Para 7.1.1 — MSO (Audit)
Original Rule Text
7.1.1 Audit depends, for its effectiveness, on its right and duty to report the results of its scrutiny to the proper authority so that appropriate action may be taken where possible to rectify the irregularity or impropriety, or to prevent its recurrence. This authority may be a departmental authority, Government itself or, in the last resort, the Legislature, through the Public Accounts Committee and Committee on Public Undertakings.
# Treatment of objections
What This Means
The effectiveness of audit depends on its right and duty to report findings to the proper authority so that corrective action can be taken. Depending on the severity, the findings may be reported to the departmental authority, the Government, or ultimately to the Legislature through the Public Accounts Committee and Committee on Public Undertakings.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Audit's effectiveness depends on reporting findings to the proper authority
- 2Goal is to rectify irregularities or prevent their recurrence
- 3Reporting hierarchy: departmental authority, then Government, then Legislature
- 4Legislature is reached through PAC and Committee on Public Undertakings
- 5This is both a right and a duty of audit
Practical Example
An audit party discovers Rs 50 lakh in overpayments to a contractor. First, this is raised with the Divisional Officer (departmental authority) through the Inspection Report. When the department fails to recover the amount after repeated follow-ups, the matter is brought to the Government's attention. If still unresolved, it becomes a paragraph in the CAG's Audit Report, which is examined by the Public Accounts Committee of the Legislature.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
Does every audit finding go to the Legislature?▼
What is the Public Accounts Committee (PAC)?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.