Audit Reports

Report of the Comptroller and Auditor General of India for the year ended March 31, 2011 Union Government (Commercial) Report No. 2 of 2011-12 General Purpose Financial Reports of......

Based on the recommendation of the COPU, the Department of Public Enterprises (DPE) issued general guidelines in November 1994. These guidelines basically left it to the Board of Directors of the PSEs to devise socially responsible business practices in accordance with their Articles of......

1956 as also other enterprises of the government set up under the statutes of the Parliament, where the audit is entrusted to Comptroller and Auditor General of India (CAG). A government company is defined in section 617 of the Companies Act, 1956 as a company in which not less than fifty one per......

Act (including Companies deemed to be Government Companies as per the provisions of the Companies Act) are audited by the Comptroller and Auditor General of India (CAG) under the provisions of Section 619 of the Companies Act, 1956. As per the above provisions, the Statutory Auditors......

of the Corporate Governance provisions As on 31 March 2011, there were 466 CPSEs under the audit jurisdiction of the Comptroller and Auditor General of India. These included 329 government companies, 131 deemed government companies and six statutory corporations. Majority of these CPSEs,......

As on 31 March 2011, there were 466 Central Government Public Sector Enterprises (CPSEs) under the audit jurisdiction of the Comptroller and Auditor General of India. These included 329 government companies, 131 deemed government companies and six statutory corporations. This Report deals with......

Reserve Bank of India, Insurance Regulatory & Development Authority, The Pension Fund Regulatory and Development Authority, Comptroller Auditor General of India), Ministry of Finance (Central Board of Direct Taxes), The Institute of Chartered Accountants of India (ICAI), Chambers industry......

Report No. 2 of 2011-12 CHAPTER 5 Compliance with DPE Guidelines 5.1 Introduction The Bureau of Public Enterprises (BPE) was set up in 1965 to provide policy and overall guidance to the Central Public Sector Enterprises (CPSEs) and act as a...

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Report of the Comptroller and Auditor General of India for the year ended March 2011 Union Government (Defence Services) Air Force and Navy No. 17 of 2012-13 (Compliance Audit) //? N......

outlived its life in March 2004 itself, it was only in May 2007 that Air Headquarters (Air HQ) could place an indent for its replacement on Director General Ordnance Factory. Kolkata on turnkey basis, at a total cost of ^4.76 crore (May 2007) to be completed by December 2007. 38 Report No. 17 of......

Further, reference data for price estimation were generally based on data available from Integrated Logistics Management Services (Air) for the orders which had actually materialised. The contention of DNAM is not tenable as a recently contracted reference price lower by a baffling 683 per cent......

(S.K.JAIPURIYAR) New Delhi Principal Director of Audit Dated: Air Force Countersigned New Delhi (VINOD RAI) Dated: Comptroller and Auditor General of India 57......

Report of the Comptroller and Auditor General of India on hybrid satellite digital multimedia broadcasting service agreement with Devas Union Government Department of Space Report No. 4......

Report No. 4 of 2012-13 PREFACE This Report of the Comptroller and Auditor General of India for the period ended March 2012 has been prepared for submission to the President under Article 151 of the Constitution. The Report......

replies that based on the direction of the Space Commission to annul the Devas contract, the matter has been discussed with the Additional Solicitor General and a note submitted to the Cabinet Committee on Security (CCS) for its decision. February 2011 CCS gives directions to annul the agreement......

Instances of how decision-making proved disadvantageous to DoS reported in various Audit Reports of the Comptroller and Auditor General are discussed in Annexure-4. DoS stated in August 2011 that it had addressed this matter. 4.3.1. Dr. G. Madhavan Nair performed multiple roles between 2004......

Principal Director of Audit, Dated: 30-04-2012 Scientific Departments Countersigned New Delhi (VINOD RAI) Dated: 01-05- 2012 Comptroller and A uditor General of India Report on hybrid satellite digital multimedia broadcasting service agreement with Devas 57......

expenditure of 10.43 crore on establishment related expenditure of Regional Pay and Accounts Office, Dhanbad, out of Coal Mines Labour Housing and General Welfare Fund. Scrutiny of Appropriation Accounts of Grant No. 10-Ministry of Coal for the financial year 2010-11 revealed that an......

the largest share of non-tax revenue (69 per cent) comes from user charges levied by various departments, which offer economic services to the general public. Interest receipts constituted 10 per cent of non-tax revenue, while dividends and profits accounted for around 14 per cent. There......

8825.00 101152.18 7824.06 10508.01 1000.94 2010-11 116627.84 11413.44 103039.34 10213.75 13588.50 1199.69 Surrender of savings 5.3 Rule 56(2) of the General Financial Rules, 2005 provides that savings in a grant or appropriation are to be surrendered to the Government as soon as these are......

The Comptroller and Auditor General of India submits four Appropriation Accounts pertaining to different sectors of activities of the Government, viz. Civil, Defence, Posts and Railways, along with his Report under Article 151 of the Constitution every year, to the President, who causes......

4059-Public Works 2576.77 1624.59 63 11. 4070-Capital outlay on Other Administrative Services 72.26 65.06 90 12. 4075- Capital outlay on Misc General Services 3.11 2.17 70 13. 4402-Capital Outlay on Soil and Water Conservation 1.44 0.84 58 14. 4403-Capital Outlay on Animal Husbandry 5.46 4.41 81......

*,*' Report of the Comptroller and Auditor General of India Union Government Accounts of the Union Government No. 1 for the year 2011-12 Report of the Comptroller and Auditor General of India......

Union Government Finances and Accounts: 2010-11 This Report discusses the comments of the Comptroller and Auditor General of India on the accounts of the Union Government and analyses the finances of the Union Government for the year 2010-11. It also contains an......

11 -12) (29.83) (-14.09) Net Revenue (Item No. 10 and 5,544.09 9,781.55 9,021.86 6,346.14 13) (-39.57) (14.47) Dividend Payable to General Revenues Current year 5,543.34 6,608.46 4,917.36 4,941.25 (17.50) (-10.86) Deferred Dividend of previous 0.00 0.00 year Total Dividend Payment 5,543.35......

The Railway Budget is presented to both Houses of Parliament separately from and ahead of the General Budget. Though the Railway Budget is separately presented to Parliament, the figures relating to the receipts and expenditure of the Railways form part of the General Budget, since the receipts......

From 1 April 1950, a separate Railway Budget is being presented to the Parliament prior to presentation of the General Budget every year. Though the Railway Budget is presented to Parliament separately, the figures relating to the receipts and expenditure of IR are also shown in the General......

-1842236 2 Revenue - Miscellaneous Expenditure (General) 3 Voted 6000000000 1000000000 7000000000 6377972813 -622027187 Revenue - Working Expenses - General Superintendence and Services Charged 530000 1022000 1552000 3649842 2097842 4 Voted 42036855000 1485478000 43522333000 43574432897 52099897......

Dividend Under the 'Separation Convention' IR is required to pay dividend to the general revenues on the capital advanced by the Gol at a rate determined periodically by RCC. Extra Budgetary Resources ofIR other than general budget support and Resources internally generated resources Gross......

Report of the Comptroller & Auditor General of India for the year ended March 2011 Laid in Lok Sabha/Rajya Sabha on Union Government (Railways) Railways Finances Report No. 3 of......

I Unauthorised works Our test check of sanctions revealed continued non-compliance to the Ministry’s orders by the Army Officers. The General Officer Commanding-in- Chief (GOC-in-C) HQ Southern Command Pune, issued sanctions in January 2008 and March 2008 for undertaking special repairs to......

Our scrutiny of records revealed that between the period June 1992 and January 1998 a parallel correspondence had been going on between the General Officer Commanding-in-Chief, Southern Command and the Army HQ for revocation of the lease on the plea that the land was required by the......

Ordnance Factory Board (OFB) functions under the administrative control of the Department of Defence Production and is headed by Director General, Ordnance Factories. 39 factories are responsible for production and supply of ordnance stores to the armed forces. 1.3 Integrated Financial Advice and......

The Border Roads Regulations, as amended in December 2004, empowered the Director General Border Roads (DGBR) to approve execution of works through contracts in consultation with Integrated Financial Adviser Border Roads (IFA/BR), where the estimated cost of the work is beyond 5 crore. As per......

authorities, absence of data base of sanctions, splitting of sanctions etc._ Expenditure out of public funds is regulated by the provisions of General Financial Rules. Such expenditure is invariably authorised through specific sanctions issued by the competent authorities at various levels......

Many of the projects failed as these were taken up without firming up General Staff Qualitative Requirement. Time overrun, development of improper deliverables, etc contributed to project failures. (Chapter 1) Projection of inflated requirement of ammunition Despite holding surplus stock,......

Report of the Comptroller and Auditor General of India for the year ended March 2011 Union Government (Defence Services) Army and Ordnance Factories Report No. 16 of the year 2012-13......

The Ministry stated that the success rates of Staff Projects had been relatively low due to infirm General Staff Qualitative Requirement (GSQR), changing user requirements, lack of industrial base to support the transfer of technology (ToT) and bulk production, time overruns, etc. These......

No. 18 of 2005 Standalone Performance Audit of the (Performance Audit) Report* Directorate General of Quality Assurance (lii) Pending more than 3 years upto 5 years 35. Report No. 4 of 2007 2 Delay in execution/renewal of lease 36. 2.4** Follow up on Audit Reports 37. Unauthorised use of Defence......

The Management had thus not only failed to adhere to general principles of procurement and the prescribed time schedule for effecting procurements but also caused undue delay in supplying necessary equipment to Telecom circles in sensitive areas like NE and J&K despite relaxing tender......

The Company generally exported finished products immediately after filing application for advance licence and getting the file number and availed the benefit of incentives after completion of exports of products (like Naphtha, Furnace Oil (FO) and High Speed Diesel (HSD) under AAS. 101 Report......

Piyarelall Import and Export Limited, a sister concern of RPFPL 2 Committee consisting of General Manager (Marketing), General Manager (Finance) and General Manager (P&A) 22 Report No. 8 of 2012-13 M/s. Baid Shipping Agency confirming receipt of original shipping documents for taking delivery of......

171 Report No. 8 of 2012-13 15.3.4.3 Deficiencies in actual sales operations A. Normal Sales (i) Sale of products below the market price Generally, the Company fixed monthly prices based on various inputs such as sales and inventory of the preceding month, market scenario (domestic and......

Report No. 8 of 2012-13 r x CHAPTER XVII v_) Follow-up on Audit Reports (Commercial) Audit Reports of the Comptroller and Auditor General of India (CAG) represent the culmination of the process of scrutiny starting with initial inspection of accounts and records maintained in......

Act (including Companies deemed to be Government Companies as per the provisions of the Companies Act) are audited by the Comptroller and Auditor General of India (CAG) under the provisions of Section 619 of the Companies Act, 1956. The accounts certified by the Statutory Auditors (Chartered......

This indicated a general absence of concern for the financial health of the Company which was reeling under severe cash crunch during this period. The matter was reported to the Ministry in January 2012; their response had not been received (May 2012). (b) Overpayment of T63.22 lakh towards......

of test check of accounts and records of Central Government Companies and Corporations conducted by the officers of the Comptroller and Auditor General of India under Section 619(3) (b) of the Companies Act, 1956 or the statutes governing the particular Corporations. 2. The concept of......

ERP Bharatiya Reserve Bank Note Mudran (Private) Limited Chapter-IV Ministry of Finance (Insurance Division) 12 of 2006 Performance Audit on the General Insurance System Software Chapter 7 11 of 2007 Transaction Audit Observations Para 10.2.1, 10.3.4 and 10.4.3 207 Report No. 8 of 2012-13 No.......

The Management stated (August 2010) that they had no back up data of other similar projects in Sudan. As the items in the tender were not general in nature due to quality and quantity issues, independent survey was also not possible. We find it difficult to accept the Management's contention as......

8 of 2012-13 avoidable loss of 19.08 crore in this case points towards a weak inventory procurement system and a general governance deficit. The matter was referred to the Ministry (September 2011); their response was awaited (May 2012). 93......

13.1.5.2 Works Manual of NHAI stipulated that entire process from the date of receipt of bids to award of contracts should generally be completed within 40 days. Audit however observed that in contravention to the above provisions the Management took 52 to 321 days beyond the above......

However, the Company failed to finalise the contract within the validity period of the offer (March 2007) as per the general terms and conditions of the tender. Consequently, LI withdrew the offer in April 2007. Though there were clear directions of Central Vigilance Commission to re-tender......

of follow up action to recover 43.64 lakh 55.99 55.92 Insurance Company 29.72 29.72 Limited Non-collection of co-insurance dues from ICICI Lombard General Insurance Company Telecommun Mahanagar Excess Payment of pension contribution - Maharashtra 14.40 14.40 ications Telephone Nigam circle......

ERP Bharatiya Reserve Bank Note Mudran (Private) Limited Chapter-IV Ministry of Finance (Insurance Division) 12 of 2006 Performance Audit on the General Insurance System Software Chapter 7 11 of 2007 Transaction Audit Observations Para 10.2.1, 10.3.4 and 10.4.3 207 Report No. 8 of 2012-13 No.......

Annexure 1 (Para 2.1.5.1 and 2.1.5.3) Railway Name of the route Distance (in Kms.) Rates from booking point to destination Since when Reasons for carriage Whether any action was taken to (Rs. Per KM/ Ton) carried by by longer route remove the...

Under Category-B8 of the Scheme, the procured wagons were handed over to Eastern Railway and were merged in the general pool of wagons for operation of general services all over India. Six rakes were inducted into service in a phased manner in South Western Railway during March 2006 to July......

only such audit findings of significant materiality with regard to the totality of nature, volume and size of public spending in keeping with the generally accepted auditing standards and is intended to aid the Executive in instituting corrective actions/mechanisms to bring about improved......

'A' certificate was issued for the items for which such certificate could not be issued. These practices are contrary to Rule 154 of General Financial Rules (2005). These rules prescribe that while issuing certificate regarding proprietary articles, only certification that 'no other make or model......

In each of the zones the Department is headed by a Chief Mechanical Engineer (CME) who reports to the General Manager of the Railway. The office of the Member Mechanical of the Railway Board guides the CME on technical matters and policy. At the divisional level, Sr. Divisional Mechanical......

Report of the Comptroller and Auditor General of India for the year ended March 2012 Laid in Lok Sabha/Rajya Sabha on Union Government (Railways) No.25 of 2013 (Compliance Audit Report)......

examined in April 2012 that although leased wagons were to be moved between specific points, the Railway Administration merged the procured wagons in general pool of wagons, Consequently, the stabling of unutilized wagons in company's siding could not be established/ linked with payment of lease......

The Secretary, Department of Posts, as the Chief Executive of the Department, is also the Chairperson of the Postal Services Board and Director General, India Post. The Board has six Members for the portfolios of Personnel, Operations, Technology, Postal Life Insurance and Chairman......

Report No. 13 of 2012-13 CHAPTER XII: GENERAL 12.1 Follow-up on Audit Reports Despite repeated instructions/recommendations of the Public Accounts Committee, various......

Audits are conducted on behalf of the Comptroller and Auditor General (C&AG) as per the Auditing Standards1 approved by him. These standards prescribe the norms which the auditors are expected to follow in conduct of audit and require reporting on individual cases of non-compliance and abuse,......

Report No. 13 off 2012-13 CHAPTER IV : MINISTRY OF HOME AFFAIRS Indo-Tibetan Border Police Force 4.1 Splitting up of sanctions The Director General, Indo-Tibetan Border Police Force accorded 19 split sanctions between June 2010 and March 2011 for an aggregate value of 4.72 crore. Each......

Report of the Comptroller and Auditor General of India for the year ended March 2011 Union Government (Civil) Compliance Audit Observations No. 13 of 2012-13 Contents Description......

Paragraph 2.4 Short deduction of commission on purchase of revenue stamps Failure of the Chief Post Master General, Delhi to deduct commission in advance on purchase of revenue stamps from the State Government, led to short realization of revenue to the extent of? 98.36 lakh. Paragraph 2.5......

Audit, the Ministry took corrective action to change the rate of interest, thereby averting a loss of X 46.75 crore._ In terms of Rule 221(1) of the General Financial Rules, interest is charged at the rate prescribed by the Government for any particular loan or class of loans. The Ministry of......

out by Audit._ The Directorate of Estates periodically prescribes the rates of licence fees payable by banks and post offices operating from the General Pool Office accommodation allotted by it. A branch of the Bank of Maharashtra and a post office occupying a space of 99 sq. m. and 55 sq. m.......

the vessel would remain idle for want of instructions as no more extensions were possible due to the stringent regulations imposed by the Director General, Shipping. Audit scrutiny of the records of the Director revealed that they had approached the Administration for decommissioning of the......

procedure and consequent delay in finalising a purchase proposal within the validity period resulted in avoidable expenditure of 3.32 crore._ The General Financial Rules, 2005, enjoin that in the case of high value purchases, bids should be obtained in two stages, with the technical bid being......

Accounts are signed both by the Chairman, Railway Board and by the Financial Commissioner, Railways and transmitted to the Comptroller and Auditor General of India for audit. Audit by the Comptroller and Auditor General of India seeks to ascertain whether the expenditure actually incurred under......

Expenditure (General) Charged 7100000 0 7100000 7100000 0 Voted 6830300000 0 6830300000 5614014086 -1216285914 Revenue - Working Expenses - General Superintendence and Services Charged 0 305000 305000 3034201 2729201 Voted 49960200000 0 49960200000 46650589911 -3309610089 Revenue -......

In Indian Railways (IR), the Railway Budget is presented by the Minister for Railways to both Houses of Parliament separately from and ahead of the General Budget. The Railway finances were separated from the general finances of the government through a ‘Separation Convention' in 1924 as per......

From 1 April 1950, a separate Railway Budget is being presented to the Parliament prior to presentation of the General Budget every year. Though the Railway Budget is presented to Parliament separately, the figures relating to the receipts and expenditure of IR are also shown in the General......

From 1 April 1950, a separate Railway Budget is being presented to the Parliament prior to presentation of the General Budget every year. Though the Railway Budget is presented to Parliament separately, the figures relating to the receipts and expenditure of IR are also shown in the General......

Dividend Under the 'Separation Convention' IR is required to pay dividend to the general revenues on the capital advanced by the Gol at a rate determined periodically by RCC. Extra Budgetary Resources of IR other than general budget support and Resources internally generated resources Gross......

Report of the Comptroller & Auditor General of India for the year ended March 2012 Laid in Lok Sabha/Rajya Sabha on Union Government (Railways) Railways Finances Report No. 12 of 2013......