Section 6 in Delegation of Financial Powers Rules, 1978
6. General limitations on power to sanction expenditure.
(1)It is primary condition of the exercise of financial powers that public revenues may be spent only on legitimate objects of public expenditure.(2)A sanction to incur recurring expenditure becomes operative when funds meet the expenditure of the first year are made available by appropriation or re-appropriation and remains effective during subsequent years subject to appropriation of funds in such years and also subject to the terms of sanction.(3)An authority may sanction expenditure or advance of money only in those cases where it is authorised to do so by -(a)these or any other rules issued by or with the approval of the Governor;(b)the provisions of any law for the time being in force;(c)any general order or special order of the Governor or other competent authority.(4)Nothing contained in Sub-rule (2) shall empower any authority to sanction without prior concurrence of the Finance Department any expenditure which involves introduction of new principle or practice or modification of the existing principles or practice, likely to led to increased expenditure in future.(5)The exercise of powers to sanction expenditure is subject to the observance of general or special direction which the authority delegating or re-delegating such powers may issue from time to time.(6)Where at the Pre-Budget scrutiny stage, the Finance Department has desired to see the sanction order shall not be issued without concurrence of the Finance Department.(7)No expenditure shall be incurred against a sanction unless funds are made available by appropriation or re-appropriation.
