Regulation 37 — Audit Regulations 2020
Original Rule Text
37. Right of Audit to investigate stores balances
Audit may carry out physical inspection of stores and investigate store balances as part of checks performed in audit and report discrepancies.
Regulations on Audit and Accounts 2020 32
What This Means
Audit has the right to physically inspect stores and investigate store balances as part of its audit checks. If any discrepancies are found between physical balances and book balances, the audit team will report them.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Audit can conduct physical inspection of stores as part of regular audit checks
- 2Audit can investigate store balances — not just review records
- 3Discrepancies between physical stock and records must be reported
- 4This is an active verification power, not just a document review
Practical Example
The AG (Audit) team visits the Army Ordnance Depot and conducts a surprise physical verification of ammunition stores. They find that the physical count of certain items is 15% less than what the depot records show. Under Regulation 37, this discrepancy is reported in the audit findings, triggering an investigation by the depot management.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
Can audit conduct surprise physical verification of stores?▼
What kind of discrepancies does audit look for?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.