Keeping Vigil Even During Unusual Times

Context: With corruption likely in pandemic management, the Comptroller and Auditor General’s (CAG’s) audit can ensure checks and balances in the health sector. 

Role of CAG in ensuring accountability in Health Services amidst Pandemic

• Checking the opportunity of corruption in Disaster Management: If all the major purchases by government entities at all levels are audited by the CAG, there can be a substantial improvement in disaster management.
• Recently, the Public Accounts Committee has instructed the CAG to audit into purchases of COVID-19 equipment.
• The CAG will look into the credibility of political allegation related to siphoning off funds to purchase the inferior quality of personal protective equipment kits, sanitizers, and ventilators.
• Constitutional and Statutory Mandate: The CAG has the mandate and the responsibility of ensuring public accountability, transparency, effective service delivery and good governance. 
• Priority audit theme: People’s health and big-ticket public expenditure.
• The statutory responsibility of CAG as an independent, objective and non-partisan constitutional authority includes: 
• Appraising disaster preparedness.
• Ensuring that disaster management, mitigation operations and procedures are complied with, and proper internal controls are in place.

• Created a new health vertical: CAG created a new division, i.e. health, welfare and rural development,  restructuring the o?ce of the Director-General of Audit, Central Expenditure.

• Undertaking a Performance Audit: The CAG should undertake performance audits of COVID19 related procurements, the Central Government Health Scheme (CGHS) and Employee State Insurance (ESI) hospitals. 

• CGHS provides healthcare facilities to about 34.19 lakh bene?ciaries, and almost half of its total expenditure is done on drugs. 
• A beneficiary survey as a part of the audit process will bring out the efficacy of service delivery and the availability of drugs.
• A performance audit is driven by the economy, efficiency and effectiveness, which will focus on expense tracking and achievement of outputs and outcome, in qualitative and quantitative terms. 

• Benefits of Inspection: Pulling out red flags in the disaster management preparedness and relief inspection done by the CAG provides the following benefits:

• Ensures Transparency and Accountability by checking the authenticity, accuracy, and reliability of transactions and provide assurances to the people’s representatives and taxpayers.

• Identification and Minimization of the disaster management process and procedures.

• Ensures that the benefits have gone to the targeted beneficiaries.