Jaipur Development Authority (JDA) has taken an important step aimed at ensuring transparency and accountability in the financial transactions of development authorities, municipal corporations and municipal councils in the state. JDA has recommended to the state government that the expenditure of development authorities and local bodies working in other districts of the state should be audited by the Chief Accountant General of India (CAG). In this matter, the CAG office has also recently sent a letter to the state government making it clear that being audited by CAG for all those local bodies or authorities that take grants or loans from the central or state government comes under the prescribed provisions. In this sense, various urban bodies operating in Rajasthan come under its purview and it is the responsibility of the government to ensure financial transparency about it. Why was CAG audit necessary? In Rajasthan, a large amount of government money is spent on urban expansion, construction of infrastructure, roads, parks, housing schemes and urban development projects. Many times complaints come to light about such projects like irregular expenditure, lack of work quality and payment exceeding the approved budget. Internal audit systems of local bodies often appear to be weak and unable to objectively investigate major financial issues. In such a situation, getting the financial audit by an autonomous supreme audit body like CAG is seen as an attempt to further strengthen transparency. Why is JDA’s step important? JDA is already engaged in major urban development projects. Given the investment in infrastructure and urban planning in the capital, the audit process here is more systematic and standards-based. A lack of uniformity and financial discipline was observed in the operations of many authorities and municipal bodies in other districts. In such a situation, JDA has given suggestions to the state government that – there is a need to improve the financial management of urban bodies, the money of government schemes should be spent in the right direction, irregularities can be curbed in time, accountability should be established and public interest should be strengthened. Role and Responsibilities of Local Bodies To strengthen urban democracy in the country, important powers have been given to local bodies. They provide primary services like city planning, sanitation, road construction, water supply, street lights, urban development. For these works they are provided budget from the state and central government. Therefore – “It is important to fix the responsibility of the body that receives money from the public and the government.” Share this story Tags