Section 6(1) in Tamil Nadu Panchayats (Issue and Disposal of Audit Report of Village Panchayats) Rules, 2000
(1)The auditor shall scrutinise every item of expenditure and decide whether the executive authority has conducted the financial transactions of the village panchayat in accordance with rules and orders issued by the Government and other competent authorities, from time to time, and also with the approval of the village panchayat. As far as the receipts are concerned, the auditor shall verify, whether the executive authority has properly assessed all the eligible persons or properties under various taxes leviable by the village panchayat. He shall decide items of expenditure which are not admissible and items of loss of revenue, or leakage of revenue which are attributable to the negligence of the executive authority and clearly establish the persons responsible for the loss of income or irregular and inadmissible expenditure.
