Section 8 in Tamil Nadu Panchayats (Issue and Disposal of Audit Report of Village Panchayats) Rules, 2000
8. Action on audit objections.
(1)The executive authority shall take prompt and effective action to set right the objections raised in the audit report. He shall prepare suitable replies to the objections and place the report along with his replies before the village panchayat and Grama Sabha for their approval. He shall submit three copies of the replies with a copy of resolution to the Assistant Director of Rural Development (Audit), through the auditor within two months of the date of receipt of the audit report. The auditor shall submit two copies of the replies of the executive authority after verifying the correctness of the replies, with his remarks to the Assistant Director of Rural Development (Audit) within thirty days from the date of receipt of the replies.(2)The Assistant Director of Rural Development (Audit) shall scrutinise the replies to the audit objections, keeping in view the remarks of the auditor, and pass suitable orders accepting or rejecting the replies to objections raised. He shall also send a copy of such orders to the auditor.(3)Thereupon, it is the responsibility of the Assistant Director of Rural Development (Audit), to pursue further action on the pending audit objections, if any, and initiate surcharge proceedings against the executive authority and any other person responsible in respect of audit objections for which the executive authority has not submitted acceptable replies. Initiating such proceeding shall not be delayed beyond three months from the issue of final order on the replies.(4)After the issue of an audit report on the accounts of a village panchayat, the audit of the accounts of that village panchayat shall not be re-opened, save with special orders of the Inspector.
