Estimates committee and Committee on Public Accounts
- 1. Estimates Committee and Committee on Public Accounts By Y Kumar, ex IAS
- 2. Committee on Estimates The Committee on Estimates is constituted under Rule 310 of the Rules of Procedure and Conduct of Business in Lok Sabha Committee on Estimates consists of 30 membersall from Lok Sabha Elected by Lok Sabha every year from amongst its members according to the principle of proportional representation by means of single transferable vote. each Party/Group is represented on the Committee in proportion to its strength in Lok Sabha
- 3. Composition The Chairperson of the Committee is appointed by the Speaker from amongst the members elected to the Committee Minister not to be Member of Committee A member ceases to be a member of the Committee from the date of appointment as Minister. The term of office of the members of the Committee does not exceed one year
- 4. Functions Examination of such of the estimates as may seem fit to the Committee or are specifically referred to it by the House or the Speaker. to report what economies, improvements in organisation, efficiency or administrative reform, consistent with the policy underlying the estimates, may be effected; to suggest alternative policies in order to bring about efficiency and economy in administration; to examine whether the money is well laid out within the limits of the policy implied in the estimates; to suggest the form in which the estimates shall be presented to Parliament.
- 5. Continuous process The examination by the Committee of the estimates for the Ministries/Departments of Government is a continuing exercise throughout the financial year Committee reports to the House as its examination proceeds. It is not incumbent on the Committee to examine the entire estimates in any one year. The Demands for Grants may be finally voted even though the Committee has made no report.
- 6. Policy The term policy referred to in Rule 310 relates only to policies laid down by Parliament either by means of statutes or by specific resolutions passed by it from time to time. It is also open to the Committee to examine any matter which may have been settled as a matter of policy by the Government in the discharge of its executive functions. The Committee does not go against the policy approved by Parliament; but where it is established on evidence that a particular policy is not leading to the expected or desired results or is leading to waste, it is the duty of the Committee to bring to the notice of the House that a change in policy is called for.
- 7. Selection of Subjects for Examination Committee selects subjects concerning the estimates or any part of the estimates of a Ministry/Department of Central Government Outside the purview-Such statutory and Government organisations which fall within the purview of the Committee on Public Undertakings Ad hoc subjects of public importance may also be referred to Committee for examination from time to time by the House or the Speaker
- 8. Calling for Information May call for Information from Government Committee may also call for memoranda on the subjects under examination from non- official organisations/individuals The Committee later takes oral evidence of the representatives of the Ministries/Departments/ Organisations Ministers not called before Committee
- 9. Action Taken Reports After presentation to the Lok Sabha, the report is forwarded to the Ministry or Department concerned which is required to take action Action taken notes received from the Ministries/ Departments are examined by the Committee/Study Group/sub-Committee Action Taken Reports of the Committee are presented to the House.
- 10. COMMITTEE ON PUBLIC ACCOUNTS
- 11. COMMITTEE ON PUBLIC ACCOUNTS Fifteen members elected by Lok Sabha Seven members of Rajya Sabha elected Elected according to the principle of proportional representation by means of single transferable vote. The Chairperson of the Committee is appointed by the Speaker from amongst the members of Lok Sabha As a convention, ( 1967-68) a member of main opposition party/group is appointed as the Chairperson Minister not to be Member of Committee The term of office of members of the Committee does not exceed one year at a time.
- 12. What is Annual Appropriation Accounts? Controller General of Accounts (CGA) The Office of CGA prepares monthly and annual analysis of expenditure, revenues, borrowings various fiscal indicators for the Union Government. Under Article 150 of the Constitution, the Annual Appropriation Accounts (Civil) and Union Finance Accounts are submitted to Parliament on the advice of Comptroller and Auditor General of India.
- 13. Functions of the Committee The Public Accounts Committee examines the accounts showing the appropriation of the sums granted by Parliament to meet the expenditure of the Government of India, the Annual Finance Accounts of the Government of India and such other accounts laid before the House Reports of the Comptroller and Auditor General of India on Appropriation Accounts of the Union Government Various Audit Reports of the Comptroller and Auditor General on revenue receipts, expenditure by various Ministries/ Departments of Government and accounts of autonomous bodies. The Committee does not examine the accounts relating to such public undertakings which are allotted to the Committee on public undertakings.
- 14. Duty of the Committee The duty of the Committee to satisfy itself That the money shown in the accounts as having been disbursed were legally available for and applicable to the service or purpose to which they have been applied or charged; that the expenditure conforms to the authority which governs it; every re-appropriation has been made in accordance with the provisions made in this behalf under rules framed by competent authority
- 15. Money is spent-within the scope of the demand An important function of the Committee is to ascertain that money granted by Parliament has been spent by Government within the scope of the demand. The Committee thus examines cases involving losses, nugatory expenditure and financial irregularities
- 16. Revenue Receipts While scrutinising the Reports of Comptroller and Auditor General on Revenue Receipts examines various aspects of Governments tax administration. examines cases involving under-assessments, tax- evasion, non-levy of duties, mis-classifications etc., identifies loopholes in the taxation laws and procedures and makes recommendations in order to check leakage of revenue
- 17. Regularisation of Excess Expenditure 115(b) if any money has been spent on any service during a financial year in excess of the amount granted for that service and for that year, cause to be laid before both the Houses of Parliament another statement showing the estimated amount of that expenditure or cause to be presented to the House of the People a demand for such excess, as the case may be. Role of PAC If any money has been spent on any service during a financial year in excess of the amount granted by the House for that purpose the Committee shall examine with reference to the facts of each case the circumstances leading to such an excess and make such recommendation as it may deem fit. Such excesses are thereafter required to be brought up before the House by Government for regularization in the manner envisaged in Article 115 of the Constitution
- 18. 115. Supplementary(insufficient), additional(new service) or excess grants(money has been spent on any service during a financial year in excess ). (1) The President shall (a) (b) if any money has been spent on any service during a financial year in excess of the amount granted for that service and for that year, cause to be laid before both the Houses of Parliament another statement showing the estimated amount of that expenditure or cause to be presented to the House of the People a demand for such excess, as the case may be. Role of PAC If any money has been spent on any service during a financial year in excess of the amount granted by the House for that purpose the Committee shall examine with reference to the facts of each case the circumstances leading to such an excess and make such recommendation as it may deem fit. Such excesses are thereafter required to be brought up before the House by Government for regularization in the manner envisaged in Article 115 of the Constitution .
- 19. Subjects for Examination Selects paragraphs and/or Reports of the Comptroller and Auditor General for in-depth examination Examining Audit reports and Appropriation Accounts laid on the Table of the House Committee of its own accord may inquire into various irregularities which have become public or which have been brought to the notice of the Government, even though there was no Audit Report on the subject or the Audit Report thereon may be presented later
- 20. Other aspects Assistance by Comptroller and Auditor General in the examination of Accounts and Audit Reports A number of Working Groups/Sub-Committees are constituted by the Chairperson Calling for Information from Government The Committee undertakes on the spot study tours/visits of various Departments/Establishments The Committee later takes oral evidence of the representatives of the Ministries/Departments Ministers not called before Committee Action Taken on Reports - After presentation to the Lok Sabha, copies of the Report are forwarded to the Ministry or Department Statements of action taken on Action Taken Reports -. Replies received from Government in respect of recommendations are also laid on the Table of Lok Sabha/Rajya Sabha in the form of Statements
- 21. Thanks