Out of state revenue, as has been described in chapter VIII of Book II of Arthashastra includes those sources of income which the state earns by providing loans to the people or by imposing fines and punishments to the guilt. As majority of transaction is financial, it mainly includes items of treasury which needs severe verification.
Out of State Revenue earns a good source of income from public prosperity , rewards for good conduct, capture of thieves, dispensing with government servants, abundance of harvest, prosperity of commerce, absence of troubles and calamities, diminution of remission of taxes and income in gold) are all conducive to financial prosperity.
Obstruction, loan, trading, fabrication of accounts, causing the loss of revenue, self-enjoyment, barter and defalcation are the causes that tend deplete (the treasury). Failure to start an undertaking or to realize its results or to credit its profits (to the treasury) is known as obstruction. Herein a fine of ten times the amount in question shall be imposed.
Out of state revenue mentions that taking loans from the money of the treasury on periodical loans and trading by making use of government money are punishable offence which will be punished twice the money earned through profit; in case of collection of revenue as well whoever makes an unripe profit will be punished with ten times of the profit; whoever lessons the fixed amount of income and enhances expenditure which will lead to loss of revenue will be punished; whoever is involved in self enjoyment of valuable items will be punished with death sentences and an exchange of government articles on barter system will also be included as a punishment.
Out of state revenue along with this includes forty ways of emblezzments under which the persons concerned, such as the treasurer (nidhayaka), the prescriber (nibandhaka), the receiver (pratigrahaka), the payer (dayaka), the person who caused the payment (dapakaj), the ministerial servants of the officer (mantrivaiyavrtyakara) shall each be separately examined. If any one of these tells a lie, he shall receive the same punishment as the chief officer (yukta) who committed the offence. When a single government officer is involved in a number of offences then he will be questioned and his punishment will be decided accordingly.
Thus, Out of State Revenue mainly includes the methods under which a government official will be questionable and punishable for the offence he commits in misappropriation of wealth.
