CAG audit finds non-compliance with accounting standards in CPSE financial reports

It also reviewed specific areas such as Research and Development expenditure, Corporate Social Responsibility (CSR) activities, disinvestment processes, and sustainability status.

Who it concerns: Central Public Sector Enterprises (CPSEs), including Government companies, Government controlled other companies, and Statutory Corporations under the Union Government.

What the auditor found

• The report covers the financial performance, investment, and returns of CPSEs.
• It details CAG's oversight role, including the appointment of statutory auditors and the submission of financial statements.
• The audit identifies non-compliance with Accounting Standards/Ind AS by CPSEs.
• It reviews corporate governance aspects such as Board of Directors meetings, Audit Committees, and Vigil Mechanisms for listed and unlisted CPSEs.
• The report analyzes expenditure on Research and Development (R&D) by CPSEs.
• It examines Corporate Social Responsibility (CSR) planning, financial components, project implementation, and reporting inconsistencies.
• The audit includes an analysis of Memoranda of Understanding (MoU) between Administrative Ministries and Navratna CPSEs.
• It reviews the disinvestment process, including targets, achievements, and mode-wise realization.
• The report assesses the sustainability status of CPSEs.

Also in the document

• The provided text is a table of contents and preface; it does not contain specific rupee figures for irregularities, wasteful spending, or unspent amounts.
• The text does not list specific companies named for irregularities, only categories of findings (e.g., 'non-compliance with Accounting Standards', 'inconsistencies in Reporting of CSR expenditure').
• The report notes that CAG issues Management Letters and comments on financial statements, but specific instances or amounts are not detailed in the provided excerpt.