Para 7.3.3 — MSO (Audit)
Original Rule Text
7.3.3 The Reports serve a dual purpose. To the Government concerned, the Report will indicate the extent to which its rules and orders are adhered to by its subordinates; it will also often suggest the directions in which the rules and orders can, with advantage, be amplified or modified. Simultaneously, the Report will apprise the Legislature, through its Financial Committees, how far the Government have complied with the rules and orders and in particular how far the moneys placed at its disposal were regularly and wisely spent. Similarly, the Report on Revenue Receipts will highlight the lapses on the part of assessing officers in complying with the revenue laws and the rules and orders issued thereunder by the Revenue Department. The legislature will also be kept informed, inter-alia, of instances of Government conveying decisions or directions not in conformity with the revenue laws passed by it. The Report is thus an important instrument in ensuring accountability of the Executive to the Legislature in matters concerning financial management.
What This Means
CAG Reports serve a dual purpose. For the Government, they show whether subordinate officers are following rules and suggest where rules could be improved. For the Legislature (through its Financial Committees like the PAC), they reveal whether public money was spent regularly, wisely, and in compliance with authorised rules. Revenue Receipts Reports similarly highlight whether revenue officers followed tax laws correctly and whether the Government itself issued directions consistent with the laws passed by the Legislature.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Reports serve the Government by highlighting rule compliance and suggesting improvements
- 2Reports serve the Legislature by ensuring accountability for public money
- 3Revenue Reports highlight whether assessing officers followed tax laws
- 4Reports flag government directions that may conflict with revenue laws
- 5The Report is a key instrument of executive accountability to the Legislature
Practical Example
The State Audit Report reveals two things simultaneously: (a) For the Government — that 60% of Drawing Officers in the Education Department are not following the prescribed purchase procedure for lab equipment, suggesting the rules need better dissemination and training. (b) For the Legislature — that the Education Department spent Rs 80 crore on equipment through irregular procurement, meaning public funds were not spent as authorised. The PAC takes up the matter and calls the Education Secretary for examination.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
What are the Financial Committees of the Legislature?▼
How does the Revenue Report serve legislative accountability?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.