CAG team works to increase synergy among ministries

Subject : Polity

Section: constitutional body

Concept :

A team of CAG held a brainstorming session with senior officers of central ministries with a view to facilitating the identification of systemic issues and potential areas for improvement.
The CAG team was headed by Deputy Comptroller and Auditor General (Report Central) Rakesh Mohan.

Comptroller and Auditor General of India (CAG)

The Constitution of India provides for an independent office of the Comptroller and Auditor General of India (CAG).
He is the head of the Indian Audit and Accounts Department and is one of the bulwarks of the democratic system of government in India
He is the guardian of the public purse and controls the entire financial system of the country at both the levels–the Centre and the state.
His duty is to uphold the Constitution of India and laws of Parliament in the field of financial administration.

Constitutional Provisions for Office of CAG

Article 148 broadly deals with the CAG appointment, oath and conditions of service.
Article 149 deals with Duties and Powers of the Comptroller and Auditor-General of India.
Article 150 says that the accounts of the Union and of the States shall be kept in such form as the President may, on the advice of the CAG, prescribe.
Article 151 says that the reports of the Comptroller and Auditor-General of India relating to the accounts of the Union shall be submitted to the president, who shall cause them to be laid before each House of Parliament.
Article 279 Calculation of “net proceeds” is ascertained and certified by the Comptroller and Auditor-General of India, whose certificate is final

Appointment, Term & Removal

The CAG is appointed by the President of India by a warrant under his hand and seal.
The CAG holds office for a period of six years or up to the age of 65years, whichever is earlier.
He can resign any time from his office by addressing the resignation letter to the president.
He can also be removed by the president on same grounds and in the same manner as a judge of the Supreme Court. In other words, he can be removed by the president on the basis of a resolution passed to that effect by both the Houses of Parliament with special majority, either on the ground of proved misbehaviour or incapacity.

Independence

The Constitution has made the following provisions to safeguard and ensure the independence of CAG:
He is provided with the security of tenure and can be removed by the president only in accordance with the procedure mentioned in the Constitution. Thus, he does not
hold his office till the pleasure of the president, though he is appointed by him.
He is not eligible for further office, either under the Government of India or of any state, after he ceases to hold his office.
His salary and other service conditions are determined by the Parliament. His salary is equal to that of a judge of the Supreme Court.
Neither his salary nor his rights in respect of leave of absence, pension or age of retirement can be altered to his disadvantage after his appointment.
The administrative expenses of the office of the CAG, including all salaries, allowances and pensions of persons serving in that office are charged upon the Consolidated Fund of India and are not subject to the vote of Parliament.
No minister can represent the CAG in Parliament (both Houses) and no minister can be called upon to take any responsibility for any actions done by him.

Duties of CAG

CAG audits the accounts related to all expenditure from the Consolidated Fund of India, Consolidated Fund of each state and UT having a legislative assembly.
CAG audits all expenditure from the Contingency Fund of India and the Public Account of India as well as the Contingency Fund and Public Account of each state.
CAG audits all trading, manufacturing, profit and loss accounts, balance sheets and other subsidiary accounts kept by any department of the Central Government and the state governments.
CAG audits the receipts and expenditure of all bodies and authorities substantially financed from the Central or State revenues; government companies; other corporations and bodies, when so required by related laws.
He ascertains and certifies the net proceeds of any tax or duty and his certificate is final on the matter.