Preared by KrishnamRaju [ O/o CDA Secunderabad ]

CAG DPC ACT-1971.

1) who assists the CAG in the dischare of his functions - indian a/c's and audit services
-IA&AS
2) Duties/powers/conditions of services of CAG are laid down in CAG ACT 1971
3) Term of office CAG- 6 yrs/ he attains 65 yrs age
4) Article 149- duties and powers of cag
5) 150- form of a/c's of union and of the state
6) 151- reports of the CAG of ind relating to a/c's of union shall be submitted to president,
later laid before each house of parliament
7) 152- reports of the CAG of ind relating to a/c's of the state shall be submitted to
governor of state laid before legislature of the state.
8) Salaries,allowances and pensions payable to or in respect of persons serving in the
office of CAG shall be charged upon the - Consolidated Fund of India
9) On his retirement,resignation or removal, CAG should not be eligible for appointment in
any office under the GOI.
10) Which article deal with appointment of CAG?
- Article 148
11) As per which Article of the Constitution, CAG DPC Act-1971 was passed by the
Parliament. - Article 149.
12) As per which article of the Constitution, Accounts of the Union & of the states shall be
kept in such forms as prescribed by the president on advice of the CAG. - Article 150.
13) As per which article of the Constitution, Reports of the CAG relating to accounts of the
Union shall be submitted to the President who shall in turn place those before the
house of parliament- Article 151.
14) As per which article of the Constitution, Reports of the CAG related to the accounts of
the state shall be submitted to the Governor of the State who shall in turn place them
before the legislature of the state- Article 151
15) Who is the head of the Indian audit and accounts Dept- CAG
16) Who acts as a guide, friend, philosopher of the public accounts committee of the India -
CAG.
17) CAG Submits three audit reports to the president what are those ?
a) Audit report on Appropriation accounts
b) Audit report on Finance accounts
c) Audit report on Public undertakings
18) CAG is an independent body and conducts audit of expenditure on behalf of the
parliament hence he is responsible only to the Parliament.
19) The C&AG of India undertakes audit which are broadly categorised as
(a)Financial audit, compliance audit and Performance audit
(b) Civil audit, commercial audit, railway audit and P&T audit
(c) Receipt audit, expenditure audit and grant audit
(d) all of the above
[ Answer is Financial audit, Compliance audit. Performance audit ]

Prepared by KrishnamRaju [ O/o CDA Secunderabad ]

Preared by KrishnamRaju [ O/o CDA Secunderabad ]

20) .A request for the special Audit shall be given due consideration by C &AG or any other
Officer so authorised if the request for such audit of a programme , project or
organisation is made with the approval of the
A. Cabinet secretary
B. Secretary of the concerned department
C. Minister concerned
D. None
[ Answer is Secretary of the Concerned Department ]
21) .Report of the CAG in relation to audit of Govt Company shall be submitted to
a) President
b) Secretary, company affairs
c) The Prime Minister
d) The report shall be submitted to the Govt concerned.
[ Ans is The report shall be submitted to the Govt concerned ]
22) .Government company means - A Government company as defined under Section 617
of the Companies Act 1956
23) .C&AG of India is the sole authority to decide the scope and extent of audit to be
conducted by him or on behalf of him
24) .The result of audit under section 14 or 15 shall be communicated to the
a) Chief executive officer of the body or authority
b) Department of the Government that paid the grant or loan to the body or
authority
c) Both a & b
25) .The expression “Body” in the DPC Act includes
a) A co-operative society
b) A society
c) A Club
d) A Non-Govt Organisation.
e) All the above
[ Ans is all the above ]
26) CAG DPC Act was amended four times - 1976,1984,1987,1994.
27) CAG DPC Act came into force on 15th Dec 1971
28) section 10(1) authorises the president to relieve the CAG after consultation with him by
an order from the responsibility of compiling the a/c's of the union & a/c's of the
particular service or any dept/ministry of the union govt except the a/c's related to
pensions in lieu of resumed jagirs,lands,Indian audit and a/c's dept.similarly CAG is also
relieves from the responsibility of compiling the a/c's of the UT'S except the following
UT'S Chandigarh, dadra nagar haveli, lakshadweep
29) section 10(2) authorizes the governor of a state to relieve the CAG with the previous
approval of the President and after consultation with CAG from the responsibility of
compiling the a/c's of the state,. & a/c's of a particular service or any dept/ministry of the
state.
30) during the absence of Cag on leave, no officer is authorized to submit any report on
behalf of the Cag to the president of Ind or to the governor of any state/UT.

Prepared by KrishnamRaju [ O/o CDA Secunderabad ]

Preared by KrishnamRaju [ O/o CDA Secunderabad ]

31) The statutory auditor of a Government company or a deemed government company

shall be appointed by - CAG Of india.
32) who is the Authority for removal of doubts arising as to the interpretation of any of these
regulations on Audit and Accounts- CAG of india.
33) Power to modify or relax any provisions of the regulations on Audit and Accounts shall
vests with- C&AG of India.
34) The C&AG of India undertakes audit which are broadly categorised as
a) Financial audit b) compliance audit c) Performance audit d) all the
above
[ Ans is all the above ]

Rule No-1 Short title

2 Definitions
CAG is appointed as per Article 148 of the Constitution

3 Salary of the CAG is equal to that of the Judge of the Supreme Court

4 Term of Office is 6 year or till he attains the age of 65 Years.

5 Leave rules applicable to CAG

Who is the leave sanctioning authority for the CAG ?
- President.
CAG may be granted leave in accordance with the rules applicable to the
member of indian administrative service

6 Pension of CAG is same as that of the Judge of the Supreme Court

7 Omitted

8 CAG is entitled to subscribe to the General Provident Fund.

9 Other Conditions of Service ( like TA,Medical Facilities,Provision of rent free

residence, Conveyance facilities,sumptuary allowance )

10 CAG to compile the accounts of the Union and States :

1) Which Section authorises the President to relieve the CAG, after
consultation with him, by an order, from the responsibility of compiling (i) the
accounts of the Union (either at once or gradually by issue of several
orders), (ii) the accounts of any particular service or department of the Union
?
- Section 10
2) Which Section authorises the Governor of a State to relieve the CAG with the
previous approval of the President and after consultation with the CAG by an
order, from the responsibility of compiling (i) the accounts of the State (either at
once or gradually by issue of several orders) and (ii) the accounts of any
particular service or department of the State.?
- Section 10

Prepared by KrishnamRaju [ O/o CDA Secunderabad ]

Preared by KrishnamRaju [ O/o CDA Secunderabad ]

11 CAG has to prepare & submit accounts to the President/Governor/Administrator

of UT.
1) President after consultation with the CAG can relieve him from the
responsibility of preparing & submission of the accounts related to annual
receipts & Disbursements for the purpose of the Union or of a UT having
legislative assembly.
2) Governor of a State with the Previous approval of the President and after
consultation with the CAG can relieve him from the responsibility of
preparing & submission of the accounts related to annual receipts &
Disbursements for the purpose of the State.

12 Which Section deals with the responsibility of the CAG to give information and
render assistance to the Union Government, to the State Governments and
Union Territory with the Legislative Assembly in preparation of financial
statements ?
- Section 12.
2) CAG shall render assistance and give information to the Union and State
Govts for
a) Formulating their taxation policy
b) Taxing services and commodities
c) Preparing Financial statements
[ Ans is For preparing Financial statements ]

13 C&AG is authorised to audit all expenditure from consolidated fund of India and
of a state and of a Union Territory having a legislative assembly under
__________ of DPC act.
- Section(13)

14 Section 14(1) of the DPC act authorises the C&AG to audit the receipts and
expenditure of a body or authority if
1) the amount of Government grant or loan paid to it in a financial year is
not less than Rs 25 lakh
2) the amount of such grant or loan is not less than 75% of its total
expenditure during the year
* * Section 14 (2) of the Act empowers the C&AG to audit all receipts and
expenditure of a body or authority if the amount of Government grant or loan to
the body or authority in a financial year is not less than- one crore
** Under which section of DPC Act, can CAG audit the receipts and expenditure
of Bodies or authorities substantially financed by the Govt ?
- Section 14(1)
** How long can CAG’s audit continue if conditions under Section 14(1), 14(2)
are not fulfilled ?
- Two years
**Where a body of authority is audited under Section 14(1) or 14(2) for a
particular year, than C&AG is empowered to continue to audit that body or
authority for a further period of?
- Two years.

15 Audit of a body or authority receiving loan or grant for a specific purpose from
the consolidated fund of India or of a State or of a Union Territory having a

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Preared by KrishnamRaju [ O/o CDA Secunderabad ]

legislative assembly is done under section ____ of DPC Act.

- Section(15)

16 1) C&AG is authorised to audit all receipts of the GOI and of Government

of each State and of each Union Territory having a legislative assembly
under ________ of DPC Act.
- Section-16
2) Under which section CAG can audit all the receipts/revenues payable into
the consolidated fund of India ?
- Section 16

17 C&AGs power to audit and report on the accounts of the stores and stock kept
in any office or department of the Union is derived from____ of DPC Act ?
- Section 17

18 C&AGs authority to inspect the accounts of any office under the control of union
is derived from ______ of C&AGs (DPC)act.
- Section(18) of DPC Act.
1)Under sec 18 of DPC act the C&AG has the authority to ?
a) inspect any office of accounts under the control of a UT having a
legislative assembly.
b) require that any accounts, books, papers and other documents which
deal with or form the basis of or are otherwise relevant to the
transactions to which his duties in respect of audit extend, shall be sent
to such place as he may appoint his inspection.
c) put such questions or make such observations as he may consider
necessary to the person in charge of the office and to call for such
information as he may require for the preparation of any account or
report which it is his duty to prepare
d) All the above.
[ Ans is all the above ]

19 Provision of Section 19(1), 19(2) and 19(3)

Section 19(1):Audit of Government companies
Section 19(2):Audit of corporations established by or under law made by
parliament
Section 19(3):Audit of corporation established by or under law made by the
legislature of State/Union Territory

Under what provisions, the duties & POwers of the CAG are performed in
relation to the audit of the accounts of the Govt Companies ?
- Section 19(1)
Under what provisions, the duties & Powers of the CAG are performed in
relation to the audit of the accounts of the corporations established by or under
law made by parliament ?
- Section 19(2)
Under what provisions, the duties & Powers of the CAG are performed in
relation to the audit of the accounts of the corporations established by or under

Prepared by KrishnamRaju [ O/o CDA Secunderabad ]

Preared by KrishnamRaju [ O/o CDA Secunderabad ]

law made by the Legislature of State/Union Territory?

- Section 19(3)

20 CAG may propose to the President/Governor/Administrator of the UT to

undertake the audit of the accounts of any body or authority, the audit of the
accounts of which has not been entrusted to him by Law, if he is of opinion that
such audit is necessary because a substantial amount has been invested in that
body or authority by the GOVT.
If the President or Governor or Administrator permits, then CAG can undertake
the audit of accounts of such body or authority.

21 Delegation of Powers of CAG.

22 Power to make Rules : Central Govt after consultation with the CAG by
notification in the official gazette can make rules for carrying out the provisions
of this act in so far as they related to the maintenance of accounts.

23 Power to make Regulations:

1) The scope and extent of audit shall be determined by the C&AG of India
under which section of DPC Act - Section 23.
2) authority for C&AG to lay down general principles of Government
accounting is derived from- Section 23
3) CAG is authorised to make regulations related to the scope & extent of
audit including the general principles of Govt accounting and the broad
principles in regard to audit of receipts and expenditure as per section 23
of DPC Act.
4) Regulation on Audit and Accounts was made by C&AG of India under
the powers conferred on him by _____________of C&AGs (DPC) Act,
1971- Section 23
5)

24 Power of CAG to dispense with detailed audit:

CAG is authorised to dispense with any part of detailed audit of any accounts or
class of transactions and to apply such limited check in relation to such
accounts or transactions as he may determine.
1) The power to dispense with detailed audit of any accounts or transaction
is derived by C&AG of India under ____________ of DPC act ( Section-
24 )

25 Unnecessary

26 Unnecessary

27 Unnecessary

Prepared by KrishnamRaju [ O/o CDA Secunderabad ]