"The duty of the Comptroller and Auditor General is not merely to ensure the legality of expenditure but also its propriety." Comment.
"The duty of the Comptroller and Auditor General is not merely to ensure the legality of expenditure but also its propriety." Comment.
Subject: Indian Polity
The Comptroller and Auditor General (CAG) serves as India's supreme audit institution, functioning as a watchdog over public finances and ensuring accountability in governance. The role extends beyond mere financial compliance to encompass comprehensive scrutiny of government expenditure.
Dual Mandate of CAG
-
Constitutional Authority: Under Article 148-151, CAG ensures both legality and propriety of public expenditure through:
- Scrutiny of financial transactions.
- Examination of rules and procedures.
- Assessment of value for money in government spending.
-
Legality of Expenditure:
- Verifies compliance with constitutional provisions and legislative authorizations.
- Ensures adherence to established financial rules and regulations.
- Checks for proper documentation and authorization of expenditure.
Propriety Dimension
-
Performance Auditing:
- Evaluates economy, efficiency, and effectiveness of government programs.
- Assesses outcomes and impact of public spending.
- Reviews policy implementation and achievement of objectives.
-
Landmark Cases Illustrating Propriety Audit:
- In the 2G Spectrum Case (2010), the CAG flagged arbitrary allocation and undervaluation of spectrum licenses, estimating a notional loss of ₹1.76 lakh crore.
- The Coal Block Allocation Case (2012) exposed non-transparent allocations without competitive bidding.
- The Commonwealth Games (CWG) Scam (2010) revealed extravagant and wasteful public spending, with the CAG highlighting lapses in event management.
-
Accountability Mechanism:
- Reports are examined by the Public Accounts Committee (PAC) for parliamentary oversight.
- Recommendations lead to systemic improvements in financial management.
- Recent Supreme Court notice (March 2025) regarding CAG appointment process highlights the importance of institutional independence.
Way Forward
- Strengthening Audit Impact:
- Mandatory follow-up mechanism for audit recommendations.
- Time-bound implementation of corrective actions.
- Enhanced transparency through public disclosure of audit findings.
In essence, the CAG's role as envisioned by the Constitution goes beyond being a mere accountant to serving as a guardian of public resources, exemplified by recent developments like the PIL challenging appointment processes and the institution's evolving focus on performance auditing alongside financial compliance.
Answer Length
Model answers may exceed the word limit for better clarity and depth. Use them as a guide, but always frame your final answer within the exam’s prescribed limit.
In just 60 sec
Evaluate your handwritten answer
- Get detailed feedback
- Model Answer after evaluation
Crack UPSC with your
Personal AI Mentor
An AI-powered ecosystem to learn, practice, and evaluate with discipline
Start Now