OFFICE OF CHIEF CONTROLLER OF ACCOUNTS

MINISTRY OF SURFACE TRANSPORT

GOVERNMENT OF INDIA

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Scope of Internal Audit

Internal Audit shall check initial accounts and Payment vouchers with a view to ascertaining, as to how far they are following the rules and regulations, systems and procedures and orders issued by MOST regarding accounting and financial matters. Internal Audit should inter alia cover checking of accounts records, payment vouchers, contracts, Agreements between Divisions and contractors, records pertaining to toll collection, Advances made to Contractors and their adjustments, records of physical verification of stores, equipment, machinery, tools and Plants.

The primary function of internal audit is to verify the accuracy and completeness of accounts. As such it is very important for internal audit parties to ensure that all prescribed audit checks, however routine they may be, are regularly applied ; sometimes more serious irregularities/defalcations are discovered even during routine checks, than otherwise, if they are properly applied.

The duties of the internal audit parties will inter alia include the following :

1. Study of accounting procedures prescribed for the Public Works with a view to ensuring that they are unambiguous, adequate and free from any defects or lacunae.
2. Watch over the Implementation of prescribed procedures and the orders issued from time to time.
3. Scrutiny of following subjects and records maintained in the Division has to be done by the Internal Audit Party of RPAO.

1. Checking of tenders,
2. Works abandoned midway,
3. Register of Sale of tender forms,
4. Transfer entries,
5. Register of transfer entries.
6. Interest bearing securities,
7. Schedule of Rates,
8. Payment vouchers,
9. Contractor ledger,
10. Contract and Contractor’s Bills,
11. Register of Contractor Bill,
12. Measurement Books,
13. Final Bills of Contractor,
14. Material at Site Account,
15. Plant and Depot Register (Transport of material),
16. Deposit Register,
17. Work order Register,
18. Review of Arbitration cases.

1. Inspection Party has also to examine records relating to works, Muster rolls, work charged estt. bills.

Further the Inspection party has to do checking of unvouched charges, vouched vouchers, charges relating to stock, transfer entries involving rectification of errors.

2. Periodical review of all accounts records.
3. Pursuance/settlement of objections taken in test audit notes issued by statutory audit officers and other matters relating to statutory audit.
4. To examine and report on points or irregularities has brought to its notice by Hd.Qrs. (National Highways).