News Details- (Get Professional Updates on Whatsapp, Msg on
8285393786) More
News
CAG to submit audit report against 25 private schools
The Delhi High Court Monday directed the Comptroller and Auditor General (CAG) to submit its audit report on 25 elite private schools that had complained of facing a financial burden because of having to pay teachers higher salaries recommended by the 6th Pay Commission.
Justcice A.K. Sikri and Justice Siddharth Mridul said: 'CAG will have to submit its audit report by March 18. The Delhi government grievance department should also give us the details of complaint they have received from parents regarding fee hike issue in a year or two.'
The court order came while hearing a petition filed by social jurist lawyer Ashok Agarwalla.
Agarwalla said, 'In clear violation of School Education Act, many of these schools did not offer 20 percent reservation to children from Economically Weaker Sections.'
Challenging the schools claim, Agarwalla said Delhi's private schools that had complained they were reeling under the burden of having to pay teachers higher salaries are totally wrong.
A report by the Comptroller and Auditor General (CAG), however, said they used the Pay Commission as an alibi to fatten themselves.
The auditor held that 25 elite private schools passed on the burden of implementing the recommendations of the 6th Pay Commission to parents, without drawing on the cash reserves they had accumulated by not implementing the staff salaries prescribed by the government.
The money collected from parents on the ground of the Pay Commission's burden was transferred to their societies and trusts. Schools which claimed to be making losses didn't hesitate to acquire expensive cars, the report said.
The indictment gets more serious as CAG found that schools paid salaries to fictitious employees and unauthorizedly collected money under various heads.
The CAG report, finalized last month, also found that while some contributed to the provident fund of fewer employees (National Victor School), others such as Amity International made contribution for more employees than those actually working. Sixth Pay Commission arrears were paid to staff not enrolled as employees.
CAG has also severely criticized the Directorate of Education of Delhi government for failing to monitor these lapses.
CAG had audited the accounts of 25 schools -- Mount Carmel, ASN School, Sachdeva, Mother Divine, Sadhu Vaswani, Ryan International, St Mary, Birla Vidya Niketan, Air Force Bal Bharti, GD Salwan, National Victor, Amity International, DPS-RK Puram, GD Goenka, Maharaja Agrasen, Convent of Jesus and Mary, JD Tytler, Sardar Patel, Vasant Valley, Ramjas Public School, St Xavier's, Frank Anthony, Presentation Convent, Modern School and Summer Fields School.
As for illegal transfer of money, CAG pointed out nine cases. Sardar Patel paid Rs.2.33 crore as usage charge to Gujarat Education Society for using its assets, Birla Vidya Niketan (BVN) paid Rs.5.23 crore as rent to Birla Academy of Art and Culture and Rs 2.5 crore on repair and maintenance.
Category : Auditing | Comments : 0 | Hits : 789
Get Free Daily Updates Via e-Mail on Income Tax, Service tax, Excise and Corporate law
Search News
News By Categories More Categories
- Income Tax Dept serves notices to salaried individuals for documentary proof to claim exemptions
- Bank Branch Audit 2021 - Update on allotment of Branches
- Bank Branch Audit 2020 Updates
- Bank Branch Audit 2021 Updates
- Bank Branch Audit 2020 - Update on Allotment of Branches
- Police Atrocities towards CA in Faridabad - Its Time to be Unite
- Bank Branch Statutory Audit Updates 2019
- Bank Branch Statutory Audit Updates
- Bank Branch Audit 2022 Updates
- Bank Branch Statutory Audit Updates
- NFRA Imposes Monetary penalty of Rs 1 Crore on M/s Dhiraj & Dheeraj
- ICAI notifies earlier announced CA exam dates despite pending legal challenge before SC
- NFRA debars Auditors, imposes Rs 50 lakh penalties for lapses in Brightcom, CMIL cases
- GST Important Update - Enhancement in the GST Portal
- NFRA Slaps Rs 5 lakh Penalty on Audit Firm for lapses in Vikas WSP Audit Case
- CBDT extends due date for filing Form 10A/10AB upto 30th June, 2024
- RBI comes out with FEMA regulations for direct listing on international exchange
- RBI directs payment firms to track high-value, fishy transactions during elections
- NCLT orders insolvency proceedings against Subhash Chandra
- Income Tax dept starts drive to dispose of appeals, 0.54 million at last count
- Payment of MCA fees –electronic mode-regarding
- Budget '11-12' Parliament Completes Approval Exercise
- Satyam restrained from operating its accounts
- ICICI a foreign firm, subject to FDI norms: Govt
- Maha expects Rs 15 crore entertainment tax revenue from IPL
- CAG blames PMO for not acting against Kalmadi
- No service tax on visa facilitators: CBEC
- Provision of 15-minutes reading and planning time allowance to the candidates of Chartered Accountants Examinations
- Companies Bill to be taken up in Monsoon Session
- File Service Tax Return in time as Maximum Penalty increased 10 times to Rs. 20000

Comments