Central Civil Services (Conduct) Rules, 1964

Rule 18A: Property Outside India and Transactions with Foreigners

Rule 18A places an additional prior-sanction requirement on a Government servant in relation to immovable property situated outside India and specified property transactions involving a foreigner, foreign Government, foreign organisation or foreign concern. It operates notwithstanding Rule 18(2).

Rule 18A at a glance

  • Previous sanction is required before acquiring immovable property situated outside India.
  • Previous sanction is required before disposing of, mortgaging, gifting or leasing such property outside India.
  • Previous sanction is also required for specified acquisition or disposal transactions with a foreigner, foreign Government, foreign organisation or foreign concern.
  • The requirement covers property held in the Government servant's own name or in the name of a member of the family, as stated in the rule.

Text and meaning of Rule 18A

Rule 18A begins with a non-obstante clause: "Notwithstanding anything contained in sub-rule (2) of Rule 18". In practical terms, this means that the special requirements of Rule 18A apply even where Rule 18(2) might otherwise govern the property transaction.

Previous sanction is required before a Government servant:

  1. acquires, by purchase, mortgage, lease, gift or otherwise, either in his own name or in the name of any member of his family, any immovable property situated outside India;
  2. disposes of, by sale, mortgage, gift or otherwise, or grants any lease in respect of any immovable property situated outside India which was acquired or is held by him either in his own name or in the name of any member of his family; or
  3. enters into any transaction with any foreigner, foreign Government, foreign organisation or concern for the acquisition or disposal of immovable property of the kinds described in the rule.

Transactions with foreigners covered by Rule 18A

For a transaction with a foreigner, foreign Government, foreign organisation or concern, the rule specifically covers:

  1. Acquisition: purchase, mortgage, lease, gift or other acquisition, either in the Government servant's own name or in the name of a member of the family, of any immovable property.
  2. Disposal: sale, mortgage, gift or other disposal, or the grant of a lease, in respect of immovable property acquired or held by the Government servant in his own name or in the name of a member of the family.

What does "prescribed authority" mean?

The Explanation to Rule 18A states that "prescribed authority" has the same meaning as in Rule 18 of the CCS (Conduct) Rules, 1964. Therefore, the Government servant should identify the authority competent under Rule 18 and the applicable departmental delegation before entering into the transaction.

Why previous sanction matters

The wording "except with the previous sanction" requires permission before the covered transaction is entered into. A Government servant dealing with overseas immovable property or a covered foreign counterparty should obtain the prescribed authority's sanction in advance and retain the approval with the relevant property records.

Important compliance point

Rule 18A is narrower than a general property-reporting provision but stricter for the transactions it covers because it expressly requires previous sanction. Government servants should also check Rule 18 and any current departmental instructions, forms or delegated-authority orders applicable to their service or office.

Official references

For current Government instructions and the official legal repository, refer to the Department of Personnel and Training (DoPT) and India Code. Where a departmental circular or service-specific instruction prescribes an approval route, that instruction should also be checked before acting.

Related CCS Conduct Rules

Rule 18A should be read with Rule 18: Movable, immovable and valuable property. You may also refer to the Central Civil Services (Conduct) Rules, 1964 index for the surrounding provisions.