Section 41 in The Nalanda Open University Act, 1995
41. Account and audit of the University Fund.
(1)Subject to the provisions of this Act and the Statutes made thereunder, the annual accounts of the University shall be audited by auditors appointed by the Accountant General Bihar.(2)A copy of the annual accounts of the University together with the auditor's report thereon shall be submitted by the Executive Council, within six months of the receipt of the report, to the State Government and the Chancellor shall cause the same to be published in the official Gazette.(3)(i)Within six months of the receipt of the auditor's report under sub-section (2) the Executive Council shall appoint an ad-hoc Committee consisting of the Examiner of Local Accounts, Bihar, and eight such members of the Executive Council as are not members of the Finance Committee.(ii)The said Committee shall be known as the University Audit Committee and shall have power, for the purpose of examining the auditor's report to call for explanations from the controlling and disbursing officers and it may-(a)suggest ways and means to avoid in future any misuse of the University Fund or irregularity in the accounts of the University;(b)suggest the recovery of any sum on account of any payment contrary to law from a University authority, officer or other employees or from any person making or authorising such payment, or the recovery of the amount of any loss or deficiency from the person responsible therefor or any amount which ought to have been but which is not brought into account from the person failing to account for such amount.(4)The auditor's report together with the report of the University Audit Committee thereon shall be submitted to the Executive Council and the State Government for such action as they think fit.(5)It shall be lawful for the State Government either on the suggestions of the University Audit Committee or on its own motion to require any authority , officer or other employee of the University or any other person who is found to have spent or authorised the expenditure of any amount in excess of the amount provided in the budget or in violation of any provisions of this Act, the Statutes, Ordinances, Regulations or Rules or is found to have failed to account for any amount to reimburse the amount in the manner prescribed in the Statutes :Provided that no order for reimbursement shall be made until the authority, officer, other employee or the person concerned has been given a reasonable opportunity of making representation and the same has been considered by the State Government.
