Q. With reference to the CAG’s newly approved Central Revenue Audit (CRA) and Central Expenditure Audit (CEA) Cadres, which of the following is the intended primary benefit of this reform?

[A] Providing a clear separation of audit functions between the Union and State governments.

[B] Eliminating the need for the CAG’s reports to be examined by the Public Accounts Committee (PAC).

[C] Consolidating dispersed cadre control to develop domain expertise and improve audit quality of Central Government finances.

[D] Ensuring that all staff of the Indian Audit and Accounts Department (IA&AD) are placed under all-India transfer liability.

Answer: C
Notes:

Explanation:

  • The primary motivation behind the CAG’s creation of the Central Revenue Audit (CRA) and Central Expenditure Audit (CEA) cadres is to address the fragmentation and inefficiency caused by the current dispersed cadre control across multiple state civil audit offices. This reform aims to centralize the management of over 4,000 audit professionals into two specialized streams.
  • The ultimate goal is to build deeper domain expertise in auditing Central Government receipts (CRA) and expenditures (CEA), thereby significantly enhancing the overall quality and professional specialisation in government financial audits.

Source: TH

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