Section 14 in The Punjab Stamp Losses and Defalcations Rules, 1935
14.
All losses whether by theft, fraud, accident or any other case, from the stock in a local or branch depot shall be reported at once by the officer in charge of the depot to the Deputy Commissioner of the district who shall forward a copy of the report to the Assistant Secretary to the Financial Commissioners through the Commissioner of the division and to the Accountant General and also to the Controller of Stamps and the Postmaster-General, Punjab, if the stamps are postal. The report shall explain in detail (1) the quantity, the face value and the manufacturing cost of the stamps lost; (2) the cause and the responsibility for the loss; (3) whether in the opinion of the officer in charge of the depot the loss was contributed to by the negligence of any individual or individuals; (4) the amount proposed to be recovered, if any, from person or persons at fault; and (5) steps taken or proposed to be taken to prevent the recurrence of such loss. On receipt of this report, the Financial Commissioner shall institute such further enquiries and poss such orders as he may consider necessary, sending copies of his orders to the Controller of Stamps, the Accountant-General and the Post-master-General, Punjab, if the loss relates to postal stamps. The Deputy Commissioner shall, on receipt of the orders, proceed in the case of non-postal stamps in the manner prescribed in the preceding rules 9-11. If it is a case of damaged postal stamps, he shall send them if they can be counted and identified to the Controller of Stamps for destruction as required by Rule 46 of the rules framed by the Government of India for supply and distribution of stamps.If the postage stamps to which the loss relates, have been damaged to an extent that they cannot be counted or identified, the Deputy Commissioner shall forward them with his report through the Commissioner of the division to the Assistant Secretary to the Financial Commissioners who shall transmit for destruction to the Controller of Stamps with a copy of the Financial Commissioner's orders. In such cases the Controller will not grant certificates as to the quantity and value of stamps destroyed.In cases where the loss relates to postage stamps of which the manufacturing cost does not exceed Rs. 10, no report shall be made to the Financial Commissioners if in the opinion of the officer in charge of the depot the damage could not have been avoided with proper care. The stamps in such cases shall be sent to the Controller of Stamps for destruction with a letter furnishing information on the following points :-(1)the quantity, the face value and the manufacturing cost of the damaged stamps;(2)the date on which the treasury stock was last examined;(3)the date on which the damage was first noticed;(4)steps taken or proposed to be taken to prevent such damage in future. A copy of this letter should be endorsed to the Accountant-General and the Postmaster-General, Punjab. it shall be open to the Controller of Stamps in any case to draw the attention of the administrative head to the damage with a view to instituting enquiries as to the cause of the damage, etc., fixing the responsibility therefor and taking necessary action.These losses will be generally borne by the Posts and Telegraphs Department, but in cases in which individuals having been found guilty, of contributory negligence are ordered to make good the whole or a part of the total loss (equivalent either to the intrinsic value or the face value of the stamps) the former only in cases where the stamps are spoilt but not lost, if lost, cannot be used the recoveries shall be credited to that department.Losses and defalcations of stamps when they are abstracted from files or otherwise illegally acquired and fraudulently re-used.
