In India, other than ensuring that public funds are used efficiently and for their intended purpose, what is the importance of the office of the CAG?
- 1.CAG exercises exchequer control on behalf of the Parliament when the President of India declares a national emergency/financial emergency.
- 2.CAG reports on the execution of projects or programmes by the ministries are discussed by the PAC.
- 3.Information from CAG reports can be used by investigating agencies to press charges against those who have violated the law while managing public finances.
- 4.While dealing with the audit and accounting of government companies, the CAG has certain judicial powers for prosecuting those who violate the law. Which of the above are correct?
- A.1, 3 and 4 only
- B.2 only
- C.2 and 3 only
- D.1, 2, 3 and 4
▶ Answer & Explanation
Correct answer: C. 2 and 3 only
The Comptroller and Auditor General (CAG) of India submits its reports on government accounts to the President, who then causes them to be laid before both Houses of Parliament. The Public Accounts Committee (PAC), a parliamentary committee, then scrutinizes these reports, especially those pertaining to the execution of projects and programmes by ministries. This process ensures accountability and efficient use of public funds. Information contained in CAG reports can indeed be used by investigative agencies to initiate action against financial irregularities.
Source: UPSC gs1 2012