Veterinary Department of any Turf Club is money spinning vertical and often comes under regulatory scanner. Is there any statutory guidance on Procurement process ( no end to end process by the user Department) and inventory , Reorderimg level.
Any case laws etc. Please guide urgently.
Thanks in advance
There is generally no separate universal statutory procurement manual only for a Turf Club Veterinary Department. The applicable framework depends on whether the Turf Club is a Government/statutorily controlled body or a private entity. If it is Government / PSU / autonomous / publicly funded, then GFR 2017, DoE Manual for Procurement of Goods, GeM provisions and CVC vigilance principles would ordinarily govern procurement and inventory controls.
For inventory, GFR Chapter 7 is relevant: receipt inspection, stock register entry, yearly physical verification of fixed assets and consumables, discrepancy reporting, fixation of optimum buffer stock / reorder level, and disposal of surplus / obsolete items.
If the Turf Club is private, then these may not apply mandatorily, but the same control principles should be adopted through an approved internal procurement and inventory SOP.
From audit perspective, absence of an end-to-end user department process is itself a control weakness. The department should have indenting, approval, tender/quotation, receipt certification, batch/expiry-wise stock records, issue controls, min-max / reorder level, surprise verification, and disposal procedure.
Thankful.
It is a company under 1956 Act. Management Committee comprises of elected members as well as State Government nominees incl Chief Secretary, Director General of Police etc.
Kindly advise
Regards
CCI
Pro
CAclubindia
