CAG AUDIT
CAG Audit is known as audit of public enterprises done by Comptroller and Auditor General of India and here we will be discussing about Government Audit as CAG audit.
In India, government audit is performed by an independent constitutional authority, i.e. Comptroller and Audit General of India (C&AG), through the Indian Audit and Accounts Department. The Constitution of India gives a special status to the C&AG and contains provisions to safeguard his independence. Article 148 of the constitution provides that the C&AG shall be appointed by the President and can be removed from the office only in a like manner and on the like grounds as a judge of the Supreme Court. Article 151 of the Constitution requires that the audit reports of the C&AG relating to the accounts of the Central/State Government should be submitted to the President/Governor of the State who shall cause them to be laid before Parliament/State Legislative.
The Comptroller and Audit General’s (Duties, Power and Conditions of Services) Act, 1971, prescribes that the C&AG shall hold office for a term of six years or upto the age of 65 years, which is earlier. He can resign at any time through a resignation letter addressed to the President. The Act also assigns the duties regarding the audit to be followed by C&AG.
Organizations subject to the audit of the Comptroller and Auditor General of India
The organisations subject to the audit of the Comptroller and Auditor General of India are:-
– All the Union and State Government departments and offices including the Indian Railways and Posts and Telecommunications.
– About 1500 public commercial enterprises controlled by the Union and State governments, i.e. government companies and corporations.
– Around 400 non-commercial autonomous bodies and authorities owned or controlled by the Union or the States.
– Over 4400 authorities and bodies substantially financed from Union or State revenues