Indian Railway Codes and Manuals-Stores code- Vol-II-Chapter-32 (XXXII)
CHAPTER XXXII
STOCK VERIFICATION OF STORES DEPOTS BY THE ACCOUNTS
DEPARTMENT
3201. Object of the Stock Verification.—The object of
verification by the Accounts Department of Stores in the custody of the Depot
and other Departmental Officers and Subordinate is to ensure that the materials
accord with the description and specification shown in the balances appearing
in the books and that excess or deficiencies, if any, noticed on such
verification are properly investigated and accounted for, vide question (b)
Annexure-A to S, 3001.
3202. Frequency of Verification.—The Stores, whether in a
Stores Depot or with a department should be verified by Stock Verifiers of the
Accounts Department. The programme of inspection should be so arranged that all
materials are verified as shown below :—
3203. The Chief Accounts Officer may, however, extend the
period between verifications or curtail the items to be verified where he and
the General Manager agree that:
(i) the reduction in check will not impair efficiency;
(ii) the reduced check will provide sufficient safeguards against loss; and
(iii) a too rigid application of the rule in paragraph 3202 is not condusive to
economy
3204. Supervision and Control.—The verification should be
carried out by Stock Verifiers under the general supervision of the Stores
Accounts Officer and under the direction of the authorised Inspector of Stores
Accounts, assisted where it is feasible and expedient, by the Inspectors of
Stores Accounts; vide paragraph 3209.
3205. Duties of the Senior Inspector of Stores
Accounts.—The authorised Inspector of Stores Accounts is generally responsible
to the Stores Accounts Officer for the proper conduct of all business relating
to the verification of stores. He should prepare in duplicate provisional
programme of work for each financial year before the commencement of the year
and submit it to the Chief Accounts Officer for approval. The Chief Accounts
Officer will retain one copy and return the other copy duly approved to the
Stores Account office where it should be filed cardfull for purposes of
comparison with the progress made during the year. The authorised Inspector
should distribute the work among the Stock Verifier working under him in such a
way as to complete the verification of stores and tools and plant in due time,
as specified in paragraph 3202. He should make surprise visits to see that the
staff are actually employed on the duties on which they have been deputed. He
should also himself test check the work done wherever he considers it necessary
and furnish a report of the results to the Stores Accounts Officer. To ensure
the element of surprise which is the essential factor contributing towards the
success of such visits, previous intimation of the visit should be given only
to the Stores Accounts Officer. Detailed information of his movements should,
however, be given in the weekly journal of the authorised, Inspector. He should
submit daily or and weekly reports to the Accounts Officer of the progress made
by each Stock Verifier. The Stores Accounts Officer should periodcally check
the work of the Inspector of Stores Accounts and Stock Verifiers.
3206. Verification Registers.—The authorised Inspector of
Stores Accounts should maintain manuscript registers in Form S. 3206 separately
for each category of verification to record the following information
separately for 'depot verification' and for 'line verification.'
(i) Serial Number.
(ii) Name of depot and group or Division or subordinate.
(hi) Actual number of working days taken in previous verification.
(iv) Name of Stock Verifier on two previous verifications.
(v) Date when verification is due in the year as per programme (paragraph
3205).
(v/) Date when started.
(vii) Date of completion.
(viii) Time taken (actual working days).
(ix) Name of Stock Verifier.
(x) Date due for next verification.
(xi) Initials of authorised Inspector of Stores Accounts.
3207. This register should be maintained separately for
each financial year. Columns (i) to (iv) will be copied from the previous
register, column (v) being filled in from the programme vide paragraph 3205.
Column (vi) is filled up when the verification is started, i.e. from the first
weekly progress report and columns (vii) to (ix) from the completion reports.
Column (x) will be filled in by the authorised Inspector on the basis of
frequency of verification, vide paragraph 3202. This register is the record to
ensure that all verifications are carried out as and when they fall due. Before
any completion (S. 3261) is filled, it should be posted in the verification
register and a remark in the 'verification register' posted should be endorsed
on the completion reports. The authorised Inspector should initial each entry
in column (xii) of the register. After he has done this, the completion report
should be submitted to the Stores Accounts Officer.
3208. The authorised Inspector will maintain the Register
of Stock Sheet (S. 3261), the Register of Field Books (S. 3213) and be incharge
of the blank and completed field books.
3209. Duties of Stock Verifiers.—Their duties are :—
(i) The Routine Verification of Stock comprising :
(a) Stores in the custody of the Stores
Department.
(b) Imprest or Surplus Suspense Material in
custody of subordinates on the line.
(c) Materials-at-site of works.
(d) 'Charged-off ' material in workshops, Sheds
and other charged off material elsewhere generally as far as they are
susceptible of check.
(e) Fuel with the loco Department.
(f) Timber in the Carriage and wagon Shops.
(g) Engineering Reserve Plant.
(h) Type in the Printing Press.
(i) Tools and Plant in the custody of subordinates
and offices of all departments of the Railway.
(j) Consumable Stores.
(k) Material under acceptance in Stores Depot.
(l) Verification of in-process inventory in all
workshops including Production Units.
(m) Verification of Machinery and Plant.
(ii) Surprise Verification of Stocks.
(iii) Inspection of the Receipts and inspection
Section of the depots, vide Paragraph 1225
(iv) The witnessing of Auction
Sales.
(v) The witnessing of deliveries of stores sold.
The Chief Accounts Officer may, however, it is
found feasible and expedient, arrange for two or more Stock Verifiers to work
under the supervision of an Inspector of Stores Accounts in which case, the
respective duties of the Inspectors of Stores Accounts and the Stock Verifiers
should be clearly laid down. The Inspector of Stores Accounts may in such cases
be entrusted with part of the duties allotted to the authorised Inspector.
3210. Authority Cards.—Authority cards being the following
inscription should be issued to the verification staff in order to enable them
to establish their identity with the Depot or Departmental Officers and
Subordinates :
"This is to certify that Mr. X is an
Inspector of Stores Accounts or Stock Verifier of the___
............Railway and is authorised to have access to all Books and Records
relating to
stores at Stores Depots or with Departments."
3211. Deleted.
3212. A manuscript (S. 3212) should be maintained to record
the implements and tools and plant issued to Stock Verifiers. In this register
all articles issued to a Stock Verifier will be noted against his name.
These will be compared with the annual tools and plant returns submitted by
Stock Verifiers every year and all discrepancies looked into.
3213. Field Books.—Field Books for depot verification, for
engineering and other verifications and blank registers for witnessing
deliveries of materials sold by auction or tender or for other similar
purposes, should be issued to Stock Verifiers as and when required by them. All
field books issued for a category of verification should be allotted before
issue of a progressive serial number and commencing from unity each financial
year.
3214. Register of Field Books.—A manuscript register form
(S. 3214) should be maintained by the authorised Inspector to record the issue
of the field books. The register should show the following particulars.
(i) Serial Number
(ii) Number of pages in the field book
(iii) Date of issue
(iv) Name of Stock Verifier,
(v) Name of Depot or Department
verified
(vi) Acknowledgement of Stock
(vii) Date of receipt back in office.
3215. Completed Field Books.—After the completion of the
field books or the verification for which they are issued, all field book
should be returned to the office for record, the date of their return being
recorded in the register in the column provided for the purpose as soon as they
are received back. At the close of the financial year this register should be
overhauled to see that no field books are lying with Stock Verifiers which
should have been returned to the office. Calls for outstanding field books
should be issued, the authorized Inspector being responsible to see that this
is regularly done.
3216. Immediate Investigation of Large Discrepancies.—Any
large discrepancies found as a result of stock verification between the ledger
or the records and the actual count balance should be investigated without
delay and a detailed report submitted thereon to the Accounts Officer. For this
purpose, difference over 2 per cent in quantity over the total transaction
since the date of last verification of items or Rs. 5,000-in value whichever is
higher should be generally investigated by the Verifier and effort made to find
out the cause thereof. This should not be construed to mean that explanations
for variations below these limits will be accepted as a matter of course.
Unless in any case, the Administrator or , Accounts! Officer consider it
necessary to call for additional information, stock holders shouldsfurnish full
and detailed explanation in respect of differences over 2 per cent in quantity
over the total transactions on each account since the last date of verification
of these items or Rs. 5,000-in value whichever is more.
3217. Erroneous Classification, Unauthorised Stock and
Surplus Stores.—Any wrong classification of the Group of Stores, or
unauthorised stocks of stores held by any Officer or subordinate, or any items
of stores which is surplus to requirements or for which there has been no demand
for over a year (provided that such items have not already been reported as
such by Depot or District Officer) should be noted and included in narrative
report of verification to be submitted by the Verifier.
3218. Arrangements for Custody and Production of
Stores.—The Verifiers should particularly examine and report if proper
arrangements exist for the safe custody and proper storage of material against
unnecessary deterioration from the weather or loss from any other cause. With
this object, they should examine the existing arrangements to see.
(a) that the godown floors are 'pucca or cemented'
and in case of subordinates on line where such godowns have not been provided,
that no stores are stocked on the ground and that unserviceable sleepers and rails
have been used as under packing in case of heavy materials which cannot be
stocked in racks or bins.
(b) that racks or other suitable arrangements are
provided for storing hand tools and petty and consumable stores.
(c) that items of common domestic use are always
kept under lock and key, soap, matches towels, dusters, etc. are instances of
this nature.
(d) that in case of material stacked outside the
godowns such as sleepers, rails, crossings etc., enclosures have been provided
or chowkidars appointed to watch the same.
(e) that proper arrangements exist for locking the
godowns and keeping the keys in safe custody.
(f) that proper arrangements exist for locking the
godowns and that adequate arrangements exist for fire protections, i.e. fire
extinguishers are kept handy and easily accessible spots and that fire buckets
area always full of water and/or sand where inflammable articles are stocked.
Adequate fire engines are available at call for attending emergencies.
(g) that inflammable stores are never stocked near
combustible items, i.e., waste cotton sleepers or other wooden fittings are not
stocked near petrol or oil.
(h) that statutory regulations for strong
explosives and such dangerous substances are observed; and
(i) that in order to avoid deterioration of stock,
issues are not made from fresh receipt as a matter of course but that articles
first received are issued first and to ensure this, fresh receipts are not
dumped on existing stocks but are so arranged that their turn for issue will
come only when the existing stock are exhausted.
3219. Survey of Depots and Yards for unaccounted for
Stores.—In order to ensure that any stocks not on the books are not overlooked,
a survey of large depots and yards should be made to see that all materials
lying about stacked or unstacked is properly accounted for in the books. If
there is any material in stock for which no ledgers exist, it should be
examined how the material in question came into stock and steps taken to
promptly account for such material in the books of the depots or departments.
3220. Examination of arrangements for Recoupment and
Issue.—The procedure in force in the Stores Depot and Departments regarding the
receipt, issue and accountal of stores should be examined with a view to as
certain if the orders in force from time to time with regard to these matters
are strictly observed.
3221. The Controller of Stores, as a custodian and
distributing agent of stores, supplies stores to the entire Railway
Administration in accordance with its needs. The Stock Verifiers while
overhauling the account of subordinates and of other officers on the line
should, therefore, see that stores are not obtained through any other agency
except in the case of articles mentioned in paragraph 3222 or in cases of emergent
demands, where the articles can be manufactured in local workshops
expeditiously and without additional cost (e.g. squares wooden, boards, inch;
or wooden patterns for adding sleepers on renewals). It should be seen that
articles locally manufactured are invariably taken on the subordinate accounts.
3222. In the case of the following articles, which are
supplied in large quantities under contracts approved by competent authority,
orders for supply will be placed directly by the departmental officer concerned;
3223. Articles of Furniture with certain
subordinates.—Articles of furniture, which are generally few, in the custody of
the following subordinates whose duty required them to be constantly or
frequently on the move, need not be checked by the Stock Verifiers by actual
count, as an attempt to verify those articles would cost the Railway more than
what the articles are worth. Yearly balance returns of the tools and plant in
their custody will be obtained from them by the controlling officers concerned and
this should be inspected and accepted as correct by the Stock Verifiers. :
3224. Deleted
3225. Dead Stock, Tools and Plant of low value.—When
verifying articles other than ordinary stores, viz., articles of dead stock,
tools, plant and machinery, stock verifiers may use their discretion to omit
from certification, articles of low value such as notice boards, name board
ticketnippers, carriage keys, station seals, etc. and concentrate their
attention on the check of more important items. Stock Verifiers should show in
such cases at the end of their stock sheet the articles that have been omitted
from verification.
3226. Small Tools
and Hand Tools with certain staff.—The verification of small tools and hand
tools in minor workshops, running sheds, pump houses and with permanent way
Inspectors, inspectors of works, signal and interlocking inspectors, sanitary
inspector and other inspectors need not be carried out by the Stock Verifiers.
The Stock Verifier should at the time of verification of other types of stocks
with such staff investigate the system in force for the supply and custody of
these tools and see that reasonable care is being exercised in making issues
and ensuring that workmen to whom they are issued return them to stores custody
when no longer required.
3227. Petty
Consumable Stores.—Petty stores and consumable stores except kerosene oil as
stated in prescribed schedules in the custody of subordinates of the Traffic
Department need not be verified by Stock Verifiers, as these stores are supplied
in accordance with fixed scales and in every small quantities.
3228. Dunnage.—Charged
off sleepers, cast iron pots, rails etc. used in stores depots or with
subordinates line to stock material on need not be verified by Stock Verifiers
as it is not always practicable to remove these from under the material stacked
thereon and as their detailed verification is too costly in time and money to
be commensurate with the value of the material. It should, however, been seen
that only material otherwise unserviceable is used for such purposes.
3229. Though it
is not ordinarily the duty of a Stock Verifier to verify the articles mentioned
in paragraphs 3223 to 3227, he should use his discretion to take up full and
complete verification if he suspects an irregularity in any case.
3230. Selection
of items for verification.—On being posted to a Depot, the Stock Verifier
should consult the programme of work as to the duties he is required to perform
in the Depot. After having given one day's prior notice, in writing, to the
Ward Keeper of the group that is to be taken up for verification, he should
select the items of the group, he desires to verify each day.
3231. Entering
the Field Book.- The stock verifier should then enter in his field book the
name of the depot, its section, date of commencement of the verification,
group, Nomenclature and P.L. Numbers of the items he proposes to verify on the
following day. Book balance should on no account be entered in the field book
until after the stocks have been actually verified.
3232. After the
necessary particulars have been entered on the field book and he has satisfied
himself that the stores are properly cared for and grouped, the Stock Verifier
will begin to verify each particular item of stock in detail. He should never
accept book balances as correct, but should verify all stores in stock unless
special orders to the contrary have been taken from the Stores Accounts
Officer.
3233. Descriptional
Nomenclature, etc. of Articles.—It must be seen that the articles verified
agree with the description under which they stand on the ledgers and that the
nomenclature, classification of the group and units for stock are in accordance
with the published Price List. If any doubt as to the correctness of the
classification of group specially in the case of loco or carriage and wagon
fittings, the specification or drawing of the same should be obtained for
comparison. If any doubt still exists in the mind of the verifier regarding
identification or unified group of an articles of stock (such as engine
fittings, tools, plant or machinery or component parts thereof) the assistance
of the Mechanical Department Officials may be sought.
3234. General
Instructions regarding Depot Verification :
(i) Presence of Depot Stores Keeper essential.—Stores
should be certified in the presence of the Depot Store Keeper or some one
deputed on his behalf.
(ii) Correction of scales, etc.—Scales should be carefully
adjusted at least once during each day before wieghtment of any article.
(iii) Personal Count and by Stock Verifier.—The Stock
Verifier should personally count weigh or measure all items of stores he
proposes to verify with the assistance of stores coolies, where necessary. All
details of verification i.e., count, weight or measurement " should be
recorded in the field book and it should be seen that no stock of the items
under verification is lying in any other part of the godown or obscure corner.
The Stock Verifier will not only be responsible for certifying what is shown to
him but will also be responsible for seeing that nothing is left unverified.
(iv) Material under issue or receipt.—The Stock
Verification being the first voucher to be posted for that date, the ground
balance after verification should be shown as at commencement of the day.
Therefore, Stock Verifiers should examine material i under issue and receipt.
If such vouchers happen to be there, the ground
balance should be struck as at the beginning of the day, taking into account
the vouchers under issue or receipt. If any articles are found lying without
any covering voucher, they should be invariably brought into books, except
under exceptional circumstances, which should be recorded in the field book.
3235. Weighments
and Measurements.—The instructions in paragraphs 3236 to 3246 should be kept in
view when weighing or measuring stock.
3236. Units of
Weight.—The Unit for verification should be the same as that of unit of
accountal and the quantity shown in stock sheets should be rounded off to the
nearest number of decimals as that of Priced Ledger.
3237. Weighment
Vs Count.—A Stock Verifier should not waste time in counting large quantities
of small articles when a fair result can be obtained in a shorter time by
weight or measurement. In such cases 5 per cent or 100 of the articles,
whichever is less, should be counted and weighed, and the weight of the whole
stock then taken and reduced to count by weight of the sample count. When
weighment is made, the maximum quantities which a scale can weight should be
weighed each time.
3238. Measurement
Vs Weighment.—Measurement or average weighment to arrive at the total
approximate weight of stocks of an article should be resorted to only if there
are heavy balances in hand. To arrive at average weighment, at least 2 per cent
in the case of steel and 10 per cent in the case of other material of stores,
should be weighed, such stock should then be measured by length, area or cubic
contents. The measurements of the entire stock should then be taken and then
reduced to weight by the data furnished by the sample quantity measured and
weighed. If the weight thus arrived at is approximately the same as the depot
book balance, the latter should be accepted as correct, if however, a heavy
difference is disclosed thereby, all figures for measurements and weighments
should be carefully rechecked and an additional 2 per cent or 10 per cent (as
the case may be) weighed and measured. Appendix XI to this Code gives tables of
weights and measurements for certain common items of stores.
3239. The method
adopted in ascertaining the average and actual weighments or measurements taken
in each case should be carefully recorded in the field book.
3240. Valuable
Articles.—In the case of valuable articles, such as tin ingots etc, the whole
stock should always be weighed, regardless of what the balance may be.
3241. Verification
of Heavy Articles.—The weight of heavy stores, such as large steel plates,
channels, rolled steel beams, etc. which cannot be easily handled or weighed,
should be arrived at by very carefully taking the measurements of such
articles, calculating the cross-section and then using appropriate formulae or
conversion rate which should be prescribed for the purpose by each Railway
Administration. Where no such formula have been prescribed, the conversion
factors given in Appendix-Ill may be used.
3242. Verification
of fluids.—The stock of different kinds of fluids are maintained either :
(i) Litres or
(ii) Kilograms. The-containers of such fluids are generally :
(a) Portable cylinderical drums;
(b) Tins;
(c) Stationary cylnders, and
(d) Vats Which admit of proper measurements to find their cubical contents :
(a) The following formulae should be used to ascertain the cubical contens of
the containers.
(i) Formula for Cylinders : Area of the base x length or
height of the cylinders. The base being always circular, the formula of II R2
is always to be applied to work the area of the base. II =22/7, R=Radius
(ii) Formula for tins, vats, etc. which are generally
rectangular in shape : Cubical contents=Length X Breadth X Height.
(b) Verification of fluids accounted for in litres.—In case
of verification of fluids which are stocked in units of litres, the cubical
contents, i.e. the part upto which the container is filled with the fluid
should be calculated in cubic decimetres to find out the contents in litres,
taking one cubic decimetre equal to one litre.
Note :—Unopned receptacles with original sealings etc. intact may be taken as
containing the quality of the filuid stated on the receptacles.
(c) Verification of fluids accounted for in kilograms.—In
the case of verification of fluids which are stocked in units of kilograms, the
following procedure should be followed. The cubical contents of the containers
should be calculated (in cubic decimetres) and reduced in the first instance to
the weight of distilled water at the rate of one kilogram per cubic decimetre
and then resultant weight should be multipled by the specific gravity of the
fluid in order to arrive at its weight.
Note :—Unnopened receptacles with original sealing, etc.
intact may be taken as containing the quantity of the fluid stated on the
receptacles.
(d) Goods supplied by well known firms of commercial
standing may be accepted as per quantity marked thereon, in cases where it may
not be either advisable or convenient to open the packages or cases to make a
cent per cent check.
3243. Verification
of Belting in Machine rolled coils leaving no space in between the laps.— The
diameter of the hole in the middle (in centimetres) plus the outside diameter
(in centimetres) multiplied by the number of laps in the coil and the resultant
multiplied by 0.01571 will give the length of the belting in metres.
3244. Unpacked
Goods.—In case of imported articles and indigenously manufactured goods packed
by the well known firms of commercial standing may be accepted as per weight or
number marked thereon or the advice of despatch, in case, where they are intact
and it may not be advisable or convenient to open the packages to make a cent
per cent check.
3245. Items of
Stores issued in weight against Requisitions in Numbers.—In the case of
articles which are indented for in numbers but, the precribed unit for which
being weights or vice versa issues are made by weight, Stock Verifiers should,
with a view to preventing or detecting fraudulent practices of over charges in
weight, test check, at the time of verification of such items, the weights
shown on issue notes as equivalent to the number issued. A report of the
results of this test check should be entered in the field book and submitted to
the Stores Accounts Officer.
3246. Incomplete
Count of weighment.—It is not possible to finish the count or weighment of an
item during May, the stock of such counted or weighed portion of the material
should be kept quite apart from the undealt with balance in the godown.
3247. Rearrangement
of Stock.—All material taken out of racks, etc. by the Stock Verifier should be
put back into the rack and properly arranged, and he is responsible to see that
this is done.
3248. Permanent
Way Stores.—The main items of stocks in permanent way depots are the rail of
different types. The distinguishing features of various types are
reproduced in Appendix XII to this Code. Other items of stocks are rail
fastenings, sleepers and sleeper fittings, crossings and points with their
fittings. The materials commonly used with sleepers, the different kinds of
crossings and descriptions of crossings and switches are to be found in
Appendix XII. In permanent way depot and other verifications, Stock
verifier will come across small fastenings a-cotters, etc. which are stocked
either in bins or gunny bags and to facilitate check, the contents of each bin
or bag will be painted on it. For all practical purposes, it is enough if the
Stock Verifier test checks a percentage (at least 5 %) of such full bins or
bags and if found correct, he may accept the figures in others as correct;
otherwise the entire stock will have to be checked in detail. He should,
however, make sure that all the bags, bins, etc. really contain the correct
material.
3249. Acceptance
by Ward-keeper of Results of Verification.—The stock found by count or
measurement or weighment should then be noted in the field book. Initials of
the representative of the Stores Department in whose presence the stock is
verified should be obtained in the field book against the item in question as a
token of his acceptance, on behalf of Stores Department, or the correctness of
the entries made therein. He should also furnish a certificate to the effect
that all stocks of the particular item have been accounted and shown to the
Stock Verifier.
3250. (a)
Certificate by Ward Keeper.—After the verification of each group of stroes has
been completed, the Stock Verifier should obtain a certificate from the Ward
Keeper concerned and the subordinate incharge of the Depot that all stores
pertaining to that group have been truly and correctly presented for
verification and duly verified. This certificate should be submitted to the
authorised Inspector for record with the completion report.
(b) Section Officer's Certificates.—The Ward Keeper's
certificate should be countersigned by the Section Officer of Stores Accounts
Office to the effect that the stores as per all priced ledger cards of that
group maintained in the Account Office have been verified. Omissions of any
items should be explained by the Stock Verifier concerned. This certificate
should then be submitted to the authorised Inspector alongwith the completion
Report. For the purposes of this certification of the Completion Report, the
Section Officer should prepare a list of all items not verified for that group,
if any, from the priced ledgers.
3251. Completion
Report of Verification.—At the conclusion of the verification of a group of
stores, the stock Verifier should submit a completion Report (S. 3251) in
manuscript showing the following details :
*Note: To be filled in by authorised Inspector:—wherever
particular features of a verification indicate a more detailed report, a
narrative report of any special features should be submitted alongwith the
Completion Report. The Completion Report should be completed and scrutinised by
the authorised Inspector and submitted to the Stores Accounts Officer.
3252. Posting of
verification results in Ledgers.—After the actual stock figures of an item of
stores have been ascertained and accepted by the Ward Keeper, the physical
stock verified by the Stock Verifier should be shown in his field book, as well
as in the stock sheet prepared by him. The differences, if any, between the
physical stock and the priced ledger will be brought to account by Stores
Accounts Officer at the time of posting the priced ledger. He should prepare
stock sheet as follows :—
(a) If there is no difference, the remark 'Stock verified
correct' will be printed on the stock sheet prepared.
(b) If the difference be an excess, i.e. the actual stock
figures are greater than book balance, the difference will be struck and posted
as receipt in the ledgers duly giving the date of posting. The difference
arrived at should be shown, together with the physical balance and the actual
book balance in the stock verification sheets.
(c) The same procedure will be adopted while recording
shortages, except that figures will be taken as minus receipt and shown as
'Shortage in Stock' in the printed stock sheets.
3253. Opening of
New Stock Cards.—If it is considered necessary to open a new ledger for an item
for which none exists, the Stock Verifier should immediately inform in writing
the subordinate incharge of the Stores Ledger Section of the fact, who should
carefully verify that no ledger is already in use for the item and send an
advice for opening a new ledger.
3254. Reclassification.—If
materials that are being verified are borne on the ledgers as new or second
hand but are found to be actually otherwise, the entire quantity should be
shown on the stock sheets, as described in the ledgers with suitable remarks as
to the condition of the stores In no case should the Stock Verifier either
himself transfer or ask the Depot staff to transfer any material to scrap; the
Stores Accounts Officer will do the needful.
3255. Deleted.
3256. Stock
Verification Sheets.—The stock Verifier should prepare in triplicate (by carbon
process) Stock sheets in Form (S. 1260) for all items of stores, the
verification of which has been completed that day. The stock sheets should be
prepared from the date in the field book. The stock sheet so prepared will
contain only the ground balance. A Stock Verification Report has to be prepared
at the time of posting the priced ledger, in form S. 1260, showing the book
balance, the ground balance as per the stock sheet and the excess shortage, if
any.
3257. Numbering
of Stock Sheets.—Stock sheets for Stores Depot Verification should be serially
numbered for each unified group of stores and in the case of other
verifications for each account, separate series being also used for new,
second-hand and surplus stores. (If two or more stock Verifiers are employed in
verifying the same unified group of stors at the same time, each of them should
have his own series of numbers).
The numbering scheme will consist of a
composite barrel consisting of two positions of Depots, two positions of Ward,
two positions of Group and five positions of Serial Number.
3258. Instruction
for preparation of Stock sheets and Stock Verification Report.—The following
general instructions regarding preparation of stock sheets and stock
verification reports should be carefully observed :
(i) Stock sheets/Stock Verification Reports for different
categories and qualities of stores should be clearly so marked.
(ii) Entries should be made on one side only.
(iii) A space of one or two lines should be left between
two entries on a stock sheet/Stock Verification Report.
(iv) Entries should be made in Stock Sheets/Stock
Verification Reports for every articles found in stock.
(v) The Stock Sheets should be so prepared that all
quantities shown in the field book are clearly traceable into the stock sheets.
This will be done by giving cross reference in every case to the field book
number, and its page and item numbers.
(vi) The columns for 'Priced Ledger Balances' and 'rate' and 'Value' will be
filled up at the time of posting of Priced Ledgers by the Accounts Office.
(yii) Brief remarks, such as 'Average weighment',
Mesurement, 'book balance accepted should be given in the 'remarks' column of
the Stock Sheets against all items that have not been verified in detail.
(viii) Each stock sheet should be signed by the Stock
Verifier and by the subordinate incharge of the stores verified.
3259. Adjustment
or Supplementary Stock Sheets.—Stock Verifiers may in some cases come across a
stock of items on a date subsequent to their verification- of that particular
item. Quantities thus found should be entered on a separate page of the field
book. References in the two pages of the field book dealing with the items
should be recorded. In such cases, the item should be verified afresh.
3260. Deleted.
3261. Register of
Stock Sheets.—As a check on the disposal of stock sheets, the authorised
Inspector should maintain a manuscript register in Form S. 3261 containing the
following columns :
Form No. S. 3261
1. Register Serial number.
2. No. and date of stock sheet.
3. Group of Stores.
4. Name of Verifier.
5 .Date of submission of original copy to the Computer Centre.
6. Date of submission of duplicate and triplicate copies to the Depot Officer.
7. Date of submission of duplicate and triplicate copies of stock sheet
(printed by computer Center) to the Depot Officer.
8. Date of return of duplicate copy by the Depot Officer.
9. Date of final disposal.
10. Remarks.
The stock sheets should invariably be finalised within a
period of 6 month's. In this regard it should also be ensured that where
any employee, responsible for shortage is to retire, this matter should be
finalised before his retirement so that suitable punitive action, if any, may
be ensured.
(Authority:- Railway Board's letter No. 96/AC-II/46/1
dated 15.1.98) --acs no.2
3262. Scrutiny of
explanations of discrepancies.—The Stock sheets on return to the Stores
Accounts Office, after explanation by the Depot Offices, should be carefully
scrutinished by the authorised Inspector to see that every discrepancy has been
explained Further explanation should be called for in regard to remarks that
arc unsatisfactory. Accounts Note will be issued in such cases.
Note:— See the note under Rule 3255 (d)
3263. Important
points for scrutiny.—While scrutinising the stock sheets, the authorised
Inspector should see :
(i) that explanations recorded against discrepancies
represent facts;
(ii) that they are clear, intelligible and definite;
(iii) that independent explanations are furnished against
individual discrepancies and that excesses under some items are not adjusted
against shortages in dissimilar items. In case of analogous items (where sizes
only differ) such adjustments may be passed upto 2% of the transaction since
the date of last verification, but any bigger differences must be taken up.
(iv) That in case of items accounted for in numbers large
differences do not arise: — that where shortages found as a result of stock
verification are attributed to the neglect of the subordinate holding charge of
stores, the cost of the missing articles is invariably recovered from the
parties at fault. The amount so recovered should be noted in a manuscript
register of recoveries (S. 3263) maintained in the following form :
3264. Admissible
percentages of shrinkage and dryage.—The following are the percentages of
admissible moisture in weight in various commodities :
Additional items may be added with the approval of the
General manager.
3265. The salient
features of each case of discrepancy should be pointed out in the form of notes
to the Stores Accounts Officer for orders regarding final disposal.
3266. Accounts. Notes.—All discrepant items for which
satisfactory explanations have rot been offered by the executive should be
incorporated in an Accounts Note (S. 3266) Care should be taken to group all
items of similar nature where identical information is required.
3267. Register of
Accounts Notes of Stock Verification Section.—To control the issue of accounts
notes and watch their final disposal, a manuscript register of accounts notes
(S. 3267) should be maintained with separate part for the various divisions,
departments and depots. All accounts notes issued to the various offices and
departments should be recorded in this register under the respective heads and
progressive serial numbers allotted to them. The date of final disposal of each
accounts note should be noted in this register.
3268. Register of
Important Irregularities detected by Stock Verification staff.—To facilitate
the preparation of the memorandum of results of internal check required to be
submitted to the Railway Board, a register of irregularities detected as a
result of the internal check will be maintained in the Accounts Section. As
soon as the investigation of a case is completed by the Verifiers, who will
make the necessary entry in the register of important irregularities, in
consultation with the authorised Inspector of Stores Accounts, if necessary.
The orders of the Stores Accounts Officer should be obtained before entering
any case in the register.
3269. It is
important that the full facts of the case should be accepted by the executive
before the irregularity is intimated to the Accounts Sections for noting in the
register of irregularities.
3270. Half-yearly
Report to Genial Manager—A general review of stock verification work should be
submitted to the General Manager when the aggregate effect of the adjustments
is reported to him half-yearly far purpose of adjustment of the balance lying
in the Stock Adjustment Accounts.
3271. Depot Stock
Sheets.—Depot Stock sheets prepared by the Stores Depots to adjust differences
found in stock during their periodical departmental checks should be passed on
to the Verification Section by the Ledger Section after the posting of the
priced ledger, for the scrutiny of the remarks offered by the depots in
explanation of the differences. Their scrutiny and further disposal will be on
the same lines of Accounts stock Verification Sheets.
3272. The
authorised Inspector should review quarterly the departmental verification
carried out by the Depot Officer to see that periodical verification as
prescribed in paragraph 1339 is properly carried out
3273. Deleted.
3274. Deleted.
Multiple choice questions:
1.What is the primary objective of stock verification by the Accounts Department?
A) To ensure all materials are purchased on time.
B) To verify that materials match descriptions and specifications in the records and to investigate any discrepancies.
C) To audit financial statements related to stores.
D) To ensure timely delivery of materials to departments.
Answer: B) To verify that materials match descriptions and specifications in the records and to investigate any discrepancies.
2.How frequently should stores be verified according to the standard procedure?
A) Monthly
B) Quarterly
C) Annually
D) As per a specific verification program agreed upon
Answer: D) As per a specific verification program agreed upon
3.Who is responsible for preparing and submitting the provisional verification program?
A) Chief Accounts Officer
B) Senior Inspector of Stores Accounts
C) Stock Verifier
D) Authorized Inspector of Stores Accounts
Answer: D) Authorized Inspector of Stores Accounts
4.What should the Chief Accounts Officer consider when deciding to extend or reduce the period between verifications?
A) The cost of verification only
B) The efficiency of the verification process, safeguards against loss, and economic considerations
C) The number of staff available for verification
D) The current financial year’s budget
Answer: B) The efficiency of the verification process, safeguards against loss, and economic considerations
5.What role does the Senior Inspector of Stores Accounts play in the verification process?
A) He performs all verification tasks independently.
B) He supervises the verification process and prepares the annual program for approval.
C) He maintains the stock registers.
D) He issues authority cards to Stock Verifiers.
Answer: B) He supervises the verification process and prepares the annual program for approval.
6.What should be included in the Verification Registers maintained by the Authorized Inspector of Stores Accounts?
A) Details of financial transactions related to stores
B) Information on each verification's start and end dates, and Stock Verifier details
C) Monthly financial statements
D) Purchase orders for stores
Answer: B) Information on each verification's start and end dates, and Stock Verifier details
7.What action should be taken if large discrepancies are found during stock verification?
A) Ignore them if they are below 2 percent or Rs. 5,000.
B) Report immediately and investigate the discrepancies.
C) Report the discrepancies in the annual audit report.
D) Adjust the records without investigation.
Answer: B) Report immediately and investigate the discrepancies.
8.What is the purpose of maintaining the Register of Field Books?
A) To record financial transactions for stores.
B) To track the issue and return of field books used in stock verification.
C) To document the purchase of new field books.
D) To maintain records of inventory levels.
Answer: B) To track the issue and return of field books used in stock verification.
9.Who is authorized to issue authority cards to verification staff?
A) Chief Accounts Officer
B) Stores Accounts Officer
C) Authorized Inspector of Stores Accounts
D) Senior Inspector of Stores Accounts
Answer: C) Authorized Inspector of Stores Accounts
10.What should be included in the narrative report of verification?
A) Financial summary of the verification process.
B) Detailed explanations of discrepancies, unauthorized stock, and surplus stores.
C) General performance review of the Stock Verifiers.
D) A list of all stores verified during the year.
Answer: B) Detailed explanations of discrepancies, unauthorized stock, and surplus stores.
11.When verifying stores, which of the following is NOT a responsibility of the Stock Verifiers?
A) Routine and surprise verification of stocks.
B) Issuing new purchase orders for stores.
C) Witnessing auction sales and deliveries of sold stores.
D) Inspection of receipts and issues of stores.
Answer: B) Issuing new purchase orders for stores.
12.What should Stock Verifiers do if they find unauthorized stock or surplus stores?
A) Report the findings to their immediate supervisor.
B) Immediately remove the unauthorized stock from inventory.
C) Include these issues in their narrative report of verification.
D) Ignore the discrepancies if they are minor.
Answer: C) Include these issues in their narrative report of verification.
13.What is the purpose of issuing field books to Stock Verifiers?
A) To track their attendance.
B) To record observations and results during the verification process.
C) To document financial transactions related to stores.
D) To monitor the performance of the verification team.
Answer: B) To record observations and results during the verification process.
14.What should be checked regarding the arrangements for the custody and production of stores?
A) The availability of training for staff.
B) The cleanliness of the storage area.
C) The proper arrangement for the safe custody and storage of materials.
D) The timeliness of the purchase orders.
Answer: C) The proper arrangement for the safe custody and storage of materials.
15.What is the role of the Register of Stock Sheet?
A) To record the details of all financial transactions.
B) To document the stock verification results and observations.
C) To track the distribution of field books.
D) To monitor the performance of Stock Verifiers.
Answer: B) To document the stock verification results and observations.
16. What should be the Stock
Verifier's approach when counting large quantities of small articles?
a) Count each article individually regardless
of quantity
b) Use weight or measurement for a fair result in a shorter time
c) Use only the weight method for accuracy
d) Ignore the items if they are too small to count
Answer: b) Use weight or measurement
for a fair result in a shorter time
17. How should fluids be verified
when they are stocked in units of litres?
a) By converting kilograms to litres
b) By using the formula for cylindrical containers only
c) By calculating cubic contents in cubic decimetres
d) By assuming unopened receptacles contain the stated quantity
Answer: c) By calculating cubic
contents in cubic decimetres
18. What should be done if a stock
item is found lying without any covering voucher during verification?
a) Ignore the item
b) Immediately bring the item into books
c) Leave it for the next verification
d) Consult the Stores Accounts Officer before acting
Answer: b) Immediately bring the
item into books
19. For items such as steel, what
percentage should be weighed to arrive at average weighment?
a) 2%
b) 5%
c) 10%
d) 15%
Answer: a) 2%
20. How should valuable articles
like tin ingots be verified?
a) Weigh only a sample
b) Count each item individually
c) Always weigh the whole stock regardless of the balance
d) Measure the volume and convert to weight
Answer: c) Always weigh the whole
stock regardless of the balance
21. In the case of verification of
fluids accounted for in kilograms, what should be done after calculating the
cubic contents of the containers?
a) Convert to weight using the
specific gravity of the fluid
b) Assume the weight is equal to the cubic contents in litres
c) Use the same method as for litres
d) Ignore the fluid and move to the next item
Answer: a) Convert to weight using
the specific gravity of the fluid
22. What is the initial step a Stock
Verifier should take when posted to a Depot?
a) Start verifying stocks
immediately
b) Consult the programme of work
c) Verify the correctness of book balances
d) Arrange a meeting with the Ward Keeper
Answer: b) Consult the programme of
work
23. When should a Stock Verifier
accept book balances as correct?
a) Only if special orders from the
Stores Accounts Officer are obtained
b) Always, without verification
c) If the balance matches the count and weighment
d) When the stock is too large to verify
Answer: a) Only if special orders
from the Stores Accounts Officer are obtained
24. What must be ensured during the
verification of depot stores?
a) All items are verified only by
measurement
b) Stores are certified in the presence of the Depot Store Keeper
c) Book balances are entered before physical verification
d) Stock Verifier works alone without assistance
Answer: b) Stores are certified in
the presence of the Depot Store Keeper
25. How should the contents of bins
or gunny bags be checked in permanent way depots?
a) Verify each bin or bag completely
b) Test check a percentage (at least
5%) of full bins or bags
c) Ignore the contents of bins or bags
d) Use only the weights marked on the bags
Answer: b) Test check a percentage
(at least 5%) of full bins or bags
26. What should a Stock Verifier do
if there is a heavy difference between measured weight and depot book balance?
a) Accept the book balance as
correct
b) Recheck all figures for measurements and weighments
c) Ignore the difference if it is minor
d) Consult the Stores Accounts Officer immediately
Answer: b) Recheck all figures for
measurements and weighments
27. How should the verification of
valuable articles such as tin ingots be conducted?
a) By sample counting and weighing
b) By verifying a portion and estimating the rest
c) By weighing the entire stock regardless of balance
d) By consulting the
d) By consulting the Stores Accounts
Officer
Answer: c) By weighing the entire
stock regardless of balance
28. What should be done if the Stock
Verifier cannot finish the count or weighment of an item in a day?
a) Postpone the verification to
another day
b) Leave the stock as it is
c) Keep the counted or weighed portion separate from the remaining stock
d) Report the incomplete verification to the Ward Keeper
Answer: c) Keep the counted or
weighed portion separate from the remaining stock
29. What is the correct procedure
for handling unopened receptacles with original sealing during fluid
verification?
a) Open and verify each receptacle
b) Assume they contain the quantity stated on the receptacle
c) Weigh each receptacle
d) Ignore unopened receptacles
Answer: b) Assume they contain the
quantity stated on the receptacle
30. What should the Stock Verifier
do with material taken out of racks during verification?
a) Leave it out until the next
verification
b) Return it to the racks and ensure it is properly arranged
c) Hand it over to the Ward Keeper
d) Keep it in a separate area for future verification
Answer: b) Return it to the racks
and ensure it is properly arranged
31. How should the length of
machine-rolled coils of belting with no space between laps be calculated?
a) Measure the outer diameter only
b) Use the formula: (diameter of the hole + outside diameter) × number of laps
× 0.01571
c) Count the number of laps and multiply by a fixed length
d) Measure the entire coil end-to-end
Answer: b) Use the formula:
(diameter of the hole + outside diameter) × number of laps × 0.01571
32. What is the correct action if
the Stock Verifier suspects an irregularity during verification?
a) Continue verification without
taking any action
b) Perform a full and complete verification
c) Report the suspicion to the Ward Keeper
d) Skip the item and move to the next one
Answer: b) Perform a full and complete
verification
33. When verifying items in the
depot, what should be entered into the Stock Verifier's field book?
a) Book balance before verification
b) Name of the depot, section, date of verification, group, nomenclature, and
P.L. Numbers
c) Estimated counts before physical verification
d) Only the items that have discrepancies
Answer: b) Name of the depot,
section, date of verification, group, nomenclature, and P.L. Numbers
34. What should be done with the
stock verified by count, measurement, or weighment?
a) Leave it in the verification area
b) Note the details in the field book and obtain initials from the Stores
Department representative
c) Immediately update the depot book balance
d) Keep it separate until all verification is complete
Answer: b) Note the details in the
field book and obtain initials from the Stores Department representative
35. What certificate should the
Stock Verifier obtain after completing the verification of each group of
stores?
a) Certificate from the Ward Keeper
and subordinate in charge of the depot
b) Certificate from the Stores Accounts Officer
c) Certificate from the Mechanical Department
d) No certificate is required
Answer: a) Certificate from the Ward
Keeper and subordinate in charge of the depot
36. How should discrepancies be
handled if the verified weight and book balance differ significantly?
a) Ignore the discrepancy and accept
the book balance
b) Recheck measurements and weighments and weigh an additional percentage of
the stock
c) Report the discrepancy to the Stores Accounts Officer without rechecking
d) Perform a full verification of the entire stock
Answer: b) Recheck measurements and
weighments and weigh an additional percentage of the stock
37. In the case of items issued by
weight but requested in numbers, what should the Stock Verifier do?
a) Only count the items
b) Ignore the issue notes and verify the items
c) Test check the weights shown on issue notes against the number issued
d) Accept the weights without verification
Answer: c) Test check the weights
shown on issue notes against the number issued
38. What is the procedure for
verifying stock in permanent way depots?
a) Verify each item individually
without exceptions
b) Test check a percentage of bins or bags and accept the rest if correct
c) Rely on the contents painted on bins or bags without checking
d) Only verify large items and ignore small fastenings
Answer: b) Test check a percentage
of bins or bags and accept the rest if correct
39. What should be done with
incomplete verification records at the end of the day?
a) Discard the incomplete records
and start fresh the next day
b) Separate the verified portion from the unverified stock
c) Continue the verification the next day without separating the stock
d) Submit the incomplete records to the Stores Accounts Officer
Answer: b) Separate the verified
portion from the unverified stock
40. What is the responsibility of
the Stock Verifier after taking material out of racks during verification?
a) Ensure the material is left in
the verification area
b) Put the material back into the racks and properly arrange it
c) Hand over the material to the Ward Keeper
d) Keep the material in a separate area for future verification
Answer: b) Put the material back
into the racks and properly arrange it
41. What should the Stock Verifier
do upon completing the verification of a group of stores?
a) Report immediately to the General
Manager
b) Submit a Completion Report (S. 3251) in manuscript
c) Update the ledger balance directly
d) Notify the Ward Keeper for further action
Answer: b) Submit a Completion
Report (S. 3251) in manuscript
42. How should differences between
physical stock and priced ledger be handled?
a) Ignore minor discrepancies
b) Report only significant differences
c) Post differences as receipts or shortages in the ledgers
d) Adjust the physical stock to match the ledger
Answer: c) Post differences as
receipts or shortages in the ledgers
43. What is the procedure if a new
ledger is required for an item?
a) The Stock Verifier should open
the ledger immediately
b) Inform the subordinate in charge of the Stores Ledger Section in writing
c) Wait for the next verification cycle
d) Notify the General Manager directly
Answer: b) Inform the subordinate in
charge of the Stores Ledger Section in writing
44. What should be done if materials
are classified incorrectly on the ledgers?
a) Reclassify the materials
immediately
b) Ignore the discrepancy if it is minor
c) Show the entire quantity on the stock sheets with suitable remarks
d) Transfer the materials to scrap
Answer: c) Show the entire quantity
on the stock sheets with suitable remarks
45. How should Stock Verifiers
prepare stock sheets for completed verifications?
a) Prepare in triplicate using the
carbon process
b) Only prepare one copy for the records
c) Submit an electronic copy
d) Prepare only for items with discrepancies
Answer: a) Prepare in triplicate
using the carbon process
46. How should stock sheets be
numbered for Stores Depot Verification?
a) Randomly
b) Sequentially for each unified group of stores
c) Based on the date of verification
d) Using a composite barrel with specific positions
Answer: d) Using a composite barrel
with specific positions
47. What general instruction should
be followed when preparing stock sheets and stock verification reports?
a) Entries should be made on both
sides
b) Leave space between entries
c) Only include items with discrepancies
d) Use a different form for each category
Answer: b) Leave space between
entries
48. How should discrepancies found
after the initial verification be recorded?
a) Ignore them if they are minor
b) Enter them on a separate page of the field book and verify afresh
c) Adjust the original verification records
d) Report them directly to the Stores Accounts Officer
Answer: b) Enter them on a separate
page of the field book and verify afresh
49. What should be included in the
Register of Stock Sheets maintained by the authorised Inspector?
a) Only discrepancies
b) Detailed records of each stock sheet's submission and disposal
c) General stock levels
d) Information on future verifications
Answer: b) Detailed records of each
stock sheet's submission and disposal
50. How long should it take to
finalise stock sheets?
a) Within 3 months
b) Within 6 months
c) Within a year
d) No specific time frame
Answer: b) Within 6 months
51. What should be scrutinized in
explanations of discrepancies on stock sheets?
a) General comments
b) Every discrepancy to ensure they represent facts and are clear
c) Only major discrepancies
d) Remarks from the General Manager
Answer: b) Every discrepancy to
ensure they represent facts and are clear
52. What should be done with
shortages attributed to the neglect of a subordinate holding charge of stores?
a) Ignore them
b) Recover the cost of missing articles from the parties at fault
c) Report them to the General Manager
d) Adjust the ledger balance
Answer: b) Recover the cost of
missing articles from the parties at fault
53. What is the acceptable
percentage of shrinkage and dryage in various commodities?
a) 1% for all commodities
b) No shrinkage allowed
c) Specific percentages as approved by the General Manager
d) 5% for all commodities
Answer: c) Specific percentages as
approved by the General Manager
54. What should be done with discrepant
items that lack satisfactory explanations?
a) Ignore them
b) Include them in an Accounts Note (S. 3266)
c) Report them directly to the General Manager
d) Adjust the ledger balance
Answer: b) Include them in an
Accounts Note (S. 3266)
55. How should important
irregularities detected by Stock Verification staff be recorded?
a) Directly in the ledger
b) In the Register of Important Irregularities after obtaining orders from the
Stores Accounts Officer
c) Only in the field book
d) Reported immediately to the General Manager
Answer: b) In the Register of
Important Irregularities after obtaining orders from the Stores Accounts
Officer
56. How often should a general
review of stock verification work be submitted to the General Manager?
a) Quarterly
b) Annually
c) Half-yearly
d) Monthly
Answer: c) Half-yearly
57. What should be done with Depot
Stock Sheets prepared during departmental checks?
a) Discard them after use
b) Submit them to the Verification Section for scrutiny
c) Keep them for reference only
d) Forward them directly to the General Manager
Answer: b) Submit them to the
Verification Section for scrutiny
58. What is the role of the
authorised Inspector in relation to departmental verification by the Depot
Officer?
a) Ignore departmental verification
b) Review quarterly to ensure proper periodical verification
c) Perform the verification personally
d) Report only discrepancies
Answer: b) Review quarterly to
ensure proper periodical verification
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