CAG should restrict itself to financial impropriety: PAC chief

In a veiled criticism of huge notional losses projected by CAG in the 2G and other scams, PAC Chairman K V Thomas today said audits should be restricted to financial impropriety and not come out with "astronomical" figures of notional losses adding to media sensationalism.
A former Union Minister and senior Congress leader, Thomas, without referring to either presumptive Rs 1.76 lakh crore loss caused to the exchequer in 2G telecom spectrum allocation or the Rs 1.8 lakh crore loss in coal block allocations, also said it would border on transgression if facts do not point to loss to the government.

"...I cannot be oblivious of the fact that there is a perception that CAG audit is fault-finding by nature and sensational by choice. I believe audit has to be based on facts, and if on facts, an act of financial impropriety is seen, it would deserve the strongest condemnation," he said.
"On the other hand, if the facts do not directly point to loss to the exchequer, it would border on transgression to give out astronomically large numbers adding to the sensationalism of the media," he said at a conference of Accountants Generals here.
The chief of Public Accounts Committee (PAC) emphasised the need for monitoring of funds at the time of issue by CAG for achieving desired results.

"I find that most of the cases in which the question of process of authorisation of expenditure or economy or wisdom of the purpose for which the money was spent had arisen only at the audit stage. I feel that this could have been better managed if there had been a bit of foresight at the time of issue of money," he said.
"I agree that the 'man-on-the-spot' cannot be held responsible for all the wrongs which were beyond his control. Nevertheless, we are duty-bound to ensure that the man-on-the-spot' did all what he could have done," he said.