PPT on traffic suspense in Indian Railways

1. Traffic Suspense
Welcome to an overview & interactive session on
…. by
S. Chandra Sekhar,
Chief Financial Officer,
HMRDC ltd, Bangalore .

2. 2
Structure of Accounts
G eneralA ccounts
Vouchers section O utstanding
Traffic Book Claim s (Chg & G oods)
Ticket Indent Classification EFT/BPT PRS Balancesheet
Coaching Accounts
R R section Siding section M PA Balancesheet
G oods Accounts
Traffic Accounts Stores & W orkshop Accounts Construction Accounts
A ccounts Branchs

3. 3
Traffic EarningsTraffic Earnings
Share….Share….
29 %
67 %
Sundry
EarningS
4 %

4. 4
Coaching Earnings
 Issue of Tickets for both PRS and UTS duly collecting
either Cash or Vouchers viz. Military warrants,
Police Warrants, Credit notes etc.
 Booking of Parcels, Luggage, HCD, Special trains,
coaches etc.
 Leasing of SLRs, Parcel Cargo trains, etc.
 Postal Haulage charges
 Earnings through Special check of trains viz.
Penalties levied duly issuing EFTs.
 Issue of Platform tickets.
 Clerkage and Cancellation charges.

5. 5
Coaching Earnings
 Arrest misuse of concessions
 No refunds for the travelled portion of journey/
alternative arrangements.
 Proper check of collected tickets.
 Pairing of BPTs & EFTs.
 Ensure complete billing of IAFT 1720 military
concessions
 Ensure correct accountal of TTEs earnings.
 Re-weighment of parcels
 Ensure no over carrying of parcel traffic.

6. 6
GOODS EARNINGS
o Freight collected on movement of Goods.
o Amount collected on wharfage & demurrage
charges.
o Amount collected on Punitive charges for
overloading.
o WDRF amount forfeited.
o Siding, Shunting and Trip charges.

7. 7
GOODS EARNINGS
o Ensure no short collection for inflated distances
o Ensure correct issue of Railway receipts for all commodities.
o Ensure train load benefit only after fulfilling all conditions.
o Ensure re-weighment of all commodities to prevent overloading.
o Ensure traffic carried by the charged route only.
o Review the halts/siding for closure wherever required.
o Cut the cost by clubbing services where low occupancy exists.
o Revision of running time both Passenger & Goods where the
o track is upgraded.
o Critical review of waival of wharfage & demurrage charges.

8. Traffic SuspenseTraffic Suspense
Traffic suspense represents the earnings which has
accrued but have not been physically realised. ..
Components of Traffic Suspense..
 Station Outstandings
 Accounts Office Balance sheet (AOB)
 Cash in Transit
 Demands Recoverable.
Unrealised earnings as reflected in the Traffic Suspense,
affect the overall liquidity of and cash position of the Govt.

9.  One of the major component of Traffic Suspense
is
Station outstandings.
Further classified as class A & B
Class A :
 Cash office disallowances of base coins, forged notes and
short remittances
Base coins, forged currency notes or short remittances are
noticed when cash received from stations is shroffed in the
cash with reference to Cash Remittance Note (C.R. Note)
the correct amount as per count is acknowledged in the CR
Note and the remaining will become part of suspense
Traffic SuspenseTraffic Suspense

10. (ii) Accounts office debits.
When a mistake involving apparent
financial loss to the railway is noticed
during the course of the internal check, the
amount short collected, undercharges or
unaccounted for is debited against the
station concerned through an error sheet.
Traffic SuspenseTraffic Suspense

11. Admitted Debits.
The Station Master after examining the reasons appended in theThe Station Master after examining the reasons appended in the
Error sheet, either admits or disputes. If the reasons areError sheet, either admits or disputes. If the reasons are
acceptable, the staff responsible is identified for the loss and theacceptable, the staff responsible is identified for the loss and the
recovery is effected.recovery is effected.
Disputed Debits.
If the Station Master after examining the debit. objects theIf the Station Master after examining the debit. objects the
reasons on which the debit is raised, the debit becomes disputedreasons on which the debit is raised, the debit becomes disputed
debit.debit.
Accounts office/TIAs verifies the contentions of the StationAccounts office/TIAs verifies the contentions of the Station
Master based on the documents/records produced/quoted byMaster based on the documents/records produced/quoted by
him and if found valid, withdraws the Error Sheet by issuing ahim and if found valid, withdraws the Error Sheet by issuing a
Credit Advice.Credit Advice.
Traffic SuspenseTraffic Suspense

12.  Class B :
(a) Freight Consignment on Hand.
(b) Freight Consignment not on Hand.
(c) Invoices/Way Bills requiring clearing by
Overcharge Sheets.
(d) Wharfage and Demurrage charges
awaiting through remission orders.
(e) Miscellaneous – Unsold Stamped
Indemnity Notes, Time tables, TAG.
Traffic SuspenseTraffic Suspense

13. Accounts Office Balance sheet (AOB)Accounts Office Balance sheet (AOB)
 The amount of unrealized carriage bills raised
against Pay and Accounts Offices (PAOs) for
CRPF, BSF, CISF, IB, etc., Accountant General
Offices (AGs) of State Govts. and Defence
departments for Military warrants.
 The amount of Vouchers kept pending.
 The outstandings in AOB are cleared on receipt of
Cheques, advice of clearance, on receipt of transfer
acceptance of other railways, Govt. depts. Etc.
 IGAA (Inter Governmental Adjustment Advice)
Traffic SuspenseTraffic Suspense

14. Cash in Transit.Cash in Transit.
 Cash collected, remitted in the banks and
cash collected are transmitted through cash
chest to Traffic Cash office for accountal.
 If the chest is not received and the cash
available in the chest is not accounted and
reflected in the Traffic Books accounts, such
cash is called Cash in Transit.
Traffic SuspenseTraffic Suspense

15. Demands Recoverable:Demands Recoverable:
 Bills raised by Divisions towards, lease of
land or buildings to Defence, Postal (RMS)
departments.
 Bills raised against the service buildings
occupied by Employees unions, Associations
etc.
Traffic SuspenseTraffic Suspense

16. 16
 The amount available under “Freight on Hand” should be
cleared in the following month on delivery of the consignments.
 Wharfage and Demurrage should be collected at the time of
delivery of the materials or time of issue of RRs as per IRCM and
submit their claims if any for refund/waival of DC charges.
 A separate drive is to be made by a joint team of a Commercial
inspector and a TIA to the stations to force the un accounted Error
sheets into the Balance sheets and to review the disputed debits
and offer special credits if necessary.
 Apart from this, the team will also enforce the remittances of the
admitted debits from the responsible employees
Suggestions to ClearSuggestions to Clear
Traffic SuspenseTraffic Suspense

17. 17
Suggestions to ClearSuggestions to Clear
Traffic SuspenseTraffic Suspense

18. 18
 To monitor the cash chest movement and shroffing the cash without
delay.
 Realization of cash instruments to liquidate the outstanding amount
under the head “Cash in transit”.
 Periodical meetings are to be held with Sr. DCMs for clearance of
Siding charges, trip charges etc, which are part of station Outstandings.
 To liquidate the amount under, Demands recoverable, Sr.DFMs are
to be advised periodically to analyse the items available to clear the
same.
Suggestions to ClearSuggestions to Clear
Traffic SuspenseTraffic Suspense

19. TANTAN
QQ