Comptroller and Auditor General (CAG) of India: Detailed Analysis for UPSC Preparation

Table of Contents

1.     Present CAG of India 2023

2.     What is CAG?

3.     History of CAG of India

4.     Powers of CAG of India

5.     Role of Comptroller and Auditor General of India

6.     Functions of CAG of India

7.     Duties of CAG

8.     Constitutional Provisions for CAG of India

9.     List of CAG of India

10.                        Composition of CAG Office

11.                        Issues Faced by CAG of India

12.                        Audit Jurisdiction of CAG of India

13.                        CAG Audit Reports

14.                        Difference Between Indian CAG and British CAG

15.                        Role of Public Accounts Committee (PAC) in CAG

16.                        CAG UPSC

17.                        Sample MCQs for UPSC Exam Preparation

 

 

1. Present CAG of India 2023

Girish Chandra Murmu has been the present CAG of India since August 7, 2020. Before this, he served as the Lieutenant Governor of Jammu and Kashmir. The CAG of India has the same ranking as a Judge of the Supreme Court of India.

 

 

2. What is CAG?

The Comptroller and Auditor General of India (CAG) is an independent constitutional body established under Article 148 of the Indian Constitution. It is responsible for auditing the accounts of the central and state governments and ensuring accountability in public expenditure.

 

 

3. History of CAG of India

• First CAG of India: V. Narahari Rao (1948-1954)
• Historical Context: The office of the CAG was established during the British era in 1858. The role was formalized in independent India under Articles 148-151 of the Constitution.

 

 

4. Powers of CAG of India

The CAG has extensive powers to audit government accounts and ensure transparency. These powers include:

• Access to all financial records of the government.
• Authority to inspect any office related to the audit.
• Power to make recommendations for financial propriety.

 

 

5. Role of Comptroller and Auditor General of India

The CAG ensures the executive's accountability to the Parliament in financial matters. It audits expenditure to confirm it aligns with the law and is used effectively.

 

 

6. Functions of CAG of India

• Audits all receipts and expenditure from the Consolidated Fund of India and states.
• Audits transactions related to the Contingency Fund and Public Accounts.
• Audits accounts of all government corporations set up under the Companies Act.
• Submits audit reports to the President, who lays them before Parliament.

 

 

7. Duties of CAG

Articles 148-151 outline the duties and powers of the CAG:

• Article 148: Appointment, oath, and conditions of service.
• Article 149: Powers and duties.
• Article 150: Form of accounts of the Union and states.
• Article 151: Submission of audit reports to the President.

 

 

8. Constitutional Provisions for CAG of India

• Article 148: Establishes the office and appointment procedure.
• Article 149: Defines duties and powers.
• Article 150: Specifies the form of accounts.
• Article 151: Requires the submission of audit reports to Parliament.
• Article 279: Involves CAG in the calculation and certification of net proceeds of taxes.

 

 

9. List of CAG of India

1.     V. Narahari Rao (1950-1954)

2.     Anil Kumar Chanda (1954-1960)

3.     A. K. Roy (1960-1966)

4.     S. Ranganathan (1966-1972)

5.     A. Bakshi (1972-1978)

6.     Gyan Prakash (1978-1984)

7.     Tirlok Nath Chaturvedi (1984-1990)

8.     C. G. Somiah (1990-1996)

9.     V. K. Shunglu (1996-2002)

10.                        Vijayendra Nath Kaul (2002-2008)

11.                        Vinod Rai (2008-2013)

12.                        Shashi Kant Sharma (2013-2017)

13.                        Rajiv Mehrishi (2017-2020)

14.                        Girish Chandra Murmu (2020-present)

 

 

10. Composition of CAG Office

The CAG office is supported by the Indian Audit and Accounts Department (IADD) and includes:

• Deputy CAG
• Secondary Deputy CAG
• Director General
• Principal Director
• Deputy Director

 

 

11. Issues Faced by CAG of India

• Increasing corruption and fraud detection challenges.
• Lack of criteria for CAG appointment.
• Short tenure affecting the effectiveness.
• Lack of recognition and freedom compared to counterparts in other countries.

 

 

12. Audit Jurisdiction of CAG of India

• Central and state government expenditures.
• Government-financed bodies.
• Trusts and non-profit organizations.
• Central Public Sector Undertakings (PSUs).
• Urban Local Bodies (ULBs) and Panchayati Raj Institutions (PRIs).
• Government institutions.

 

 

13. CAG Audit Reports

CAG submits three main types of audit reports to the Public Accounts Committee (PAC):

1.     Audit Report on Funding Accounts

2.     Audit Report on Public Projects

3.     Audit Report on Financial Accounts

 

 

14. Difference Between Indian CAG and British CAG

Aspect	Indian CAG	British CAG
Role	Auditor General	Comptroller and Auditor
Historical Context	First CAG: V. Narahari Rao (1950)	First CAG: Sir Edward Drummond (1860)
Parliamentary Membership	Not a member	Member of Parliament
Control over Withdrawals	No control over public treasury withdrawals	Money cannot be withdrawn without approval

 

 

15. Role of Public Accounts Committee (PAC) in CAG

The PAC examines CAG reports and ensures accountability in public expenditure. It consists of 22 members, with 15 from the Lok Sabha and 7 from the Rajya Sabha. The current chairman is Shri Adhir Ranjan Chowdhury.

 

 

16. CAG UPSC

The CAG is an important topic in the Indian Polity section for UPSC. Candidates should understand its role, powers, and constitutional provisions.

 

 

17. Sample MCQs for UPSC Exam Preparation

1.     Which Article of the Indian Constitution establishes the CAG?

·         [A] Article 124

·         [B] Article 148

·         [C] Article 280

·         [D] Article 324

·         Answer: [B] Article 148

 

2.     Who appoints the CAG of India?

·         [A] Prime Minister

·         [B] Chief Justice of India

·         [C] President

·         [D] Parliament

·         Answer