Section 140 in The Maharashtra Village Panchayats Act, 1959
140. Audit of account of Panchayats.
(1)The audit of the accounts of a Panchayat shall be carried out [by such authority and] [These words were substituted for the words 'by the State Government' by Maharashtra 13 of 1975, Section 23(a)(i).] in such manner as may be prescribed and a copy of the audit note [shall be forwarded to [Chief Executive Officer] [These words were substituted for the words 'to the Panchayat and the Zilla Parishad and Panchayat Samiti' by Maharashtra 36 of 1965, Section 59(1).], the Panchayat Samiti and the Panchayat] within [two months] [These words were substituted for the words 'one month' by Maharashtra 34 of 1970, Section 23] of the completion of the audit.(2)On receipt of the audit note referred to in sub-section (1), the Panchayat shall either remedy any defects or irregularities which may have been pointed out in the audit note and send to the [Panchayat Samiti] [These words were substituted for the words 'Panchayat Mandal' by Maharashtra 5 of 1962, Section 286 Tenth Schedule.] within three months and intimation of its having done so or shall, within the said period, supply to the [Panchayat Samiti] [These words were substituted for the words 'Panchayat Mandal' by Maharashtra 5 of 1962, Section 286 Tenth Schedule.] any further explanation in regard to such defects or irregularities as it may wish to give.(3)On receipt of such intimation or explanation, the [Panchayat Samiti] [These words were substituted for the words 'Panchayat Mandal' by Maharashtra 5 of 1962, Section 286 Tenth Schedule.] may in respect of all or any of the matters discussed in the audit note,-(a)accept the intimation or explanation given by the Panchayat and recommend the [Chief Executive Officer] [These words were substituted for the word 'Collector' by Maharashtra 13 of 1975, Section 23(b).] to [drop] [This word was substituted for the word 'withdraw' by Maharashtra 36 of 1965, Section 59(2)(a).] the objection.(b)[suggest] [This word was substituted for the word 'direct' by Maharashtra 36 of 1965, Section 59(2)(b).] that the matter be reinvestigated at the next audit or at any earlier date, or(c)hold that the defects or irregularities pointed out in the audit note or any of them, have not been removed or remedied.(4)The [Panchayat Samiti] [These words were substituted for the words 'Panchayal Mandal' by Maharashtra 5 of 1962, Section 286 Tenth Schedule.] shall send a report of its decision to the [Chief Executive Officer] [These words were substituted for the word 'Collector' by Maharashtra 13 of 1975, Section 23(b).] within one month of the date of receipt by it of the intimation or explanation referred to in sub-section (2), or in the event of the Panchayat failing to give such intimation or explanation on the expiry of the period of three months referred to in the said sub-section (2), or in the event of the Panchayat failing to give such intimation or explanation on the expiry of the period of three months referred to in the said sub-section (2), [and shall forward a copy of such report to the auditor and the Panchayat] [These words were substituted for the words 'and shall forward a copy of such report to the Panchayat' by Maharashtra 36 of 1965, Section 59(3)(a).]. If the [Panchayat Samiti] [These words were substituted for the words 'Panchayal Mandal' by Maharashtra 5 of 1962, Section 286 Tenth Schedule.] holds that any defects or irregularities have not been removed or remedied, the [Panchayat Samiti] [These words were substituted for the words 'Panchayal Mandal' by Maharashtra 5 of 1962, Section 286 Tenth Schedule.] shall state in the report whether in its opinion the defects or irregularities can be regularised and if so, by what method and if they do not admit of being regularised, whether they can be condoned and if so, by what authority. The [Panchayat Samiti] [These words were substituted for the words 'Panchayal Mandal' by Maharashtra 5 of 1962, Section 286 Tenth Schedule.] shall also state whether the amounts to which the defects or irregularities relate should in its opinion be [surcharged or charged] [These words were substituted for the word 'surcharged' by Maharashtra 36 of 1965, Section 59(3)(b)] as hereafter provided.(5)[ The Chief Executive Officer may, after considering the report of the Panchayat Samiti and after making such further inquiry as he considers necessary, disallow any item which appears to him contrary to law and surcharge the same on the person making or authorizing the making of the illegal payment and may charge against any person responsible therefore the amount of any deficiency or loss caused by the gross negligence or misconduct of that person, or any sum received which ought to have been, but is not, brought into account by that person; and may after taking explanation of such persons, direct by order in writing that such person shall pay to the Panchayat the amount surcharge or charged and where the Chief Executive Officer considers it necessary, also an interest on the amount so surcharged at such rate as may be determined by him. If the amount or interest directed to be paid by the Chief Executive Officer under his order is not paid by the person aforesaid within one month from the date of receipt of such order by him, the Chief Executive Officer shall request the Collector to recover it as an arrears of land revenue and credit it to the village fund, and thereupon the Collector shall be bound to do so.] [Sub-Section (5) was substituted by Maharashtra 13 of 1975, Section 23(c).](6)Any person aggrieved by any order of [surcharge or charge or interest thereon] [These words were substituted for the words 'surcharge or charge' by Maharashtra 13 of 1975, Section 23(d).] made by the [Chief Executive Officer] [These words were substituted for the word 'Collector' by Maharashtra 13 of 1975, Section 23(b).] under this section, may, within one month from the receipt by him of the decision of [Chief Executive Officer] [These words were substituted for the word 'Collector' by Maharashtra 13 of 1975, Section 23(b).], apply to the District Court to modify or set aside such order, and that court after taking such evidence as it thinks necessary, may confirm, modify or remit such [surcharge or charge or interest thereon] [These words were substituted for the words 'surcharge or charge' by Maharashtra 13 of 1975, Section 23(d).] and make such order as to costs as it thinks proper in the circumstances.(7)[* * *] [Sub-section (7) was deleted by Maharashtra 5 of 1962, Section 286, Tenth Schedule.]
