PREVENTIVE VIGILANCE 4.7

What is Vigilance KEEPING A WATCH TO MAINTAIN THE INTEGRITY OF AN ORGANISATION, ITS PROCEDURES AND ITS EMPLOYEES OUR FOCUS PREVENTION OF FRAUDS & LEAKAGE OF REVENUE 4.7

Vigilance means Watchfulness Why Vigilance Vigilance means Watchfulness Vigilance to be given a rightful place in the Management. If the vigilance set up is effective, it will certainly ensure the functioning of the other segments 4.7

Purpose is to prevent lapses from happening. Why Vigilance… `Vigilance’ is liked neither by an honest officer nor a dishonest officer, yet its absence will be harmful to the organization. In the long run, it will be in the good health of the organization. The purpose of vigilance is not to wait for lapses to be committed and then try to conduct post mortem. Purpose is to prevent lapses from happening. 4.7

Preventive Vigilance Punitive Vigilance Types of Vigilance Helps us to avoid commission of offences by officials through proper surveillance. Calls for constant review of rules, procedures and practices. Helps management to get optimum results from the different activities. Punitive Vigilance Takes care of enforcing necessary punishment after the irregularity/fraud is detected. 4.7

Components of Preventive Vigilance Identification of areas where surveillance is necessary Maintenance and preservation of records/data Carrying out visits and inspections from Vigilance angle Formation of vigilance squads and surprise visits 4.7

Components of Preventive Vigilance….. Analysis of visit/inspection reports and identify new areas requiring surveillance Review of Rules and Procedures based on the above analysis Implementing suggestions based on review 4.7

List some of the Vigilance Activities Preventive Examination of procedures to remove loopholes Regular and surprise inspections Monitoring the activities of the employees through returns Detective Investigation of complaints or any other information regarding Irregularities Punitive Punishment to the guilty 4.7

Vigilance Tools available Surprise Visits – to Post Offices and Mail Offices Annual Inspections – Questionnaire Squad Visits – Divisional, Regional and Circle Review at various levels and follow up Review of Rules and Procedures based on DLIR/CLIRs Complaints from customers Verification of high value withdrawals and Money order 4.7

Areas for Preventive Vigilance Financing of post offices and RMS units Savings Bank and Savings Certificates Money orders Mails Inspections/visits Buildings and their security Computerized office Miscellaneous 4.7

Financing and Accounting Realistic fixation of cash balance Critical review of Daily accounts ECB SPM’s Monthly Report Review of BO abstract & MO paid statements 4.7

Financing and Accounting… Surprise verification of cash balances of SBPA, Treasurer, Stamp vender Duplicate key of safe not to be kept in treasury Examination of safe custody of insured articles and cash bags/account bags 4.7

Financing and Accounting… Safe custody of stamps and seals Transfer of cash as per rules Escorting cash conveyance Avoid unnecessary cross remittance Observance of limit of cash remittance 4.7

Financing and Accounting… SO account and SO daily account should be prepared by SPM personally Whether transit items of remittance are being watched personally by SPM/PM Special attention on security arrangement of cash chests and treasury 4.7

Savings Bank/Savings Certificates Adding of interest in PB GDSBO’s should collect and send it to AO Special Error book of PBs not received for entry of int The list of PBs not received for entry of int by 30th June 4.7

Savings Bank/Savings Certificates Defaulted RD accounts Notice to be sent to depositor of those a/cs where there is more than 3 defaults List of RD accounts selected at random of 10-12 to be sent to IPs for verification Verification of withdrawals of Rs.10000/ and above in SB accounts at BO and Single-handed SOs. 4.7

Savings Bank/Savings Certificates… Cent per cent verification of accounts in one or two single handed offices under each HO (SB accounts only) Watch register to monitor the credits of PRSS Register of undelivered pass books Maintenance of index registers for SB-26, SB-28 and NC 4a receipt books 4.7

Savings Bank/Savings Certificates… SB/SBCO Objection Registers Cases of minus balances Un posted items in SB/RD Stock register of blank pass books Invoices of Pass books Duplicate Pass books Spoiled/defective pass books 4.7

Savings Bank/Savings Certificates… MPKBY RD schedules Prescribed format should be used Each schedule to be assigned serial number in format X/Y/L X – Month Y – Serial number L – Last serial number SBCO to check continuity 4.7

Savings Bank/Savings Certificates… Checking of NC-4(a) by inspecting officers Checking of unsold certificates by Inspecting officers Maintenance of NC 12(a) register Checking of invoices 4.7

Money Order Source of Money order should be only Registered list/SO daily a/c/SO slip e-Money Order High value Money Order list properly filed Verification of Money orders paid IP – 25 per month (minimum) MO – 50 per month (minimum) 4.7

Mails Proper checking of articles posted for dispatch Letter Box Bulk Mails Franked articles RNPs/Periodicals/Printed Books Monitoring of mails received for delivery Unpaid articles Breach of condition in RNP/Periodicals/Printed Books 4.7

Mails.. Register of unpaid articles received for delivery Letter/Postman postage account Checking of accountable articles received for delivery Before issuing to Postmen After receipt of returns Remarks on returned articles Verification of MOs paid 4.7

Inspection/visit Should be surprise Verification of pass books during inspection & visit SB-46 notice to depositors Checking of stock of pass books and certificates Verification of money orders paid 4.7

Security of building to be ensured Night watchman Police patrolling Attached quarters Lock and key – watching Cash chest/Iron safe 4.7

Computerized office Ensure accounting of entire counter collection Supervisor to take shift report for entire day Ensure total collection incorporated in PO account Correction in shift report/cancelled shift report – viewed suspiciously Ensure that postage paid in cash is not booked under prepaid option 4.7

Computerized office… Ensure correct tariff is configured in POS Ensure none of system is working in stand-alone mode Ensure password security Ensure daily back up is being taken and kept in the custody of Supervisor Power supply/back up – to avoid loss of data 4.7

Preventive vigilance- Misc. Adequacy of security bonds Treasurer C – class SPM Gramina Dak Sevak Critical review of Inspection Reports and Visit Reports Avoiding unauthorized persons in PO premises 4.7

Preventive vigilance- Misc…. Observance of tenure of officials dealing with cash Vulnerable POs be identified and their periodical surprise visit Single hand SPMs should not be posted on rotation from one single hand office to another. Postmaster or treasurer not availing leave. 4.7

Exercise 4.7

Thank you 4.7