Comptroller Auditor General (CAG)
Context: Delays in annual report causing Vaccum- Lagging Indicators
Analysis Shows the Past six years, part of which falls before the pandemic, have seen steady declines in reporting schedules. the number of bodies releasing annual reports has declined from 180in 2015-16 to 102 in 2020-2021
A major reason for these tardy submissions appears to be linked to the delays by the Comptroller and Auditor general in completing Audits
About CAG
- Article 148 of the Indian Constitution provides for an Independent Office of Comptroller Auditor General (CAG)
- Head of the Indian Audits and Account Department
- It is an apex authority for external and internal audits of the expenses of the National and State governments
Appointments, Term & Removal
- The CAG is appointed by the President, they should take oath before the president or before someone from the President's office
- CAG holds Office for six years or up to the age of 65 years whichever is early
- CAG can resign by addressing their resignation to the President
- CAG can be removed by the President from the Office in the same manner as a Supreme court Judge or Resolution passed by the President in both houses of the Parliament with the special majority, either on the ground of misbehaviour or incapacity
- CAG is not eligible to join any Central Government Post or in any State government Post
- Expenses, allowances, and salaries are drawn from the Consolidated Fund of India
Duties of CAG:
Articles 148,149,150 and 151 of the Constitution of India describe the function and power of the CAG office
- CAG will conduct all expenses from Consolidated Fund in all the states and UT has a legislative assembly
- CAG Audits all the expenses from the Contingency Fund of India and Public accounts of India as well as the Contingency Fund of State and Public Accounts of a State
- CAG Audits all trading accounts, manufacturing, profit and loss accounts, balance sheets and other subsidiary accounts kept by any department of the Central and State Governments
- CAG Audits the receipts and expenditures of all bodies and Authorities which are financed by the Central and State Government revenues
- CAG Submits audit reports relating to the Central Government to President and State Governments to Governor, they will furnish these reports in parliament as well as in-state assemblies
- CAG submits three reports to the President 1-Report on Appropriation accounts, a report on financial accounts, report on PublicUndertakings
Vinod rai Committee Recommendations
- Bring Public Privat Partnerships (PPP), Panchayat Raj Institutions as well as Government-aided Institutions into the ambit of CAG
- The act should be amended according to the changes in the Governance (Act 1971)
Important Observations
- CAG is performing only Auditor duties not Comptroller duties but in Colonia Period CAG used to Perform both
- CAG is not a member of Parliament but in the Colonial Period CAG does belong to House
