Regulation 3 — Audit Regulations 2020
Original Rule Text
3. Mandate of the Comptroller and Auditor General with regard to audit
The mandate of the Comptroller and Auditor General with regard to audit of Union and States, Government companies and corporations, bodies and authorities is derived from the Constitution and the Comptroller and Auditor General’s (DPC) Act, 1971.
The Comptroller and Auditor General is the sole authority prescribed in the Constitution entrusted with the responsibility of audit of accounts of the Union and of the States. Under Section 13, (read with Section 17) and Section 16 of the Act, it is the duty of the Comptroller and Auditor General to audit all expenditure, all receipts, and other transactions of the Governments of the Union, of each State and each Union Territory.
Comptroller and Auditor General’s mandate, under the Constitution and under Section 14, 15, 19 and 20 of the Act, also covers audit of bodies, authorities, Government companies and corporations.
The Audit Reports of the Comptroller and Auditor General are placed before Parliament or the Legislature of the State or the Union Territory, as the case may be.
What This Means
The CAG's audit mandate comes directly from the Constitution of India and the DPC Act, 1971. The CAG is the sole constitutional authority responsible for auditing the accounts of the Union and States. This mandate covers all expenditure, all receipts, and all transactions of Union, State, and Union Territory governments, as well as government companies, corporations, bodies, and authorities. The CAG's audit reports are placed before Parliament or the concerned State/UT Legislature.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1CAG's audit mandate derives from the Constitution and the DPC Act, 1971
- 2CAG is the sole constitutional authority for auditing Union and State accounts
- 3Mandate covers all expenditure, receipts, and transactions under Sections 13, 16, and 17 of the DPC Act
- 4Also covers bodies, authorities, government companies, and corporations under Sections 14, 15, 19, and 20
- 5Audit Reports are laid before Parliament or the concerned State/UT Legislature
Practical Example
When the CAG conducts an audit of Indian Railways (a Union government department) and a State electricity corporation (a government company), both are within the CAG's constitutional mandate. The Railway audit report is placed before Parliament under Article 151, while the corporation's separate audit report is submitted under Section 19A of the DPC Act.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
Can any other body in India audit government accounts instead of the CAG?▼
Does the CAG audit government companies?▼
Where are CAG audit reports submitted?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.