BANKING OPERATION DAY -2 SESSION-1

Critical documents in government banking

REGISTRATION OF DDO

Why registration?Documents required Request by outgoing DDO for cancellation of his/her

signatures and recording of incoming DDO’s signature NIC of incoming DDO Reports of charge taking over /handing over Number of DDO issued by the Accountant

General/Department Transfer/Retirement Order Specimen Signature card duly filled in. Preferably case should be forwarded by outgoing DDO.

However if he is not available or it is a new project then case should be forwarded by Admin/Head of the department

All documents should preferably be attested by outgoing officers otherwise by any of the officer whose signature are already registered with us

ISSUANCE OF CASHIER’S CARD

DDO’s letter authorizing his representative to collect cash on his behalf

Authentication/attestation of Signatures by DDO Attested copy of CNIC Office Order Authentication of signatures and photograph by

DDO on cashier card Allotting of running Sr. No. to the card by SBP office Pasting of signatures in the prescribed register Inscribing of signatures/initials by the Incharge of

PAD on the card Delivery of the card to same person against proper

acknowledgment under his signatures

SPECIMEN SIGNATURE CARDSImportance Signature is a graphic identity

Signature is acceptance and consent to the contents of document

Signature on the cheque are most important feature to make the cheque valid or forged

If a bank pays out on the basis of a forged signature on a cheque, it does so without its customer’s mandate

Forgery does not provide protection to the banker

Spotting a forged signature can save you from bank fraud

SPECIMEN SIGNATURE CARDS……BD Manual Para 389 and FTR 172

Maintenance As and when any officer is authorized to draw funds, he

will submit three duly attested specimen signatures to the bank.

Signatures should be attested by officer known to the bank Signature of attesting officer must be verified from Bank’s

record In case signatures are on sheet except forwarding letter

than sheet may also be signed by forwarding officer Immediate updating in Image Management Module Arranging Department wise Annual verification

SPECIMEN SIGNATURE CARDS……

Cancelation On request of cancelation first verify the

request Manual cancellation by ACM with date and

time of cancellation ‘ signatures are cancelled vide letter

No.........dated.........with effect from……....but cheques signed before ……are valid till ……..”

Cancellation in IMM Immediate intimation to Passing Officers Removal of cancelled SS Cards from Current

cards

ISSUES

•Only for receipt purpose

•Drawer for other account

Irrelevant signature

•Authorization from future date

•Passing instruments after expiry

Expiry/authorization

•Treatment to signatories not confirmed

Annual confirmation

9

CHEQUE BOOK CONTROLSCheque Book Intimation

BD Manual Para 391 and FTR 151: whenever new cheque book is brought into use

the number of cheque book and serial number of cheques are to be intimated by Drawing Officer

Verification of signature of DO from Bank Record Immediate entry of cheque book intimation in

Cheque Series Advice available in the system and authorization thereof

No Cheque should be accepted for payment if series not intimated by DO

STOP NOTICES

A stop payment notice is a specific direction given by the cheque signatory officer to the bank on which that cheque was drawn requiring it to refuse to pay the cheque when presented

This mechanism maybe used to protect the interests of both the Government and the payee; for example, where a cheque is not received by the payee, or is lost orstolen

STOPPAGE FOR PAYMENT….. Request over telephone for stopping cheques require

the confirmation of the drawer in writing. However a caution should be exercised in the matter of payment of such a bill/ Cheque by recording stoppage in Globus system, If it presented Chief Manager will exercise his discretion whether to pay it or not. If it is not paid the Cheque will be returned under the objection ‘Drawer’s confirmation required Present on ---------’

If cheque whose payment has been stopped is presented same may be returned by writing across the cheque the words “Payment Stopped”(FTR 156)

Removal of stoppage through Globus Report “Stop Cheque” (As per policy)

STOPPAGE FOR PAYMENT

Request from Drawer in writing will be received in CR &D

The date as well as time at which the notice is received at the office will be stamped on the Notice.

Verification of Signature of DO by AO/ACM Checking of Payment status Marking of stop payment on schedule Entry in system and authorization for stopping by

ACM/Unit Incharge Information to drawer regarding stoppage or otherwise Information to all officials of Unit Issuance of NPC if required

STOPPAGE FOR PAYMENT

Request f drawer

Verification of request

Payment statusMarking in

schedule and system

NPC

15

REMOVAL OF STOPPAGE

Stop Payment marked in the Globus will be removed by the Assistant Chief Manager/Unit In charge and authorized by the Divisional Head.

Stop Payment in respect of Loss of Blank Cheques will be processed in terms of Para 398 of B.D. Manual provided Stop Payment, once marked in the system will remain intact and not needed to be removed from the system.