"Supreme Audit Institution Of India"

About Us: What we do.


Accountant General (Accounts & Entitlements), Punjab functions under the Comptroller & Auditor General of India (C&AG) who is the Head of the Indian Audit & Accounts Department. The Comptroller & Auditor General of India is a Constitutional Authority appointed by the warrant of the President of India. By virtue of the provisions of Government of India (Audit & Accounts) Order, 1936 as adopted by the Government of India (Provisional Constitution) Order, 1947 and Article 149 of the Constitution of India, the C&AG had the power to frame rules and give directions in all matters pertaining to the audit of accounts for which he was responsible. The functions of the Comptroller & Auditor General of India are derived mainly from the provisions of Article-149 to 151 of the Constitution of India.

The C&AG’s (Duties, Powers and Conditions of Service) Act, 1971 under the Articles 148(3) and 149 of the Constitution was passed by Parliament in 1971.

History of IA & AD

The Comptroller and Auditor General Of India was originally called the Accountant General to the Government of India in 1858 and later designated as the Auditor General of India in 1860, the Comptroller General of Accounts in 1866, the Comptroller and Auditor General in 1884, the Auditor General in India under the Government of India Act 1919, and the Auditor General of India under the Government of India Act 1935, he was entrusted with the responsibility for the accounting and audit of the Government of India and eleven provincial governments and performed his duties and functions through the Indian Audit and Accounts Department. There were fifteen Auditors General, excluding those who held short tenures during the leave of absence of the regular Auditor General right from 16th November 1860, when Hon. Sir Edmund Drummend held the office for sixteen months, till 14th August 1947, when the last British Auditor General Sir Bertie Monro Staig, who had assumed the office on 11th April 1945, continued as Auditor General after taking oath of allegiance to the Indian Dominion.

The IAAD was organized functionally under a centralized unitary administration under the authority, direction and control of the Auditor General of India. With field offices under the heads of Departments/Offices who performed the functions assigned to them under the scheme of powers and authority delegated by the Auditor General of India. The Office of the Auditor General of India was situated at Simla, and he was assisted by a Deputy Auditor General, who functioned, generally as his Chief of Staff and, except in the case of reports on accounts submitted to the Legislatures, was authorized to deputize for him in any matter and to any extent mutually determined from time to time between them. The Government of India (Audit and Accounts) Order, 1936 was adapted by the Indian Provisional Constitution Order, 1947. Shri V. Narahari Rao, who was Secretary to Government of India, Finance Department, became the first Indian Auditor General of the free Dominion of India on 15th August 1948. He had joined the IAAS on 5th March 1917 and served in various capacities for over thirty years. Mr. W.R. Tennant was the Deputy Auditor of India until 26th November, 1947 and he was succeeded by Shri M.K. Sen Gupta on 27th November 1947. The functions and duties of Comptroller and Auditor General are derived in the main from the provisions of Articles149, 150 and 151 of the Constitution. Parliament has enacted the Comptroller and Auditor General's. (Duties, Powers and Conditions of Services) Act 1971 which prescribes the duties and powers of the Comptroller and Auditor General as well as his conditions of service. This Act came into force from 15th Dec. 1971 and superseded the provisions of the Audit and Accounts Order, 1936 as adopted by the India(Provisional Constitution) Order 1947 which regulated the duties and powers of the Comptroller and Auditor General in relation to the accounts of the Union and of the States till then as envisaged in the Article 149 of the Constitution.

After the departmentalization of Accounts of the Union Government in 1976, with the primary purpose of developing an organizational pattern suited to the changed environment of Audit and to improve maintenance of Accounts of the State Government transactions, the Indian Audit & Accounts Department was restructured in March 1984. It was considered unlikely that a composite Accountant General’s office could develop experts in such a vide garnet of functions involving totally different areas as vide as Works Audit, Receipt Audit, Commercial Audit, Establishment Audit, Accounts Compilation, Entitlement Functions, Autonomous Bodies Audit etc. Thus, the composite offices of the Accountants General were bifurcated into distinct offices with separate cadres for dealing with (a) all audit work and (b) all accounting & entitlement work. Accordingly, the offices of Accountant General (Audit) and the Accountant General (A&E) came into being with effect from 1.3.1984

History of Accountant General Punjab

The Accountant General and the Chief Auditor in Punjab were among the officers of the General Department of Accounts constituted with effect from 1st May 1858 for accounting and auditing the transactions of the then province of North West province, which were later combined in the office of AG, Punjab at Lahore. The work relating to newly formed province of the North-Western Frontier under Chief Commissioner was entrusted to AG, Punjab and the arrangement continued even after the formation of North-Western Frontier Province in 1901. Both under the 1921 reform and the 1936 order the office of AG, Punjab was a well established office known for its efficiency. The accounts of local fund and all public works or quasi-public bodies were audited by the Examiner Local Fund Accounts under the AG. The cadre of the local audit department was separated from that of the AG’s office and Shri P.D. Pande was the Accountant General in 1946.

The office was divided between the Dominions of India and Pakistan under the Indian Independence Act, 1947 and those who were allotted to India formed the office of East Punjab for auditing and accounting the transactions of the residuary Punjab, which moved to Simla, where they were housed in the General headquarters (Western Command) building, Gorton Castle and portion of the buildings of the Railway Board. AG was assisted by a DAG, one Examiner (OAD) and a RAO at Bhakra Dam and Nangal Project. On 26th January 1950, East Punjab became Punjab, a "Part A State", and the office was designated as the office of the AG, Punjab, Simla. Integration of States saw the formation of Patiala and East Punjab States Union (PEPSU), and the C&AG became responsible for auditing and accounting of the transactions of the audit of PEPSU with effect from 13th April 1950. After the creation of the PEPSU the offices of the Auditor-in-Chief and Chief Accounts Officer were merged and designated as Comptroller, PEPSU. Shri T.S.P. Iyer was the Comptroller from 13th April 1953 and continued for three and half years and recorded with satisfaction, while relinquishing charge, that the state of the office was on a par with that of any audit offices in "Part A States". Himachal Pradesh became a "Part C State" and the princely state of Bilaspur was merged under the H.P. and Bilaspur (New State) Act, 1954 and the audit and accounts of the new state of Himachal Pradesh was also entrusted to the AG,Punjab.

Consequent on the enactment of the States Reorganization Act, 1956, the State of the Patiala and East Punjab States Union ceased to exist with effect from the 1st November 1956, and a new State of Punjab was formed from that date comprising the territories of former States of Punjab and of the Patiala and East Punjab States Union. Consequent on formation of separate offices of AG, Himachal Pradesh and Haryana in 1969, the work relating to the States of HP and Haryana along with officers and staff were transferred to the newly created office with effect from 1st April,1969 and the headquarter’s of Accountant General Punjab office was shifted from Simla to Chandigarh.

The composite offices of the Accountants General were bifurcated on 01/03/1984 into distinct offices with separate cadres for dealing with (a) all audit work and (b) all accounting & entitlement work. Accordingly, the offices of Accountant General (Audit) Punjab and the Accountant General (A&E) Punjab came into being with effect from 1.3.1984

Mandate for Accounts maintenance

Sections 10 to 12 and section 23 of the Act ibid deal with the responsibilities of C&AG in relation to Compilation of Accounts of the Union, the States and Union territories with Legislatures Under the provisions, the C&AG compiles the Accounts of the States, keeps such accounts in relation to compiling of the Accounts of the States as may be necessary and prepares Appropriation Accounts & Finance Accounts every year The Appropriation & Finance Accounts are signed by the C&AG of India and presented to the Governor of the State for laying on the table of the State Legislature. For the purpose of Section 23 of the Act, the Government Acccounting Rules, 1990 shall be deemed to the general principles of Government accounting.

Mandate for Audit

Sections 13, 16 and 17 of the C&AG’s (DPCS) Act, 1971 define the duties of the Comptroller & Auditor General in relation to the audit of the accounts and the transactions relating to the Consolidated Fund, Contingency Fund and the Public Accounts of the Union, the States and Union Territories, C&AG is also responsible for the audit of Local Bodies (i.e. Panchayati Raj Institutions and Urban Local Bodies) under the provisions of some of the State Acts and provides technical and administrative guidance for Accounting & Audit functions in all States.

The reports of the C&AG relating to the Accounts of the Union and the States are submitted to the President/Governor of the State for being laid before the Parliament/State Legislature. The C&AG is also responsible for ensuring a uniform policy of accounting & audit in the Government Sector as a whole. The Act authorizes C&AG to lay down for the guidance of the Government Departments, the general principles of Government accounting and the broad principles in regard to audit of Receipt & Expenditure.

The mandate of C&AG inter-alia includes audit of:

What Do We Do:


Monthly accounts of expenditure and receipts of Government of Punjab from:





District Treasuries and Treasuries of the state annually/bi annually.


Material for preparation of Central Finance Accounts to Controller General of Accounts, Government of India, Ministry of Finance.


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