Follow up of Audit Report

After tabling of Audit Report to State Legislature, the Performance Audit /Compliance Audit (PA/CA) paragraphs in the Audit Report (AR) are followed-up through Public Accounts Committee (PAC).

According to instructions (January 2001) of Finance Department Government of Maharashtra, Administrative Departments are required to furnish Explanatory Memorandum (EM) duly vetted by Audit to the Maharashtra Legislature Secretariate in respect of paragraphs included in ARs , within three months of presenting the ARs to State Legislature. An Explanatory Memorandum (EM) on the PA/CA is submitted by the respective department of the Government of Maharashtra for vetting by Audit.

An Explanatory Memorandum states whether –

• Facts and figures in the AR acceptable;
• Circumstances in which the irregularity pointed out by us occurred;
• Action taken to fix responsibility and likely time frame for its completion;
• Current Status of recovery;
• Action taken or proposed to be taken on suggestions and recommendations of audit; and
• Remedial action taken/proposed to avoid recurrence of lapsed in future.

After vetting of the EM, remarks on the concerned PA/CA paragraphs are sent to the department of Government of Maharashtra for onward submission to PAC.

Discussion on selected PA/CA paragraphs is held in the PAC meeting attended by the Accountant General besides PAC members and Secretary of the department to which paragraph(s) pertains.

Minutes of PAC meetings and recommendations of the PAC on such paragraphs in the form of PAC Report is submitted to the State Legislature.

On the basis of the recommendation of the PAC, concerned departments of the Government of Maharashtra are required to take necessary action and Action Taken Note (ATN) thereon is sent to Audit for comments (if any).

After vetting of ATN, the audit comments are sent to the Government/PAC for further action.

Pendency in submission of EM/ATNs of the previous ARs/PAC Reports is also included in the ARs.