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Which of the following statements regarding the independence of the CAG is/are correct?
i. The CAG’s salary and service conditions are determined by the President after consultation with the CAG.
ii. The CAG is not eligible for further office under the Government of India or any state after ceasing to hold office.
iii. The administrative expenses of the CAG’s office are charged upon the Consolidated Fund of India.
iv. The CAG holds office at the pleasure of the President.

Ai, ii, and iii

Bii and iii only

Ci and iv only

Dii, iii, and iv

Answer:

B. ii and iii only

Read Explanation:

Comptroller and Auditor General (CAG) of India

  • Constitutional Status: The CAG is an independent constitutional authority appointed by the President under Article 148 of the Constitution of India.

  • Tenure and Security of Service:

    • The CAG holds office for a term of six years or up to the age of 65, whichever is earlier.

    • Statement ii is correct: Article 148(4) explicitly states that the CAG is not eligible for further office under the Government of India or any state government after relinquishing the post. This is a crucial provision to ensure their impartiality and prevent any post-retirement influence.

  • Salary and Conditions of Service:

    • Statement i is incorrect: The salary and other service conditions of the CAG are determined by Parliament through law, not by the President after consultation. They are similar to those of a judge of the Supreme Court.

    • The salary and allowances of the CAG cannot be varied to his disadvantage after his appointment.

  • Removal from Office:

    • The CAG can only be removed from office in a manner similar to the removal of a Supreme Court judge, i.e., by the President on an order of both the Houses of Parliament based on proved misbehaviour or incapacity.

    • Statement iv is incorrect: The CAG does not hold office at the pleasure of the President; their removal is a constitutionally safeguarded process.

  • Administrative Expenses:

    • Statement iii is correct: The administrative expenses of the CAG's office, including salaries and allowances of persons employed in that office, are charged on the Consolidated Fund of India. This means they are not subject to vote by Parliament, ensuring financial independence. (Article 148(3))

  • Role and Functions: The CAG audits all receipts and expenditures of the Union and state governments, including government companies and corporations. They report to the Parliament and state legislatures on these audits.

  • Significance for Competitive Exams: Understanding the specific constitutional provisions related to the CAG's independence, tenure, removal, and financial autonomy is vital for questions on Indian Polity and Governance. Pay close attention to articles like 148, 149, 150, and 151.


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  2. The First Finance Commission was chaired by K.C. Neogy.

  3. The Finance Commission has the power to summon witnesses like a civil court.

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Which of the statement(s) given above is/are correct?