COMPTROLLER AND AUDITOR GENERAL
NCERT notes ( Study Material ) on important topics for the CDS, NDA, AFCAT written exam. These notes will also be useful for other competitive exams like, UPSC Civil Services, State Civil Services exams, Bank PO, SSC and so on. ( Check Other NCERT Notes Here )
The CAG is an officer of the Parliament and he is called Ears and Eyes of the Public Accounts Committee.
Dr. B. R. Ambedkar said - The Comptroller and Auditor General is the most important office under the Constitution.
- Provisions regarding the CAG are given under Article 148 - 151 - Oath is administered & Appointment is done by the President of India for 6 years or 65 years of age ( whichever is earlier ).
- Audits the account of the Union and the States and submit the report to the President ( in case of Union ) or the Governor ( in case of State ).
- Ensures that all expenditures from the consolidated fund of India or states are in accordance with the law - Money sanctioned by the Parliament or the State legislature is being spent for the right purpose.
- Also, to audit and report on the receipts and expenditures of the -
Government Companies,
All bodies and authorities substantially financed from the Union or the State revenues, and
Other corporations or bodies when so required by the law relating to such corporations or bodies.
- The report of the CAG shall be submitted to the Governor, who shall lay it before the State legislature - This report is then immediately referred to the Public Accounts Committee of the Parliament.
PUBLIC ACCOUNTS COMMITTEE (PAC)
Formed every year in parliament & state legislature,
No member of PAC should be from Council of Ministers,
Chairman of PAC is appointed by speaker of Lok sabha and is generally from opposition party.
- The conditions of service of other persons serving in Indian Audit and Accounts Department shall be prescribed by the President after consultation with the CAG.
- The CAG has no control over the issue of money - Concerned only at the same of Audit after the expenditure has already taken place.
- CAG may be removed from his office only on the grounds of proved misbehavior or incapacity only in a manner as a judge of SC is removed - i.e. each house of parliament is passing a resolution supported by not less than 2/3rd of the members present and voting.
- His salary is charged from consolidated fund of India and cannot be changed except under financial emergency.
- After retirement, he is disqualified for appointment under union or state government.
