Para 3.7.7 — MSO

3.7.7 The procedure for dealing with the contracts relating to the Public Works Department is contained in Section IV relating to Public Works Audit. In respect of civil departments, copies of contracts and agreements relating to purchases of the value of Rs 5 lakhs and above should invariably be obtained and examined in Central Audit. All rates and running contracts, as well as all important and unusual contracts, should be scrutinised irrespective of the amount of contract. Other contracts should be examined in local audit to a suitable extent determined with reference to local conditions. For this purpose, the departmental officers should be required to send monthly lists of all contracts entered into by them, besides copies of all contracts and agreements for purchases of the value of Rs 5 lakhs and above, all rate and running contracts, and of all important and unusual contracts included in the monthly lists for scrutiny.