisions (1) and (2)]
20. The non-functional NER heads are used for obtaining appropriation from Parliament. From which heads is actual expenditure then incurred?
(a) The same non-functional heads
(b) The Public Account
(c) The functional heads of the respective schemes
(d) The Contingency Fund
Ans. (c) The functional heads of the respective schemes — Explanation: GoI Decision (2) explains that NER funds are mandatorily routed from the non-functional heads (2552, 4552, 6552) to the functional heads in the respective schemes, from which actual expenditure is incurred. [Ref: Rule 10, GoI Decision (2)]
21. Why does the NER re-appropriation Decision say using NER savings for other purposes at RE stage may avoid "bloating of appropriations"?
(a) It allows funds to lapse
(b) Using available northeast savings to meet other additionalities avoids seeking fresh appropriation when the Ministry's overall ceiling has been cut
(c) It avoids audit objections
(d) It increases the size of the grant
Ans. (b) Using available northeast savings to meet other additionalities avoids seeking fresh appropriation when the Ministry's overall ceiling has been cut — Explanation: Para 3(iii) of GoI Decision (1) permits use of northeast savings to meet additionalities when the overall ceiling is reduced at RE stage, "in order to avoid bloating of appropriations". [Ref: Rule 10, GoI Decision (1), para 3(iii)]
22. The number of non-functional Major Heads for NER mentioned in the Decision is
(a) One
(b) Two
(c) Four
(d) Three
Ans. (d) Three — Explanation: The Decision mentions three non-functional Major Heads: 2552, 4552 and 6552. [Ref: Rule 10, GoI Decision (2)]
23. The officer to whom the Secretary may re-delegate NER re-appropriation powers must be
(a) The Financial Adviser only
(b) Not below Joint Secretary or equivalent
(c) Not below Deputy Secretary
(d) Not below Under Secretary
Ans. (b) Not below Joint Secretary or equivalent — Explanation: Para 2(i) permits further delegation to any officer not below the rank of Joint Secretary or equivalent. [Ref: Rule 10, GoI Decision (2), para 2(i)]
24. The Ministry of DoNER wanting to re-appropriate from its NER heads in the first quarter would
(a) Need only the Joint Secretary's approval
(b) Need Parliament's approval
(c) Be exempt from all rules
(d) Not get the relaxation in the Decision and must follow the general guidelines
Ans. (d) Not get the relaxation in the Decision and must follow the general guidelines — Explanation: Para 2(iii) says the relaxation is not applicable for the Ministry of Development of NER, so the general norms (including the first-quarter restriction) apply to it. [Ref: Rule 10, GoI Decision (2), para 2(iii)]
25. The NER re-appropriation Decision applies to re-appropriation from non-functional heads to
(a) Establishment heads
(b) Receipt heads
(c) The functional heads from which actual expenditure is incurred
(d) Other non-functional heads
Ans. (c) The functional heads from which actual expenditure is incurred — Explanation: Para 2(i) relates to re-appropriation of NER funds from the non-functional Major Heads to the functional heads from which actual expenditure is incurred. [Ref: Rule 10, GoI Decision (2), para 2(i)]
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