CAG And Nepal's Auditor General Sign MoU To Enhance Co-Op In Auditing
Agreements and MoU
6 min read
The Comptroller and Auditor General of India (CAG), Girish Chandra Murmu has signed a Memorandum of Understanding (MoU) with Toyam Raya, Auditor General of Nepal to enhance cooperation between the two institutions.
Girish Chandra Murmu, who is on an official visit to Nepal, signed the MoU in Kathmandu, Nepal, in the presence of dignitaries from both countries.
The MoU seeks to enhance collaboration between the two Supreme Audit Institutions (SAIs) and the exchange of expertise in the field of auditing.
CAG is the supreme auditing institution in India while in Nepal Auditor General of Nepal is the supreme auditing institution.
This MoU will establish a platform between the two countries for developing and strengthening professional capacity, exchanging knowledge in the field of public sector audit, and mutually assisting in conducting audits.
During his visit to Nepal, the CAG also met with Nepal's Prime Minister, Pushpa Kamal Dahal, and Finance Minister Barsaman Pun.
Murmu also met the Chairman of the Public Accounts Committee of the Nepali Parliament, Mr Rishikesh Pokharel, to discuss mutual cooperation in the field of public sector audit.
About the Comptroller and Auditor General of India (CAG)
Dr B.R. Ambedkar considered the office of the Comptroller and Auditor General of India (CAG) as the ‘most important office’ under the constitution.
The Comptroller and Auditor General of India is the custodian of public finances as well as the controller of the entire financial system of the country.
It is also called the Guardian of Public Funds.
Article 148 of the constitution provides for the Comptroller and Auditor General of India
Appointment and Term of the CAG
The President appoints the Comptroller and Auditor General of India.
The CAG holds his office:
- for a period of 6 years from the date of assumption of office or till the age of 65 years (whichever is earlier).
- He can vacate his post anytime by submitting his resignation to the President.
Function of the CAG
The CAG does not compile the government of India's accounts; it only audits them.
However, the CAG compiles the account as well as audits the accounts of the state government.
The other functions of CAG are as follows:
- To audit all accounts relating to expenditure from the Consolidated Fund of India
- To audit all accounts relating to the expenditure from the Consolidated Fund of each State, and each Union Territory having a Legislative Assembly.
- To audit all expenditures from the Contingency Fund and the Public Accounts of the Union and the States.
- To audit the accounts of all receipts of the Center and the States.
- To audit the accounts of all government-owned companies and any other corporation or body.
- To audit the accounts of any other authority and other bodies (such as local bodies) at the request of the President or the Governor.
Report Submitted by the CAG
Government of India’s audit
At the end of each financial year, the Comptroller and Auditor General of India present reports on the government's audit to the President
The President lays down the CAG report on the floor of both houses of the Parliament.
The CAG is considered to be the friend philosopher and guide to the Public Accounts Committee of the Parliament.
The CAG's report is submitted for scrutiny to the Public Accounts Committee of the Parliament in the case of the Central Government and to the Public Accounts Committee of the State Legislature in the case of the States.
