When audit means an inspection, correction and verification of business accounts conducted by an independent qualified accountant, the account implies verbal or written report. Be it a Government or private business transaction, audit of accounts is a must for transparency of financial deals. But in practical field this is not at all happening.
The writer served six years in the Odisha Forest Development Corporation (OFDC) and has much experience on how a corporation’s accounts of business are run. The audit of account is done every year at the end of each financial year with respect to budgetary provisions of a particular financial year. A financial year generally starts from April 1 to March 31. There is an internal auditing section in each State corporation including the OFDC.
The job of the internal auditing branch of each corporation is to look and scrutinise the financial discipline maintained and observed by each drawing and disbursing officer. While dealing with financial matters of a corporation, there is a written code of conducts. This code of conduct is revised from time to time looking at the financial trend of the market and changing financial environment. But it is most regrettable fact that such code of conduct is in most cases are not revised and the daily financial business and transactions of the corporations are carried out by several circulars, guidelines and conventions. A bunch of such of circulars is termed as book circular.
The book circular is more effective than the financial rules. Every big corporate body is a mini secretariat, where the employees from different trades are assembled together for better and transparent work with progressive ideas, but the practices going on at present is quite reverse to the ideology on which such bodies were established.
There is also another audit of accounts of business transactions carried out in respect of each corporation of the State through its Accountant General (AG). Over and above, there is a body of financial experts, who prepares the loss and profit accounts of each financial year and reports the Government regarding the efficiency of the corporations. In spite of all these facilities for audit, there is dearth of transparency in the financial transactions of the Government agencies. The writer had had bitter experiences of the financial transactions of the OFDC.
The writer remembers when Paradip Port was under installed during 1962 with an expressway from Paradip to Daitari, the then act of Odisha raised various objections. But the second Kharavel of Odisha, the then Chief Minister Biju Patnaik was unfazed. Reacting over an AG report, Patnaik had described him as a house wife of the Government. He said she (AG) was supposed to keep accounts of expenditure of her husband and not to do anything beyond that. The then AG was much offended over the remark and preferred to get transferred from the State.
Because of bold action of late Patnaik, both the Paradip Port and State expressway could be possible. His son the present Chief Minister should learn from this. All the forest based corporations are running on loss. The Kendu leaf wing of the OFDC is providing oxygen to the latter to survive lest it would have perished long back.
The CAG should appoint a supper auditing party for scrutiny of present auditing practices of the State. The intelligence branch of the Government should give its attention for honesty and
fair play.
The audit report filed against former DGP Prakash Chandra Mishra, when he was CMD of Odisha Police Housing and Welfare Corporation limited (OPHWC) from 2006 to 2009 is laced with malice. The auditing of annual expenditure and income of any corporation or any Government business transaction is a continuous process which is done at the end of every financial year. This creates a very big question why only the auditing for 2006-2009 was done when Mishra was OPHWC’s CMD but not for a period before or after it.
It is alleged that Mishra advanced crores of rupees to different reputed firms of the State and nation for supply building materials like cement and iron rod for construction of buildings of the police department. After transfer of Mishra as CMD of OPHWC, his successor should have taken note of the irregularities. But why did he prefer to evade
the issueIJ
The police officer who has wide reputation for honesty and efficiency is waiting to be posted as the CBI head. It is a rare case for an Odia to get the post and an honour for the State. But before it is to take place, he has been targeted with malicious intent. His legs are being pulled by leveling several allegations of corruption and misuse of office against him.
(The writer is a former senior forest officer and an environmentalist. Tel no 9937460649)