CAG plans shift to live audits to curb public funds misuse

The overhaul is designed to flag tendering lapses, execution delays and potential losses early

- Dhirendra Kumar [e-mail]

The shift aims to enable course correction while money is still being spent, rather than years later when the damage is done.

(MINT)

India’s national auditor is preparing for a major shift in how public spending is examined—moving from delayed, retrospective scrutiny to real-time audits that track ministries and public sector undertaking (PSUs) while projects are still being executed, according to two people aware of the development. The plan is set to be rolled out soon, they said.

The overhaul, led by the Comptroller and Auditor General (CAG), is designed to flag tendering lapses, execution delays and potential losses early, allowing course correction while money is still being spent, rather than years later when the damage is done.

Audit findings are currently published long after the completion of schemes or major financial decisions. Several high-profile audits, including those on the 2G spectrum allocation and coal block auctions, were released well after the projects had concluded, limiting the scope for corrective action.