Kerala HC questions state govt on plea by opposition on audit of local self-govt institutions

Kochi (Kerala) [India], November 13 : The Kerala High Court has sought an explanation from the state government on a plea of opposition leader Ramesh Chennithala which seeks to quash the state audit department's order to stop audit of accounts of Local Self Government Institutions for the 2019-20 financial year.
Chief Justice S Manikumar and Justice Shaji P Chaly considered the plea today. The bench posted the matter for further hearing on Tuesday.
Chennithala has contended that the state audit department has exceeded its authority and power.
In his plea, he stated that "the order was in contravention of statutory mandates. Audit of accounts of public funds is intended to safeguard itself from fraud, extravagance, and more importantly, to bring credibility to the functioning of the audited institutions. An audit is an indispensable tool for sound and effective functioning of Local Self Government Institutions (LSGIs) and to ascertain that the benefits of public funds being used reach the lowest strata of society and every individual."
The opposition leader also said that in order to prevent misutilisation and non-utilisation of funds of the LSGIs, and also against waste, improper or illegal use, embezzlement of public funds, defalcation or loss in money and also against any non-recovery of money due to LSGIs, annual auditing is an imperative necessity and failure to do so would cause great loss to LSGIs.
"If the audit of accounts of LSGIs is postponed or abandoned, the public interest would be vitiated," he added.