Comptroller Auditor General of Indian Audit Accounts Service

Comptroller & Auditor General of Indian Audit & Accounts Service (IAAS) KR Sriram Principal Accountant General (Economic & Revenue Sector Audit) Andhra Pradesh

Comptroller & Auditor General of India - Constitutional Provisions � Article 148 �Appointment of CAG; removal (similar to Supreme Court Justice); not eligible for further office �Conditions of service of staff of Indian Audit and Accounts Department (IA&AD) prescribed after consultation with CAG �CAG office expenditure “charged” on Consolidated Fund of India

Constitutional Provisions (Contd. ) � Articles 149 & 150 �Duties and powers in relation to accounts prescribed by law made by Parliament; form of accounts of Union and States prescribed by President on advice of CAG � Article 151 �CAG’s Reports on Union submitted to President for laying in Parliament; Reports on State submitted to Governor for laying in State Legislature � CAG’s (Duties, Powers and Conditions of Service) Act, 1971

Audit Jurisdiction � Union & State Governments � Bodies or Authorities substantially financed by Government � Government Companies � “Entrusted” Audits � Audit of Urban Local Bodies (ULBs) and Panchayati Raj Institutions (PRIs) – Technical Guidance & Supervision

Audit of Union Government � Director General/ Principal Director of Audit �Ministries and Departments �Central Receipts �Defence �Indian Railways �Posts and Telecommunications �Overseas Establishments �Central Government PSUs

Audit of State Government � Principal Accountant General/ Accountant General �General & Social Sector Audit �Economic & Revenue Sector Audit � Restructuring of offices in April 2012

Accounting & Entitlement Functions for State Government � Principal Accountant General/ Accountant General (Accounts & Entitlements) �Compilation of monthly and annual accounts �Maintenance of Provident Fund accounts �Authorisation of Pension & Gratuity �House Building & Other Advances/ Payslips of selected categories of officials

Hierarchy of Organisation � Headquarters Office �CAG; Deputy CAGs; Addl. Deputy CAGs � Field Offices �Principal Accountant General/ Accountant General or Director General/ Principal Director �Senior Deputy AG/ Deputy AG or Director/ Deputy Director �Assistant Accountant General �Supervisory Officials �Sr. Audit/ Audit or Accounts Officers �Asst. Audit or Accounts Officers

Audit Approach � Regulations on Audit & Accounts � Auditing Standards � Types of Audit �Financial Audit �Correctness of financial statements �Compliance Audit �Compliance with laws, rules & regulations �Financial propriety �Performance Audit �Programmes/ schemes/ organisation/ activities �Economy of costs; efficiency of operations; and effectiveness (achievement of intended objective)

Audit Procedures � Prior intimation to office about proposed audit � Entry Conference (for performance audits) � Field audit work � Draft audit findings/ report for obtaining Departmental responses � Exit Conference � Audit Report � Follow-up �Examination by Public Accounts Committee/ Committee on Public Undertakings �Action Taken Reports

Recent Innovations in Audit � Performance Audits �Renewed focus/ resources applied to performance audits (reduced emphasis on compliance audits) �Guidelines & methodologies revised in line with international best practices � Compliance audits being revamped �Thematic audits �Department-centric audits �District-centric audits

Recent Innovations in Audit � Audit Techniques �Going beyond examination of files & documents to cover �Physical inspection of sites/ works �Survey of beneficiaries

Further Information � Website of CAG of India � www. cag. gov. in or www. saiindia. gov. in

Questions?