I am directed to refer Office of the Controller General of Accounts, Department of Expenditure’s O.M. No.1/20/2014-MC/288 dated 29th September, 2015 on the above cited subject.
2. The Committee recommended that action to be initiated against the officers responsible for serious lapses in furnishing remedial/corrective ATNs on Audit paras. The Committee, further reiterated its earlier recommendation, and desired that a system of fixing responsibility for serious lapses be put in place.
3. Ministry has noticed generally the lapse on the part of departmental officers on issues such as non-detection of lapse during scrutiny of returns, no scrutiny of returns, non-detection of lapse during internal audit or non conducting of audit.
4. With regard to non-detection of lapse during the internal audit, Ministry had issued instructions vide letter No.232/3D/CE/2015-CX.7 dated 7th December, 2015. It is once again reiterated that officers involved in the audit of the units should be clearly directed to follow the instructions scrupulously given in the Audit Manual 2015. This Audit Manual has already be circulated by the Directorate General of Audit to all field formations.
5. The Range officers involved in scrutiny of returns should follow the instructions thoroughly issued by the Ministry and DG (System) with regard to Preliminary Scrutiny of the Returns both in Central Excise as well as in Service Tax. With regard to detailed scrutiny of returns, Board has already issued instructions vide Circular No. 1004/11/2015-CX dated 21.07.2015 for Central Excise and Circular No.185/4/2015-Service Tax dated 30th June, 2015 for Service Tax. These instructions should be followed scrupulously.
6. The Jurisdictional Commissioner should examine the audit objection at the time of submitting the comments/Action Taken Note to the Ministry carefully in light of lapse on the part of the officers noticed by the C&AG Audit. In case of serious lapse of not following the instructions given supra or any other serious lapse noticed by the Commissioner, the Commissioner should initiate action for fixing responsibility and initiate action against the officers under CCS (CCA) conduct rules.
All field formations may please be suitably sensitised in this regard.