Para 2.6.26 — MSO

2.6.26 Unless otherwise provided, the audit of the accounts of non-commercial autonomous bodies entrusted to the Comptroller and Auditor General under the relevant Acts setting up these bodies should be conducted in accordance with the general principles and rules prescribed by him to regulate the audit of Government accounts. These principles and rules are to be followed for audit of the accounts of any local fund, public or quasi-public fund or non-Government institution or any other body or authority also, unless otherwise provided. The broad aim of Audit should be to ascertain how well these bodies are discharging their financial responsibilities and how far the funds placed at their disposal are utilized in fulfilment of the objects envisaged by Government. In this context, it should be examined whether:

(i) the objectives of the organization have been clearly defined and are in conformity with the Government’s policies and decisions;

(ii) policies and programmes have been formulated in accordance with these objectives and are being implemented based on specific and well defined procedures;

(iii) systems exist for the collection and collation of reliable progress reports on the implementation of policies and programmes;

(iv) progress is reported periodically to the Governing body of the organization and Government and such reports are adequate, timely and accurate; and

(v) internal control mechanisms are adequate and effective.