CONTENTS - Central Public Works Department

SECTION 54
detail by the Internal Audit as part of the general review of the accounts of an office, will be left to the
discretion of the Inspecting officer keeping in view the time and manpower available. The extent and
nature of checks will include the following:
(a) Detailed scrutiny of accounts records required to be maintained in the Offices of D.D.O’s;
(b) Verification of payment and accounting procedures in the departmentalized system of accounts
including -check and post-check by the PAO’s are adequate, and that the procedures for
maintenance of provident fund accounts, finalization of pension cases, etc. are being duly observed;
(c) Verification of the extent and frequency of control and checks exercised by the head of office, in
order to locate any lacunae in procedures, whereby frauds or defalcations may be possible either
individually or in collusion. Where necessary, steps to remove such lacunae will be suggested;
(d) Scrutiny of sanctioning and purchase procedures in the office inspected, so as to ensure that they
are free from any defect or lacunae;
(e) Checking of procedures in regard to disposal of assets to ensure that there exist adequate
scrapping/condemning procedures;
(f) Scrutiny of general office management procedures adopted by the heads of offices locally, where
these have financial and accounting implications, so as to suggest tightening up administrative
and financial control, savings in expenditure, or streamlining of accounting.
54.17.5 Nature of checks to be exercised
Internal Audit parties will inter-alia exercise the following checks during inspection of accounts records
of various offices, viz., cheque drawing (i.e. Divisional Officers), non-cheque drawing [i.e. Superintending
Engineers/Chief Engineers/Director General (Works) etc.] DDO’s:
(a) All accounts records required to be maintained, are maintained in the prescribed forms;
(b) Payments made by the cheque drawing DDO’s are in accordance with the rules and orders
governing them, their arithmetical calculations are correct, and the recoveries/deductions made
from bills are in order; the list of payments accompanied by paid vouchers are sent every week by
them as per instructions to the concerned PAO by the prescribed dates;
(c) The instructions for the maintenance of cash books, contingent register, stock and stores accounts,
log books and other accounts records are duly observed;
(d) ‘Account Payee’ cheques (in favour of government servants and third parties, being payable only to
the concerned payees) issued by PAO’s after pre-check of relevant bills, to DDO’s are not being
entered in the cash book maintained by them, and that the delivery and acknowledgement of such
cheques is being watched through a separate register required to be maintained for the purpose;
(e) Pay fixations are correct;
(f) The weekly accounts of receipts with duplicate copies of challans are being sent to the concerned
PAO’s;
(g) Purchases are made as per rules and orders governing them; where lowest quotations are not
accepted, the reasons therefore are recorded;
(h) All sub-vouchers pertaining to contingent charges not sent to the PAO along with contingent bills
are available in office, or otherwise in order and have been properly cancelled;
(i) GPF/CPF accounts of Group “D” employees are maintained properly;
(j) The instructions for processing submission of pension cases to the concerned PAO are observed.
54.17.6 Checking of receipts
(1) While the Departmental authorities are primarily responsible to see that all revenue or other debts
due to the Government are correctly and properly assessed, realised and credited to Government account,
it would be necessary for the Internal Audit to see that adequate regulations and procedures have been
prescribed in a Department to secure an effective check on collection and accounting of all revenue
receipts and funds, and that such regulations and procedures are being followed correctly. It would also
be necessary to ascertain the nature of checks exercised by the Departmental authorities to ensure
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