sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Latest Expert Exchange
« Auditing »
 Supreme Court puts the spotlight on audit firms
 Auditing to be less of a burden as accountants embrace AI
 CAG's report on GST will be totally paperless
 Time Limit For Completion Of Assessment From The Date Of Special Auditor’s Report Under Income Tax Act, 1961
 Provisioning pertaining to Fraud Accounts
 Tax Audit Report (TAR) Certain exceptions and increased limits according to number of partners and considering nature of activity are desirable
 Cost Auditing Standards [ Cost Audit Documentation (102)] – Part-II
 Conference on Companies Act gets under way
 New bureau to dissolve state-run banks' power to choose auditors
 Foreign Exchange Management (Permissible Capital Account Transactions) (Fourth Amendment) Regulations, 2015
 ICAI forms 'prima facie' view on NSEL auditor

On audit, CAG is not frightened over DoT
October, 08th 2010

The Comptroller and Auditor General's (CAG) office is clearly not going to be browbeaten by the fresh controversy sparked by the A. Rajaheaded department of telecommunications (DoT) over the powers and duties conferred on CAG under Article 149 of the Constitution.

Senior officials told Media that under Section 16 of the Duties, Powers and Conditions (DPC) Act, CAG is entitled to look into and examine the government's revenue and expenditure.

It is within the CAG's powers to audit all revenues, whether tax or nontax, that come to the government, they added. The aspects that have to be examined include whether the revenues have been properly assessed and realised so that the government gets what is due to it.

According to reliable sources, DoT has only made a general reference to the law ministry on whether the CAG can go into policy issues of the government.

It has not raised any specific issue, which the CAG audit is looking into.

DoT is now trying to use this general reference to fend off queries raised in the CAG audit under cover of this general reference.

The audit report will be finalised and tabled in Parliament, which means there is still more trouble ahead for telecom minister A. Raja.

According to senior officials, there is no policy issue that the CAG's audit report is looking into in the 2G case as DoT is trying to make out. Spectrum is a scarce national resource and the audit report is looking into the specific issue of whether the government got the right price for it.

Senior officials said spectrum is the property of the common man and a fee is charged for its allocation. The proceeds come into the Consolidated Fund of India and the issue is whether the government got less than what it could have actually got.

Senior officials also pointed out that the law ministry had directed on November 1, 2007, that given the importance of the spectrum issue "it is necessary that the whole issue is first considered by an empowered group of ministers". However, Raja chose to ignore this advice and rushed ahead with the allocation of spectrum in January 2008 at 2001 prices.

Ironically, DoT is now trying to bring in the law ministry to evade uncomfortable questions that have come up in the CAG audit. The draft audit report has found that spectrum was sold at 2001 prices in 2008 when the telecom market was going through a big boom and this resulted in the government getting ` 26,000 crore less than what it should have received.

The CAG audit has also cornered Raja on the licences given to the realty firms and DoT has been forced to issue a statement saying that action will be taken against companies which misrepresented facts.

However, senior officials point out that it was the duty of DoT to vet the applications and carry out a proper verification before allocating spectrum to these companies.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2018 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Software Outsourcing Company Offshore Software Outsourcing Software Outsourcing Company India Offshore Outsourcing Company India Software BPO Software Business Process Outsourcing Software Outsourcing India Offsho

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions