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The Delhi High Court’s verdict on Monday that the Comptroller and Auditor General of India (CAG) can audit the accounts of private telecom operators has added to the clamour for expanding the scope of the Government auditor.
Among those who have sought a wider scope for CAG are the Aam Aadmi Party, Left parties and the former CAG Vinod Rai.
However, there are indications from the UPA Government that it is likely to take a serious view on the verdict and opt for maintaining the status quo on the CAG’s scope. This is because the ruling Congress has taken a view in favour of the telecom service providers.
The Congress feels that the present laws, as passed by Parliament, do not allow the Government auditor to audit the accounts of a private organisation. The party also thinks that the verdict will have a long-standing impact on utilisation of natural resources, such as spectrum.
P.C. Chako, Congress spokesperson and chairman of the Joint Parliamentary Committee on spectrum allocations, said private companies already had a proper accounting system.
“I am sure the aggrieved parties will approach the higher court. As of now, we do not know how the Government auditor can audit the accounts of a private individual or company. There are independent auditors for private companies,” he said.
A report prepared by the JPC on spectrum allocations was critical of the CAG’s audit of the allotment of 2G spectrum licences.
“In a democratic framework, every organ of the Government is expected to exercise maximum caution and restraint not to trespass the boundaries already drawn. The Committee would, therefore, like to uphold the prerogative of the Government in a Welfare State to formulate policies which should under no circumstance be subjected to audit or calculation of loss,” the panel had said.
Left, AAP vindicated
The Left parties and the AAP have been demanding that the scope of the CAG be expanded so that all public-private partnership projects can be properly audited. Former CAG, Vinod Rai, has also been a votary of this demand.
“We feel vindicated,” CPI(M) leader and MP K.N. Balagopal said.
“It is not just spectrum, but wherever public resources such as Government land, mines, national highways, ports and airports are handled by private companies, CAG should have the right to audit.
“Both the Congress and the Bharatiya Janata Party have been turning a blind eye towards this demand when they were in power,” he added.
“We welcome the judgement. It should apply with greater thought,” AAP leader Prashant Bhushan said.
jigeesh.am@thehindu.co.in
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