Tuesday, August 16, 2011

Circular 19-2011

Dear Comrades
Please find Circular 19-2011 posted below
With Regards
Yours fraternally
M. S. Raja
Secretary General



15/1089-90, VASUNDHARA, VASUNDHARA (P.O.), Dt. GHAZIABAD (U.P), PIN-201012

Ph: 0120-2881727/4101593/ 0 – 98681 45667

E-mail: auditflag@gmail.com

Website: www.auditflag.blogspot.com


Reference: AIA/Circular-19/2011                                                       Dated: 16th August 2011



Unit Secretaries,

Members & Spl. Invitees – NE &

Members of Women's Committee



Dear Comrades,


        "Sanction adequate Manpower to discharge Constitutional Obligation Day"



The decision to observe 6th September 2011 as "Sanction adequate Manpower to discharge Constitutional Obligation Day" has already been communicated vide Circular 17 dt 14th July 2011.


All the Units may hold their executive committee meeting followed by campaign amongst the membership. Where more than unit exist in one station, joint meeting of the executive Committees (ie Audit COC) should be held to decide on campaign and observance of the Day on 6th Sept 2011 by lunch hour meeting and adopting the resolution (draft resolution given elsewhere). The resolution may be handed over to the PAG/DGA/AG/Director/DDA for onward transmission to CAG.


All units may take all efforts to observe the programme jointly with units of the All India Audit & Accounts Officers Association.


The campaign should cover the following points.


1.      CAG under attack: The establishment is belligerent on the recent audit reports by CAG on various issues like 2G spectrum, CWG, KG Basin etc. It has put the ruling dispensation in the defensive. Some Union Ministers have gone to the extent of calling CAG an "accountant" having no right to comment.


We totally reject these vituperative statements by the so called 'conscience keepers' of the present government.


The fact that the vision of Dr Ambedkar, the founding father of the Constitution, to see that accounting and auditing is under the same authority – the "comptroller"- to ensure total and unbridled accountability has been undone in 1976 –during the dark days of internal emergency - is to be remembered. The role of CAG as on today – as per the DPC Act – is to audit, the accounting functions being discharged at the mercy of state governments.

                        Members are to be told to be vigilant against these attacks.


2.      Lack of adequate Man Power: 65000 in 2001, the staff strength is hardly 40000 in 2011. There is no change in the functions, rather it has increased. The Panchayati Raj, National Rural Employment Guarantee Act etc needs more detailed audit and proper accounting. There is no man power. (Also there absence of will power). Lakhs of crores of rupees are spent on these.


There is no recruitment for more than a decade. Though we are repeatedly told that recruitment is in the process, it is hardly visible. As the recruitments are left to the SSC, there is a regional imbalance causing social strain in many offices. Further, a good number of those even selected do not report. There is a need for localised recruitment, that also on war footing.


3.      Abandoning of Functions: This is the one thing that traumatises one who take the job in IA&AD seriously and sincerely.  In the recent past we find many an order from CAG office that practically negates the concept of public accountability. 


It started with over-importance to performance audit at the cost of regularity and propriety audit. This started with civil Audit wing. This has been extended to all wings. Performance audit would ensure that department hog big headlines in the media, the regularity and propriety audit will not.


The audit criteria issued recently in respect of PSUs is totally negating the very concept that founding father of the constitution envisaged. The audit criteria that have been forced upon recently would totally put almost all PSUs out of the overview of Parliament and thus negates the very foundation of Public Accountability. The order to close down all RAPs in commercial audit wing is another attempt to dilute audit of these PSUs.


The role of A&E offices – which has a great potential – is totally neglected for more than two decades, against the statement in MIR that the restricting of the Department is being effected to strengthen both the wings. What is happening today is weakening of both audit and accounts wings.


The National Executive that would meet on 17-18 Sept and the joint meeting of the National Executive Committee with that of All India Audit & Accounts Officers Association at New Delhi will decide future course of actions.  


All the units are requested to send copy of the resolution to HQr without fail.


            With regards


Yours fraternally





Secretary General





            This meeting of the members of ……………………………Association……………held on 6th September 2011 takes serious note of the vituperative attacks on the CAG and its audit reports  and out rightly reject the irresponsible statements by those who matter in the government.


            This meeting notes with pride that the department has come out with sterling audit reports despite the acute man power shortage.


            It is a fact that drastic reduction in manpower due to non filling up of vacancies for more than a decade has its telling report on the discharge of constitutionally bestowed responsibilities.


            This meeting is of the considered view that shift from basic concepts of audit like regularity and propriety audit to performance audit may help the department to hog lime light in the media but it would be a disservice to the country and its people as it fails the constitutionally bestowed functional integrity.


            The neglect of accounting functions and reluctance to takeover the accounting functions of PRI would erode the functional credibility of the department in the long run.


            This meeting expresses its grave concern over the recent move of the CAG administration to dilute the audit criteria of PSUS and the move to close down the Resident Audit Parties in the commercial audit. This is in effect negation of what has been gained by the Department under Shri Narahari Rao, the first (Indian) CAG of India. 


            This meeting urges upon the CAG of India to initiate steps that would reposition the Indian Audit & Accounts Department to its pre-eminent position that has been lost on account of department's own flawed policies including change of audit criteria etc and acute shortage of staff at feeder level.


            This meeting further requests the CAG of India to take necessary measures that would ensure immediate recruitment of personnel in the LDC, Auditor/Accountant cadres in all offices of IA&AD.


            This meeting resolves to send this resolution to Hon'ble CAG of India.


            Further resolves to send copy of this resolution to Secretary General, All India Audit & Accounts Association, CSV Warrier Bhawan, 15/1089-90, Vasundhara, Dt Ghaziabad (UP) – 201012.






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