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The Comptroller and Auditor General (CAG) of India will now inform the government and the heads of various departments about irregularities in accounting. This is a departure from the present practice, where the CAG presents its reports on various departments and government agencies to Parliament.
CAG has framed regulations which include provisions regarding intimation of major irregularities by accountant general (audit) to the government and the head of department concerned and furnishing of reports on such irregularities by the government in a time bound manner, a statement from CAG said. This change has come following the recommendations of Administrative Reforms Commission.
This is a step forward from the earlier system of departmental instructions through manuals, which were meant for in-house circulation only. Framing of regulations for the knowledge of all concerned is thus a welcome step taken by the CAG in bringing in transparency in government audit and accounting process, the statement added. CAG is empowered to make regulations for carrying audits, including laying down the guidance for the government departments the general principles of accounting and principles in regard to audit.
