Comptroller and Auditor General’s (Duties, Powers and Conditions of Service) Act, 1971

Chapter Sections Subject

I 1 Short Title (This Act may be called the CAG's DPC Act, 1971)
Preliminary 2 Definitions

II 3 Salary
Salary and 4 Term of Office
Other 5 Leave
Conditions of 6 Pension
Service of the 7 Commutation of pension (OMMITED)
Comptroller 8 Right to subscribe to General Provident Fund
and Auditor- 9 Other conditions of service
General

III 10 Comptroller and Auditor General to compile accounts of Union and States
Duties and 11 Comptroller and Auditor General to prepare and submit accounts to the
powers of the President, Governors of States and Administrators of Union territories having
Comptroller Legislative Assemblies.
and Auditor 12 Comptroller and Auditor General to give information and render assistance to
General the Union and States
13 General provisions relating to audit
(a)to audit all expenditure from the Consolidated Fund
(b) to audit all expenditure from Contingency Funds and Public Accounts &
(c) to audit all trading, manufacturing, profit and loss accounts and balance-sheets and
other subsidiary accounts )
14 Audit of receipts and expenditure of bodies or authorities substantially
financed from Union or State Revenues
1. Where the grant or loan to a body or authority in a financial year is not less
than rupees twenty-five lakhs and the amount of such grant or loan is not less
than seventy-five percent of the total expenditure of that body or authority
2 with the previous approval of the President or the Governor of a State or the
Administrator of a Union territory having a Legislative Assembly, Where the
grant or loan to a body or authority in a financial year is not less than rupees
one crore.)
3 In case of audit of body/authority under sub section 1 or 2 above,
continuance of audit for further period of two year, irrespective of
the fact that whether they satisfy the condition or not.
15 Functions of Comptroller and Auditor General in the case of grants or
loans given to other authorities or bodies
1. Where any grant or loan is given for any specific purpose from the
Consolidated Fund to any authority or body, then CAG shall scrutinise the
procedures of sanction of such Grant or Loans. Right of access, after giving
reasonable previous notice, to the books and accounts. However,
president/Governor/Admn may relieve him from doing so.
2. CAG shall not have right to access the book of accounts, if the law by or
under which such corporation has been established provides for the audit of
the accounts of such corporation by other agency.
16 Audit of receipts of Union or of States
17 Audit of accounts of stores and stock
18 Powers of Comptroller and Auditor General in connection with audit of
accounts
1. a. to inspect any office of accounts
b. to require that any accounts, books, papers and other documents shall be
sent to such place as he may appoint for his inspection;
c. to put such questions or make such observations as he may consider
necessary, to the person in charge of the office

2. The officer incharge shall afford all facilities for such inspection and comply
with requests for information in as complete a form as possible and with all
reasonable expedition.
19 Audit of Government companies and corporations
1. audit of the accounts of Government companies
2. audit of the accounts of corporations
 3. audit of accounts of corporation on request of Governor/Administrator where he is of
opinion that it is necessary in the public interest
19 A Laying of reports in relation to accounts of Government companies
and corporations
IV 20 Audit of accounts of certain authorities or bodies
Miscellaneous 1. Audit of accounts of boby/Authorities on receipt of request of
President/Governor/Administrator as the case may be
2. CAG may propose to the President/Governor/Administrator as the case may be, to
audit of accounts of any body or authority if he is of opinion that such audit is
necessary because a substantial amount has been invested in, or advanced
to.
21 Delegation of power of Comptroller and Auditor General
22 Power to make rules
1. 1. The Central Government may, after consultation with the Comptroller and Auditor-
General, by notification in the official Gazette, make rules for carrying out the provisions
of this Act in so far as they relate to the maintenance of accounts.

23 Power to make regulations

The CAG is authorised to make regulations with regard to the scope and extent of audit
24 Power to dispense with detailed audit
CAG is authorised to dispense with, when circumstances so warrant, any part of
detailed audit of any accounts or class of transactions and to apply such limited check in
relation to such accounts or transactions as he may determine.
25 Repeal
Repealed earlier act of 1953
26 Removal of doubts
For removal of doubt related act of 1935 and 1947 declared ceases to exist