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THE ASSAM LOCAL FUNDS (ACCOUNTS & AUDIT) (AMENDMENT) ACT, 1969
THE ASSAM LOCAL FUNDS (ACCOUNTS & AUDIT) (AMENDMENT) ACT, 1969
(Published in the Assam Gazette Extraordinary, dated the 14th May, 1969)
An Act to amend the Assam Local Funds (Accounts and Audit) Act, 1930 (Assam Act II of 1930)
Preamble.
Whereas it is expedient to amend the Assam Act II of 1930. Assam Local Funds (Accounts and Audit) Act, 1930 hereinafter called the Principal Act, in the manner hereinafter appearing;
It is hereby enacted in the Twentieth Year of the Republic of India as follows:-
Short title, extent and commencement
1. (1) This Act may be called the funds Assam Local (Accounts and Audit) (Amendment) Act, 1969.
(2) It shall have the like extent as the Principal Act.
THE ASSAM GAZETTE, EXTRAORDINARY, MAY 14, 1969
(3) It shall come into force at once.
Amendment of Section 4 of Assam Act 11 of 1930.
2. In section 4 of the Principal Act, for sub-section (2), the following shall be substituted, namely:-
“(2) The examiner of Local Accounts may appoint auditors of Local Accounts.”
Insertion of New section 4A in Assam Act-II of 1930.
3. After section 4 of the Principal Act, the following shall be inserted as section 4A, namely:-
“Validation of appointments, and actions taken be certain authorities.
4A. (1) No appointment of any person to be an auditor made at any time between the period from the 30th May, 1963 to the date Of coming into force of the Assam Local Funds ( Accounts and Audit ) (Amendment) Act, 1969 otherwise than in accordance with the provision of Sub-Section (2) of section 4 of this Act by the Examiner of Local Accounts shall be deemed to be illegal or void or ever to have become illegal or void by reason only of the fact that such appointment was not made in accordance with the said provision.
(20 No action taken by any person at any time between the period from the 30th May, 1963 to the date of coming into force of the Assam Local Funds (Accounts and Audit) (Amendment) Act, 1969 appointed as an auditor otherwise than in accordance with the provision of sub-section (2) of section 4 of this Act by the Examiner of Local Accounts shall be deemed to be illegal or invalid by reason only of the fact that such appointment was not made in accordance with the said provision.”
In every such case, the authority granting permission forthwith forward a copy of the application and of the order passed thereon to the chairman or other principal executive officer of the local authority concerned.
Audit report.
8. When an auditor has completed the audit of the accounts any local authority he shall prepare a report on them and shall furnish one copy of the report to the local authority and another copy to the Examiner of local Accounts.
Power of Examiner of Local Accounts to surcharge or charge illegal payment or loss incurred by negligence.
9. (1) The auditor shall include in his report (hereinafter called the audit report) a statement of____
(a) every payment which appears to him to be contrary to law.
(b) the amount of, or the equivalent in money of, any deficiency or loss which appears to have been incurred by the negligence or misconduct of any person accounting;
(c) the amount of any sum or the equivalent in money of any article which ought to have been, but is not, brought into account by any such person; and
(d) the name of the person making or authorizing the illegal payment or accountable for the deficiency, loss, or omission, as the case may be.
After considering such report the Examiner of Local Accounts may -
(a) order that any payment referred to in clause (a) of subsection (1) shall be allowed or that no further action shall be taken as regards any amount referred to in clause (b) or (c) of the said sub-section; or
(b) serve a notice on the person named in the report or any other person whom the Examiner of Local Accounts considers to have made or authorized the illegal payment or to be accountable for the deficiency, loss or omission, requiring him to show cause within one month shy the payment or amount referred to in the report or any similar payment or amount omitted therefrom should not be surcharged on or charged against him.
(3) After considering the cause (if any) shown by the person notified, the Examiner of Local Accounts may surcharge any such payment on, or charge any such amount against him and shall in every such case certify the amount due from such person.
Publication of the certificate and the audit report.
(4) The certificate shall be according to the forms set forth in the schedule hereto annexed or to the like effect and a copy thereof together with a copy of the audit report shall be published in the prescribed manner.
Application of sections 8 and 9 to audit conducted by the Examiner of Local Accounts.
10. All the provisions of sections 8 and 9 shall apply mutates mutandis when the Examiner of Local Accounts himself conducts any audit under this Act.
Credit of certified sums to Local fund.
11. Except as hereinafter provided, every sum certified under section 9 as due from any person shall be forthwith paid by him to the local authority concerned and shall thereupon be credited to its local fund.
Appeal against surcharge or charge made under section 9.
12. (1)(a)Any person aggrieved by any surcharge or charge made under section 9 whether by reason of its being excessive or insufficient, or on any other ground whatsoever, and
(b) any person aggrieved by the omission to made a surcharge or charge under section 9, may, within thirty days of the date of publication of the certificate thereof in case (a0 and of the audit report in case (b), appeal to the Commissioner of the Division concerned who may thereupon take further evidence or direct further evidence to be taken and pass such order, including an order as to costs, as he may think fit, and these orders, subject to the provisions of sub-section (2), shall be final.
(2) In any case in which the amount of the surcharge or charge ordered by the Commissioner in appeal exceeds three hundred rupees or in which a question of law is involved, any person aggrieved, may, within thirty days of the Commissioner’s order, appeal to the Provincial* Government, which may thereupon pass such order, including an order as to costs, as it may think fit and these orders shall be final.
Surcharge of charge to be recoverable as an arrear of land revenue.
13. (1) The sum stated in the certificate of the Examiner of Local Accounts, in all cases in which no appeal has been preferred under section 12, and the sum stated in the order of the appellate authority, in all cases in which an appeal has been preferred, may, on his application of the local authority concerned, within three years of the date of the certificate of order as the case may be, be recovered by the Deputy commissioner as if it were an arrear of land revenue.
(2) All expenses connected with any application under sub-section.
(1) shall be a charge on the local fund and all sums recovered
(2) thereunder shall be credited to the same fund.
Charges in respect of audit to be pay able out of local fund.
14. All expenses incurred by a local authority in complying with any requisition under section 5 shall be payable out of its local fund.
Power to make rules.
15. (1) The Provincial [In place of the word “Local”] Government may after previous publication, make rules the purpose of carrying out the provision of This Act.
(2) In particular and without prejudice to the generality of the foregoing powers, such rules may regulate -
(i) the manner in which a local authority shall keep accounts in cases in which no such provision or, in the opinion is of the Provincial* Government, insufficient provision made by the enactment under which such authority is constituted;
(ii) the powers and duties of an Examiner of Local Accounts and of auditors and the procedure to be followed by them in conducting an audit under this Act and the times and places at which the audit may be conducted; and
(iii) the manner in which certificates under section 9 are to be served on the persons concerned.
