Central Excise Audit - No Entries in Bangalore LTU Audit Plan Register
THE CAG in its latest report to Parliament has pointed several lacunae in the excise administration.
As per the Audit Manual, a register of units planned for audit in the prescribed format is to be maintained in order to monitor the different stages of execution of audit, ensure that all units allotted to an Audit Group have been audited and that audit reports have been issued on time.
Bengaluru LTU Commissionerate maintained the Audit Plan register but had no entries in it for the period January 2010 to March 2012. Further, for the period upto December 2009, the register did not contain entries relating to date of submission of Internal Audit Report (IAR) to audit cell, Audit Report Number, date of issue of IAR, actual dates of audit, date of issue of IAR. Consequently, it was not possible to monitor, from these registers, whether the mandatory units had been audited as per the guidelines (every unit to be audited once in two years for LTU) and audit reports issued on time. Further, the register was not updated and entries had been made only for the first quarter of 2013-14.
AG, Audit pointed out this to the Board in July 2014. Board replied that the Audit Plan Register was maintained in computer and the hard copy of the same has been pasted in the prescribed register subsequently.
Why couldn't Audit see the computer?
CAG reported that Audit module of ACES was not being used for audit planning and execution by Commissionerates.
Board replied that though the audit module under ACES has been functioning, there are many lacunae, which make the module practically unworkable. Further, the hard copies of the documents received from the assessees are voluminous which require additional staff for digitisation.
What is the solution? Dump ACES?
Delay in Adjudication: CAG's Audit observed that,
1. In 40 cases, revenue of Rs. 177.74 crore is pending adjudication for more than five years.
2. In Indore Commissionerate, 82 cases involving Rs. 199.78 crore were pending adjudication.
3. In Delhi LTU Commissionerate, 30 cases involving Rs. 179.49 crore were pending adjudication.
Audit concludes that notwithstanding the prescribed timelines, several instances of long delays in adjudication continue in most Commissionerates.