Rule 18 of CCS (Conduct) Rules, 1964: Movable, Immovable and Valuable Property
Rule 18 of the Central Civil Services (Conduct) Rules, 1964 regulates disclosure of assets and liabilities by Central Government servants and the acquisition, disposal and reporting of movable and immovable property. It also identifies the authority to whom prescribed reports and permissions are to be submitted.
Group A and Group B Government servants are required to file the Annual Immovable Property Return for the previous calendar year by 31 January of the following year. The Department of Personnel and Training reiterated this requirement in its Office Memorandum dated 14 July 2023 and stated that failure to comply can constitute sufficient reason for disciplinary proceedings.
What Rule 18 covers
Rule 18 is the principal property-disclosure provision in the CCS (Conduct) Rules, 1964. Broadly, it deals with: the return of assets and liabilities on first appointment; annual returns of immovable property for Group A and Group B officers; prior knowledge or sanction for specified immovable-property transactions; reporting of higher-value movable-property transactions; and the Government's power to require a complete property statement.
Rule 18 should be read with other conduct provisions where relevant, including Rule 16 on investments, lending and borrowing and Rule 18A on immovable property outside India and transactions with foreigners.
Initial return and Annual Immovable Property Return
Under Rule 18(1)(i), a Government servant must, on first appointment to a service or post, submit a return of assets and liabilities in the prescribed form. The return covers immovable property, shares and debentures, cash and bank deposits, other movable property, and debts and liabilities.
Rule 18(1)(ii) requires every Government servant belonging to a service or holding a post included in Group A or Group B to submit an annual return giving particulars of immovable property inherited, owned, acquired, or held on lease or mortgage, whether held in the Government servant's own name, in the name of a family member, or in the name of another person.
DoPT instructions require the return for the previous calendar year to be filed by 31 January of the following year. Departments are also directed to ensure timely submission and scrutiny of these returns.
Acquisition or disposal of immovable property
Rule 18(2) provides that a Government servant shall not acquire or dispose of immovable property by lease, mortgage, purchase, sale, gift or otherwise, either in the Government servant's own name or in the name of a family member, except with the previous knowledge of the prescribed authority.
If the proposed transaction is with a person having official dealings with the Government servant, previous sanction of the prescribed authority is required.
Reporting transactions in movable property
Rule 18(3), as substituted by the Central Civil Services (Conduct) Amendment Rules, 2011, requires a Government servant to report a transaction in movable property within one month where the value exceeds two months' basic pay. The rule applies whether the transaction is in the Government servant's own name or in the name of a family member.
Previous sanction is required where the transaction is with a person having official dealings with the Government servant.
Government's power to require a complete property statement
Rule 18(4) authorizes the Government or prescribed authority to require, at any time and by general or special order, a full and complete statement of specified movable or immovable property held or acquired by a Government servant, on the Government servant's behalf, or by a member of the family. The authority may also require details of the means or source from which the property was acquired.
What counts as movable property under Rule 18?
Explanation I gives an inclusive meaning to the expression "movable property". It includes jewellery; certain insurance policies; shares, securities and debentures; loans advanced or taken; motor cars, motor cycles, horses and other means of conveyance; and specified household articles mentioned in the rule.
Following the 2011 amendment, the reference in the insurance-policy limb is linked to two months' basic pay of the Government servant.
Who is the prescribed authority?
Rule 18 itself defines "prescribed authority". In general, it means the Government for a Group A post unless a lower authority is specifically designated, the Head of Department for a Group B post, and the Head of Office for a Group C or Group D post. Special provision is made for Government servants on foreign service or deputation.
Text of Rule 18 - Movable, immovable and valuable property
(1) (i) Every Government servant shall on his first appointment to any service or post submit a return of his assets and liabilities, in such form as may be prescribed by the Government, giving the full particulars regarding -
(a) the immovable property inherited by him, or owned or acquired by him or held by him on lease or mortgage, either in his own name or in the name of any member of his family or in the name of any other person;
(b) shares, debentures and cash including bank deposits inherited by him or similarly owned, acquired, or held by him;
(c) other movable property inherited by him or similarly owned, acquired or held by him; and
(d) debts and other liabilities incurred by him directly or indirectly.
NOTE 1. Sub-rule (1) shall not ordinarily apply to Group D servants but the Government may direct that it shall apply to any such Government servant or class of such Government servants.
NOTE 2. In all returns, the values of items of movable property worth less than Rs. 10,000 may be added and shown as a lump sum. The value of articles of daily use such as clothes, utensils, crockery, books, etc. need not be included in such return.
NOTE 3. Where a Government servant already belonging to a service or holding a post is appointed to any other civil service or post, he shall not be required to submit a fresh return under this clause.
(ii) Every Government servant belonging to any service or holding any post included in Group A and Group B shall submit an annual return in such form as may be prescribed by the Government in this regard giving full particulars regarding the immovable property inherited by him or owned or acquired by him or held by him on lease or mortgage either in his own name or in the name of any member of his family or in the name of any other person.
(2) No Government servant shall, except with the previous knowledge of the prescribed authority, acquire or dispose of any immovable property by lease, mortgage, purchase, sale, gift or otherwise either in his own name or in the name of any member of his family:
Provided that the previous sanction of the prescribed authority shall be obtained by the Government servant if any such transaction is with a person having official dealings with him.
(3) Where a Government servant enters into a transaction in respect of movable property either in his own name or in the name of the member of his family, he shall, within one month from the date of such transaction, report the same to the prescribed authority, if the value of such property exceeds two months' basic pay of the Government servant:
Provided that the previous sanction of the prescribed authority shall be obtained by the Government servant if any such transaction is with a person having official dealings with him.
Sub-rule (3) was substituted by the Central Civil Services (Conduct) Amendment Rules, 2011, Notification G.S.R. 370(E), dated 9 May 2011.
(4) The Government or the prescribed authority may, at any time, by general or special order, require a Government servant to furnish, within a period specified in the order, a full and complete statement of such movable or immovable property held or acquired by him or on his behalf or by any member of his family as may be specified in the order. Such statement shall, if so required by the Government or by the prescribed authority, include the details of the means by which, or the source from which, such property was acquired.
(5) The Government may exempt any category of Government servants belonging to Group C or Group D from any of the provisions of this rule except sub-rule (4). No such exemption shall, however, be made without the concurrence of the Cabinet Secretariat (Department of Personnel).
Explanation I. For the purposes of this rule -
(1) the expression "movable property" includes -
(a) jewellery, insurance policies, the annual premia of which exceeds two months' basic pay of the Government servant, shares, securities and debentures;
(b) all loans, whether secured or not, advanced or taken by the Government servant;
(c) motor cars, motor cycles, horses or any other means of conveyance; and
(d) refrigerators, radios, radiograms and television sets.
2. "Prescribed authority" means -
(a) (i) the Government, in the case of a Government servant holding any Group A post, except where any lower authority is specifically specified by the Government for any purpose;
(ii) Head of Department, in the case of a Government servant holding any Group B post;
(iii) Head of Office, in the case of a Government servant holding any Group C or Group D post;
(b) in respect of a Government servant on foreign service or on deputation to any other Ministry or any other Government, the parent department on the cadre of which such Government servant is borne or the Ministry to which he is administratively subordinate as member of that cadre.
Explanation II. For the purpose of this rule "lease" means, except where it is obtained from, or granted to, a person having official dealings with the Government servant, a lease of immovable property from year to year or for any term exceeding one year or reserving a yearly rent.
Official references
- DoPT Office Memorandum dated 14 July 2023 - timely submission of Annual Immovable Property Returns
- Government-hosted compilation of the Central Civil Services (Conduct) Rules, 1964
This page is intended as a structured reference to Rule 18. Department-specific instructions, prescribed forms and later administrative orders should also be checked where a particular transaction or filing is involved.