Para 3.5.10 — MSO

3.5.10 Audit should check that

(i) the sanction conforms to the pattern of assistance or rules governing such grants-in-aid as approved by the Finance Ministry;

(ii) the suitability of the institution seeking the grant has been assessed by the sanctioning authority;

(iii) no grants are sanctioned where there is reasonable doubt or suggestion of corrupt practices unless the institution concerned has been cleared of the allegations;

(iv) every order sanctioning a grant indicates whether it is recurring or non-recurring in nature and the object for which it is given and clearly specifies the general and special conditions, if any, attached to the grant, and

(v) a provision to the effect that the accounts of the grantee institutions shall be open to inspection by the sanctioning authority/Audit whenever considered necessary by them is incorporated in all orders sanctioning grantsin-aid. 3.5.11 In the audit of sanctions to grants-in-aid and expenditure thereagainst, the guidelines/principles enunciated in Section II are required to be observed.