Latest Expert Exchange Queries
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) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
Popular Search: TDS :: list of goods taxed at 4% :: ARTICLES ON INPUT TAX CREDIT IN VAT :: ACCOUNTING STANDARD :: VAT Audit :: Central Excise rule to resale the machines to a new company :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: due date for vat payment :: VAT RATES :: articles on VAT and GST in India :: empanelment :: TAX RATES - GOODS TAXABLE @ 4% :: cpt :: ACCOUNTING STANDARDS :: form 3cd
« General »
 GST Network signs MoU With DGFT for sharing of foreign exchange realisation data
 Number of companies paying tax over Rs 100 crore declines in 2013-14
 Tax and the dilemma of the self-employed
 Banks warn share tax hike threatens Paris' post-Brexit appeal
 PMC may decide on property tax rebate for IT firms this week
 I-T Dept is giving out certificates of appreciation. Have you received yours?
 Government works on ironing out benefits refund mechanism for exportersa
  Tax officials are using an IDS provision to question transactions beyond six-year-limit
 Tax-free bonds rally like midcap funds
 Senior citizens do not have to pay advance tax on salary and interest income
 GST: Audit commissioners to get adjudication powers

CAG refutes charge' that it did not consult RIL
June, 29th 2011

The Comptroller and Auditor-General on Monday strongly refuted the charge that it did not consult private operators, including Reliance Industries Limited (RIL), before finalising its draft performance audit report on oil and gas production sharing contracts (PSCs). It said an opportunity was given to all operators to respond to its observations.

RIL and Cairn India have come under the scanner after the draft report accused the Ministry of Petroleum and Natural Gas and the Directorate-General of Hydrocarbons (DGH) of providing huge and undue benefit to these companies and allowing irregularities and bending rules to oblige RIL in the Krishna Godavari Basin gas fields, leading to a massive and as yet unquantifiable loss to the exchequer.

Reacting to reports suggesting that it refused to give RIL an opportunity to comment on its draft report, the CAG said in a statement that as per the standard practice in vogue for all its performance audits, an entry conference and exit conference is conducted with the audited entity in this case, the Ministry.

Furthermore, the statement said, in the case of the performance audit of hydrocarbon PSC, interactive meetings were held with two operators, including RIL, prior to the finalisation of the draft performance audit report. At no stage did this office refuse any operator an opportunity to respond to observations made by us, it said.

The statement added: This office sought the date for an exit conference for discussing the main audit findings in the draft performance audit report and subsequently a reminder was sent on June, 22, 2011 to the Petroleum and Natural Gas Ministry. As regards sharing of the draft performance audit report with the operators, it is stated that as per the established audit methodology, the draft report is forwarded to the Ministry, and it is for the Ministry to take a view on what operator-specific points it needs to share, at this stage, with the operators.

The CAG said it had clarified to the Ministry that it might call the representatives of the operators at the time of discussion of the operator-specific points at the exit conference. The purpose of the exit conference is to provide an opportunity to the Petroleum Ministry to discuss the audit findings and to clarify to the Ministry any point of doubt that the Ministry may like to raise.

It is reiterated that the performance audit process follows a very structured, systematic and objective architecture, which involves taking into account all relevant facts furnished by the parties concerned to ensure a balanced and objective reporting, it concluded.

Interestingly, the Ministry, in a June 22 letter, said the CAG did not mention its observations or seek comments of the private firms on its audit objections during the interactive meetings it had with RIL and Cairn days before finalising its draft report. The CAG draft report said the rules were bent to enable RIL to retain the entire 7,645 sq-km KG-DWN-98/3, or KG-D6 block, in the Krishna Godavari Basin.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Application Management Solutions Application Management System Application Management Software System Application Management Development Application Management Software Development

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