New Delhi: In a significant move that could have large scale ramifications for the working of the Public Private Partnership model in the country the Comptroller and Auditor General would be writing to the new government after the Lok Sabha elections that all private companies sharing revenue or profit with the government should be audited by the public auditor.
The CAG’s thinking, sources said, is largely influenced by a Supreme Court order last week where it allowed the CAG to scrutinise the books of private telecom operators that share revenue with the government on spectrum use.
The auditing watchdog is of the view that if this exercise can indeed be carried out in case of one sector, like telecom, it should be extended to other sectors also particularly in key areas like power, oil and gas where natural resources are also involved.
CAG sources said that though in view of the Supreme Court order the CAG can proceed on its own but it would want to have the new government on board on such crucial decisions and wants a better co-ordination between the CAG and the government.
“If there is a greater understanding on such key issues between the public auditor and the government then things become much easier. Further the basic intent of both the CAG and the government is to check misuse of natural resources or others in a PPP model. So its better if we join hands and work in harmony,’’ a senior official of the auditing watchdog said.
Incidentally, the CAG is also involved in auditing private power distributions companies in Delhi.
The audit was initiated following a request from the former Delhi Chief Minister Arvind Kejriwal who was keen on a detailed audit of private power companies in the National Capital.
