Girish Chandra Murmu has recently been appointed as the Comptroller and Auditor General of India (CAG). Murmu replaces Rajiv Mehrishi and is set to hold the position up until the 20th of November, 2024.
Understanding the Importance of CAG
CAG is a constitutional body, as specified in Article 148, making it the paramount audit institution of India. It maintains a crucial role in controlling the country’s entire financial system, on both state and central levels. This makes the CAG one of the democratic system’s key supports, alongside institutions like the Supreme Court, the Election Commission, and the Union Public Service Commission.
The Role of CAG in Holding Executive Accountability
The supervisory function of the CAG plays a significant role in maintaining the executive’s accountability—specifically, the Council of Ministers—to the Parliament in regards to financial administration. This accountability is primarily ensured through the audit reports produced by the CAG.
Appointment, Tenure, and Removal of the CAG
The President of India appoints the CAG, and their tenure lasts either six years or until they reach 65 years of age, whichever comes first. The removal of a CAG can be authorised by the President, following the same protocols and grounds as the removal of a Supreme Court judge. A special majority in both Houses of Parliament can pass a resolution for the removal of the CAG on grounds of misbehavior or incapacity.
Additonal Details Regarding the Role of CAG
After serving as CAG, an individual is not eligible for further office under either the Government of India or any state. The individual’s salary and other service conditions are determined by Parliament. The office’s administrative expenses are charged upon the Consolidated Fund of India and are therefore not subject to parliamentary vote. No minister can represent the CAG in Parliament.
CAG’s Duties, Powers and Conditions of Service Act, 1971
According to the Act, the CAG audits accounts related to all expenditure from the Consolidated Fund of India and each state’s consolidated fund. The CAG also audits profit and loss accounts, balance sheets, and other subsidiary accounts kept by any department of the Central Government and state governments.
The Limitation of CAG’s Role
Even though the Constitution visualizes the CAG as both the Comptroller and Auditor General, in practice, the CAG only performs the role of the Auditor General. The CAG does not control the issue of money from the consolidated fund; certain departments can draw money by issuing cheques without the CAG’s specific authority. This sets the Indian CAG apart from the British CAG, who performs both Comptroller and Auditor General roles, requiring executive approval to draw money from the public exchequer.
