44. Compensatory allowances—Subject to the general rule that the amount of a compensatory allowance should be so fixed that the allowance is not on the whole a source of profit to the recipient, the conditions under which such allowances may be sanctioned and the amounts which may be so paid to government servants, shall be regulated by such rules and orders as the Governor may issue.

(For rules made by the Governor under this rule, see the rules in Part III of this Volume, Chapter III-A.)

Audit instructions regarding rule 44

1. No revision of claims of travelling allowance is permissible in cases where a government servant is promoted or reverted or is granted an increased rate of pay with retrospective effect in respect of the period intervening between the date of promotion or reversion or grant of increased rate of pay, and that on which it is notified, unless it is clear that there has been an actual change of duties.

2. A government servant transferred from one State to another will draw travelling allowance for the journey according to the rules in force at the time of transfer in the State to which he is transferred.

3. Hill allowances fall under "Compensatory allowances."

* * * * * *

NOTE—The order of the Governor reproduced under rule 9 (25) regarding the correct classification of additions to pay applies also to the grant of compensatory allowances.

Order of the Governor regarding rule 44

1. Every sub-inspector who is selected from the general cadre to undergo a special course of training for appointment as reserve inspector, will be entitled, during the period of the training and up to the date of his confirmation as reserve inspector, but not during any period during which he may officiate as reserve inspector, to the compensatory allowances which he was drawing as sub-inspector, provided that he will be entitled to the compensatory allowances only if he actually incurs in expenditure which the compensatory allowances are intended to meet.

2. The Sub-Inspectors of the Police Department nominated to the Reserve Sub-Inspectors Course will be allowed with effect from November 4, 1968 a compensatory allowance of Rs. 15 (rupees fifteen) per month only per person for the entire period of their training of nineteen months, viz. six months at the A. T. C., Sitapur and one month at the P. M. T. Workshop, Sitapur and twelve months under a Reserve Inspector. They will continue to draw such other compensatory allowances as they were drawing on the post of Sub-Inspector before joining the training provided the conditions on which those allowances were allowed are still fulfilled.

NOTE—The compensatory allowances mentioned above do not include conveyance allowances, the drawal of which by such sub-inspectors is governed by the special rules in Appendix VII of the Financial Hand book, Volume III.

45. The Principles governing the allotment to government servants, for use by them as residences, of buildings owned or leased by the Government, or portions thereof, which the Government may make available for the purpose and the circumstances in which a government servant shall be considered to be in occupation of a residence shall be regulated by such rules and orders as may be issued by the Governor.

(For rules made by the Governor under this rule, see Part III of this Volume, Chapter IV).

45-A. I. * * *

II. For the purpose of the assessment of rent, the capital cost of a residence owned by the Government shall include the cost or value of sanitary, water supply and electric installations and fittings, but exclude the cost or value of the site (including expenditure on its preparation); and shall be either—

(a) the cost of acquiring or constructing the residence and any capital expenditure incurred after acquisition or construction; or when this is not known;

(b) the present value of the residence.

NOTE—The cost of restoration or special repairs shall not be added to capital cost or present value, unless such restoration or repairs add to accommodation or involve replacement of the existing type of work by work of a more expensive character.

Provided that—

(i) the present value of residences shall be determined in the manner which the Governor may prescribe by rules or orders;

(ii) the expenditure which is to be regarded, for the purpose of sub-clause (a) above, as expenditure upon the preparation of site, shall be determined in accordance with such rules or orders as the Governor may issue;

(iii) the Government may, after recording the reasons, authorize a revaluation of all residences of a specified class or classes with in a specified area to be conducted under the rules referred to in proviso (i) above, and may revise the capital cost of any or all such residences on the basis of such revaluation;

(iv) the capital cost howsoever calculated, shall not take into consideration (1) any charges on account of establishment and tools and plant other than such as were actually charged direct to the work in cases in which the residence was constructed by the Government, or (2) in other cases, the estimated amount of such charges;

(v) the Government may after recording the reasons, write off a specified portion of the capital cost of a residence—

(1) when a portion of the residence must be set aside, by the government servant to whom the residence is allotted, for the reception of official and non-official visitors visiting him on business, or

(2) when they are satisfied that the capital cost, as determined under the above rules, would be greatly in excess of the proper value of the accommodation provided;

Order of the Governor regarding rule 45A-II, Proviso (v) (2)

The capital value of any portion of a building which is abandoned permanently or dismantled without replacement should be written off the total capital value of the building.

(vi) in assessing the cost or value of the sanitary, water supply and electric installations and fittings, the Governor may by rules determine what are to be regarded as fittings for this purpose.

NOTE—Government servants of the Central Government or of the Governments of Madras, Andhra Pradesh, the Punjab, Madhya Pradesh, Assam and Orissa occupying by, offical arrangement, residences provided by this Government, shall be charged rent for such residences under this rule.

Orders of the Governor regarding rule 45A-II

The capital cost of walls and washerman’s tanks shall be included in the capital cost of the residence.

Orders of the Governor under the note to rule 45A-II (a) and (b)

1. An increased rate for the same specification shall not constitute replacement by work of a more expensive character.

2. When a work is replaced by work of a more expensive character, the cost of the replacement shall be reduced by the value of the dismantled work before it is added to the capital cost.

3. The cost of all structural alterations, additions or repairs to newly-purchased or previously abandoned buildings, required for bringing them into use, shall be added to the capital cost.

Orders of the Governor regarding rule 45 A-II,

Provison (v) (1)

The proportionate capital cost of a portion of a residence set aside for visitors’ room shall be calculated in accordance with the following formula:

2. The proportionate capital cost of portion of a hired residence set aside for visitors’ room shall be calculated in accordance with the following formula:—

NOTES—(1) Carpet area means the plinth area of the building excluding the area covered by pillars and walls.

(2) The cost of the visitors’ room once fixed should not be altered unless there are some additions or alterations to the room itself.

(3) No rebate will be allowed on account of electric current consumed in the Visitors’ room or on account of proportionate water charges.

(For rules made by the Governor under rule 45 A-II, see Part III of this Volume, Chapter IV.)

III. The standard rent of a residence shall be calculated as follows:

(a) In the case of leased residences the standard rent shall be the sum paid to the lessor, plus an addition determined under rules which the Governor may make, for meeting during the period of lease, such charges for both ordinary and special maintenance and repairs and for capital expenditure on additions or alterations as may be a charge on the Government and for the interest on such capital expenditure, as also for municipal and other taxes in the nature of house or property tax payable by the Government in respect of the residences.

(b) In the case of residences owned by the Government, the standard rent shall be calculated on the capital cost of the residence, and shall be either—

(i) a percentage of such capital cost equal to such rate of interest as may from time to time be fixed by the Governor plus an addition for municipal and other taxes in the nature of house or property tax payable by the Government in respect of the residence and for both ordinary and special maintenance and repairs, such addition being determined under rules which the Governor may make, or

(ii) six percent per annum of such capital cost, whichever is less.

(c) In both cases standard rent shall be expressed as standard for a calendar month and shall be equal to one-twelfth of the annual rent as calculated above, subject to the proviso that, in special localities or in respect of special classes of residence, the Government may fix a standard rent to cover a period greater than one month but not greater than one year. Where the Government take action under this proviso standard rent so fixed shall not be a larger proportion of the annual rent than the proportion which the period of occupation as prescribed under rule 45 above bears 0 one year.

NOTE 1— For the purpose of sub-clauses (a) and (b) above, the additions for both ordinary and special maintenance and repairs shall not include anything for the establishment and tools and plant charges, except to the extent allowed under proviso (iv) to Clause II.

NOTE 2— The Governor may by rule permit minor additions and alterations, the cost of which does not exceed a prescribed percentage of the capital cost of the residence, to be made during such period as the rule may determine, without the rent of the residence being increased.

(For rules made by the Governor under rule 45A-III, see Part III of this Volume, Chapter IV.)

Orders of the Governor under rule 45A-III(b)(i)

1. The rate of interest to be applied in calculating the rent of a house which may be occupied for

the first time after 19th June, 1922, shall be the rate* which is in force, as the standard of return from productive irrigation works, at the time of the acquisition or construction of the house. The basic interest rate on which rents for houses previously occupied have been calculated may remain unaltered, unless in any case they are higher than that now prescribed for houses occupied hereafter.

2. For the purposes of assessing rent, the time of construction should be taken as the date on which the accounts of the estimate for the construction of the residence are closed.

Audit instruction regarding rule 45-A-III (b) (i)

The rates of interest given in the following table should be applied in calculating the standard rent of residences under Clause III (b) of Fundamental Rule 45-A:

NOTE— The date of construction referred to in column (1) of this table should be taken as the date on which the accounts of the estimate for the construction of the residence are closed. In respect of expenditure on additions and alterations to a residence the interest should be calculated at the rate applicable on the date on which the accounts of the estimates for the additions or alterations are closed.

Orders of the Governor under Clause III of rule 45-A

1.Administrative departments of the Government have been authorized to sanction standard rents of residential buildings without the concurrence of the Finance Department.

* These rates are as follows:

(a) Before April 1, 1919, 4 per cent.

(b) From April 1, 1919 to July 31, 1921, 5 per cent.

(c) From August 1, 1921, 6 per cent.

2. Heads of departments have also been authorized to sanction standard rents of residential buildings according to the principles laid down in this rule, provided that the sanction of the Government is obtained in all cases falling under clause (c) of rule 45A-III and Subsidiary Rule 20.

IV. When a government servant is supplied with a residence, leased or owned by the Government the following conditions shall be observed:

(a) The scale of accommodation supplied shall not, except at the government servant’s own request, exceed that which is appropriate to the status of the occupant.

(b) Unless in any case it be otherwise expressly provided in these rules, he shall pay—

(i) rent for the residence, such rent being the standard rent as defined in Clause III above, or 10 per cent of his monthly emoluments whichever is the less; and

(ii) municipal and other taxes payable by the Government in respect of the residence not being in the nature of house or property tax.

(c) Notwithstanding anything contained in sub-clause (b) above, the Government may—

(i) at any time, after the standard rents have been calculated under the provisions of Clause III above, group a number of residences, whether in a particular area or of a particular class or classes, for the purpose of assessment of rent, subject to the following conditions being fulfilled:

(1) that the basis of assessment is uniform; and

(2) that the amount taken from any government servant shall not exceed 10 per cent of his monthly emoluments;

(ii) by general or special order, provide for taking a rent in excess of that prescribed in sub-clause (b) above from a government servant—

(1) who is not required or permitted to reside on duty at the station at which the residence is supplied to him, or

(2) who, at his own request, is supplied with accommodation which exceeds that which is appropriate to the status of the post held by him, or

(3) who is in receipt of a compensatory allowance granted on account of dearness of living, or

(4) who is permitted to sub-let the residence supplied to him, or

(5) who sub-lets without permission the residence supplied to him, or

(6) who does not vacate the residence after cancellation of allotment.

Audit instruction under rule 45—IV (b)

The following procedure should be observed regarding recovery of rent for residential accommodation from officers of the State Governments for whom residential accommodation is provided by Railway Administration and also regarding the recovery of rent from Railway officers occupying residential accommodation belonging to State Governments—

(1) State Railway quarters occupied by civil servants of Uttar Pradesh Government by mutual agreement.

The rent will be limited to 6 per cent on the capital cost, excluding cost of land, subject to 10 per cent of pay.

(2) Quarters belonging to Uttar Pradesh Government occupied by railway employees by mutual agreement.

In these cases civil rules will apply, i.e. 6 per cent on capital cost excluding the cost of land, subject to 10 per cent pay.

Audit instruction under Fundamental Rule 45-A-IV(c)(ii)

Under Clause IV(c)(ii) of Fundamental Rule 45-A, a local Government may recover rent in excess of 10 per cent of a government servant’s emoluments, even if it exceeds the standard rent as defined in clause III of that rule.

Orders of the Governor under rule 45-A-IV (a)

1. Expenditure on a residential building should as far as possible be limited to a figure that the standard rent calculated thereon in the manner indicated in rule 45-A-III shall not exceed 10 per cent of the average pay of the post held by the government servant or the class of government servants for whom the residence is constructed. The permissible limit of expenditure calculated in this manner will include the cost of electric, sanitary and water-supply installations. In order to enable the expenditure permissible on the building and on the installations to be separately determined, the total permissible limit of expenditure should be distributed as follows:

2. The accommodation to be supplied to any government servant should be determined when the question of building a residence for him is actually taken up, and if in any case it is found that suitable accommodation can only be supplied at a cost exceeding the permissible limit of expenditure, the sanction of the Government should be obtained.

Order of the Governor regarding rule 45-A-III (a) and 45 A-IV (b) (ii)

The term "property tax" as used in this rule, should be interpreted in the general sense and not in the technical sense assigned to it any particular Act or Code. It should, therefore, not be considered to include taxes levied for specific services rendered for the benefit of the occupier. Such taxes in all cases should be excluded from the standard rent irrespective of the fact whether they were by local rule or custom payable in the first instance by the landlord or by the occupier. All taxes of a service character, such as water, drainage and lighting taxes, scavenging tax and tax for the cleaning of latrines and privies should be recovered separately from the occupier under clause IV (b) (ii) of this rule. These orders apply also in cases where government servants are provided with Government accommodation free of rent.

Orders of the Governor under rule 45 A-IV (c)

1. If a government servants, with the Government’s permission, continues to occupy while on leave a residence owned or leased by the Government, he shall be liable to pay as rent, during the periods of leave on average pay not exceeding four months the standard rent of the residence or 10 per cent of his emoluments, whichever is less. For the rest of his leave or during leave of any other kind he shall be liable to pay the full standard rent.

2. In cases of optional occupation by a government servant while not on duty, of an official residence not occupied, by him while on duty, the full standard rent shall be charged even if this exceeds 10 per cent of his emoluments.

3. A government servant who, at his request, is supplied with a residence, owned or leased by the Government, of a higher class than that for which he is eligible, when a house of his class is available for him, shall be charged the full standard rent of the residence and shall not be given the benefit of the 10 per cent concession afforded by rule 45 A-IV (b).

4. When a government servant draws a house rent allowance on a compensatory allowance on account of dearness of living, then—

(a) if the standard rent minus the house rent allowance or such portion of the compensatory allowance as represents the cost of house accommodation, is less than 10 per cent of his emoluments, he shall pay the standard rent;

(b) if the standard rent minus the house rent allowance or such portion of the compensatory allowance as represents the cost of house accommodation is more than 10 per cent of his emoluments, he shall pay rent amounting to—

(1) the house rent allowance or such portion of the compensatory allowance as represents the cost of house accommodation,

plus

(2) 10 per cent of his emoluments other than the house rent allowance or that portion of the compensatory allowance which represents the cost of house accommodation.

V. In special circumstances, after recording the reasons, the Government—

(a) may, by general or special order, grant rent free accommodation to any government servant or class of government servants, or

(b) may, by special order, waive or reduce the amount of rent to be recovered from any government servant.

Audit instruction regarding Fundamental Rule 45A-V (b)

It is permissible to deal, under clause V (b) of this rule, not only with individuals but also with classes of government servants.

VI. If a residence is supplied with services, other than water-supply, sanitary or electric installations and fittings, such as furniture, tennis court, or garden maintained at the cost of the Government, rent shall be charged for these in addition to the rent payable under clause IV. The tenant will also be required to pay the cost of the water, electric energy, etc. consumed. The Governor may by rules prescribe how the additional rents and charges shall be determined, and such rules may also authorize the remission or reduction of the additional rent or charge in special circumstances for reasons which are to be recorded.

(For rules made by the Governor under rule 45-A-VI, see Part III of this Volume, Chapter I V.)

VII. * * *

VIII. * * *

45-B. * * *

45-C. For the purpose of rule 45-A "emoluments" means:

(i) Pay.

(ii) Payments from the revenues of the State and fees if such payments or fees are received in the shape of a fixed addition to monthly payment and allowances as part of the authorized remuneration of a post.

(iii) Compensatory allowances, other than travelling allowance, uniform allowance, clothing allowance, outfit allowance, special outfit allowance, uniform grant and grant for horse and saddlery, whether drawn from the Consolidated Fund of the State or from a local fund.

Orders of the Governor under clause (iii) of this rule:

"Dearness allowance though a compensatory allowance shall be excluded in calculating ‘emoluments’ for the purpose of calculating the rent payable by a Government servant under Fundamental Rule 45-A in respect of a residential building provided for him by the Government."

(iv) * * *

(v) Pension, other than a pension drawn under the provisions of Chapter XXXVIII, Civil Service Regulations, or compensation received under the Workmen’s Compensation Act, 1923, as subsequently amended.

(vi) In the case of a government servant under suspension and in receipt of a subsistence grant, the amount of the subsistence grant, provided that if such government servant is subsequently allowed to draw pay for the period of suspension the difference between the rent recovered on the basis of the subsistence grant and the rent due on the basis of the emoluments ultimately drawn shall be recovered from him.

It does not include allowances attached to the Victoria Cross, the Military Cross, the King’s Police Medal, the Indian Police Medal, the Order of British India or the Indian Order of Merit.

NOTE l—The emoluments of a government servant paid at piece-work rates shall be determined in such manner as the Government may prescribe.

NOTE 2—The emoluments of a government servant on leave mean the emoluments drawn by him for the last complete calendar month of duty performed by him prior to his departure on leave.

Order of the Governor regarding rule 45C (v)

The word "pension" in clause (v) for this rule means the full sanctioned pension prior to commutation where a portion of the pension has been commuted.

46. (a) Fees—Subject to any rules made under rule 46-A and rule 47, a government servant may be permitted, if this can be done without determinent to his official duties and responsibilities, to perform a specified service, or series of services, for a private person or body, or for a public body including a body administering a local fund, and to receive as remuneration therefor, if the service be material, a non-recurring or recurring fee.

NOTE—This clause does not apply to the acceptance of fees by medical officers for professional attendance which is regulated by the orders of the Government.

(b) Honoraria—The Government may grant or permit a government servant to receive an honorarium as remuneration for work performed which is occasional in character and either so laborious or of such special merit as to justify a special reward. Except when special reasons, which should be recorded in writing, exist for a departure from this provision, sanction to the grant or acceptance of an honorarium should not be given unless the work has been undertaken with the prior consent of the Government and its amount has been settled in advance.

(c) Fee and Honoraria—In the case of both fees and honoraria and sanctioning authority shall record in writing that due regard has been paid to the general principle enunciated in rule 11, and shall record also the reasons which in his opinion justify the grant of the extra remuneration.

Audit instructions regarding rule 46

1. The rule requires that the reasons for the grant should be recorded in writing, as it is intended that the grant of an honorarium or fee should be carefully controlled by the Government and scrutinized by audit and that audit should be given an effective opportunity of comment if it be deemed necessary. Audit officers may, therefore, require that the reasons for the grant of an honorarium or free should be communicated to them in each case.

2. The honorarium paid to an officer selected as an examiner or lecturer on purely personal grounds irrespective of his position under the Government, though these grounds may bring about his appointment in successive years, or for a term of years, should be dealt with under Fundamental Rule 46 and not treated as a securring charge.

46-A. Acceptance of fees by medical officers for services other than professional attendance, shall be subject to such conditions and limits as the Governor may by general rule or order, prescribe.

(For rule made under rule 46-A, see Chapter V-A in Part III of this Volume.)

47. Subject to the provisions of the rules made by the Governor under rule 46-A and to such conditions and limits as he may by rules or orders, impose, the authorities subordinate to the Government may sanction the grant or acceptance of honoraria, and the acceptance of fees, other than the acceptance of fees by medical officers for professional attendance.

Orders of the Governor in connexion with rules 46(b) and 47

The payment of honoraria to government servants for the use by the Government of inventions patented by them is not governed by rules 46(b) and 47, but by the provisions contained in section 17 of the Inventions and Designs Act, 1888, and section 21 of the Indian Patents and Designs Act, 1911.

(For rules made by the Governor under rule 47, see Part III of this Volume, Chapter V.)

48. Any government servant is eligible to receive without special permission—

(a) the premium awarded for an essay or plan in public competition;

(b) any reward offered for the arrest of a criminal or for information or special service in connexion with the administration of justice;

(c) any reward payable in accordance with the provisions of any Act or regulation or rules framed thereunder;

(d) any reward sanctioned for services in connexion with the administration of the customs and excise law; and

(e) any fees payable to a government servant for duties which he is required to perform in his official capacity under any special or local law or by order of Government.

48-A. A government servant whose duties involve the carrying out of scientific or technical research shall not apply for or obtain, or course or permit any other person to apply for or obtain, a patent for an invention made by such government servant save with the permission of the Government and in accordance with such conditions as the Government may impose.

48-B. If a question arises whether a person is a government servant to whom rule 48-A applies, the decision of the Government shall be final.

Orders of the Governor under rules 48-A and 48-B

1. Application for permission under rule 48-A should be made by the government servant making an invention to the head of his department, or if he is himself the head of the department, to the Secretary to the Government in the Industries Department.

2. The head of the department should deal with the application confidentially and with expedition, so that the inventor may not be prejudiced by delay in making his application at the Patent Office, and should forward it with his recommendations to the Secretary to the Government in the Industries Department.

3. If the invention has no connexion with the government servant’s official duties and has not resulted from facilities provided at Government expense permission may be granted to the applicant by the Government to take out a patent for his own benefit, subject to his undertaking in writing—

(i) to permit the use of the invention in the service of the Government, either without payment of any royalty or on such terms as the Government may consider reasonable; and

(ii) to sell or dispose of the patent in such a manner as will leave him no further hand in the working or management thereof and will reserve to him no other right or control in the patent except the right to receive royalties:

Provided that the Government will not supply the invention to any member of the public otherwise than on payment to the inventor of such royalty as may be mutually agreed upon.

4. If the invention is made in the course of the government servant’s official duties or has resulted from facilities provided at Government expense, then—

(a) if the invention is of such general interest and utility that the public interest will be best served by allowing the public a free use of the invention, the application for taking out a patent should be refused and the invention should be published. An ex gratia payment should ordinarily be made to the inventor as a reward in all such cases;

(b) if the invention is not of the kind mentioned in (a) but is of sufficient public utility as is likely to make its commercial exploitation profitable, the inventor should be directed to take out a patent and to assign his rights under the patent to the Government. In all such cases, the inventor should be rewarded either by a suitable lump sum payment or by a liberal percentage of the profits made by the Government in connexion with the invention;

(c) in other cases, the inventor should be allowed to take out a patent for his own benefit subject to his under-taking, in writing;

(i) to permit the use of the invention in the service of the Government without payment of any royality; and

(ii) to dispose of the invention in the manner prescribed in paragraph 3 (ii) above.

5. When the invention has been assigned to the Governor under paragraph 4 (b) above, the Government may exploit the patent themselves, or

(a) advertise the patent and grant licences on payment to manufacturers, or

(b) sell the rights under the patent to a firm or to a private person.

6. In order to secure reasonable uniformity of practice and to secure for the Government the full benefits of inventions, the Controller of Patents and Design should ordinarily be consulted before any awards are made under paragraph 4 above or steps are taken for the exploitation of the patents under paragraph 5 above.