PÀ Áðl PÀ DEPARTMENT OF CO-OPERATIVE AUDIT ÀPÁðgÀ ÀºÀPÁgÀ

PÀ£Áðl. PÀ DEPARTMENT OF CO-OPERATIVE AUDIT ¸ÀPÁðgÀ ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á E¯ÁSÉ Annual Report for the year 2004 -2005 £Éà ¸Á°£À ªÁ¶ðPÀ ªÀgÀ¢

1. 1 ¥Àj. ZÀAiÀÄ: 1. 1 Introduction: ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¸ÀévÀAvÀæ, ¤µÀàPÀë ºÁUÀÆ ±Á¸À£À§zÀÞ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉUÁV ¸ÁªÀðd¤PÀ ¯ÉPÀÌ¥ÀvÀæ ¸À «Äw. AiÀÄ ²¥sÁgÀ¹ì£À ªÉÄÃgÉUÉ ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á E¯ÁSÉAiÀÄÄ ¸ÀºÀPÁgÀ E¯ÁSɬÄAzÀ 1997 gÀ°è ¨ÉÃ¥ÀðlÄÖ C¹ÛvÀéPÉÌ Consequent upon the recommendation of the Public Accounts Committee the Department of Cooperative Audit has come into existence as an independent department in the year 1977, after its bifurcation from Cooperation Department by means of a statute with the objective of ensuring free, fair and independent statutory audit of all cooperative institutions in the state, and is functioning as a major department.

1. 2 E¯ÁSÉAiÀÄ ¥ÀæªÀÄÄR PÁAiÀÄðUÀ¼ÀÄ: 1. 2 Important functions of the Department: v¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À PÁAiÉÄÝ 1959 gÀ PÀ®A 63 gÀ°è ¸ÀÆa¹gÀĪÀAvÉ J¯Áè ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉAiÀÄ£ÀÄß ªÀµÀðPÉÆ̪ÉÄäAiÀiÁzÀgÀÆ ¤ªÀð» ¸ÀĪÀÅzÀÄ E¯ÁSÉAiÀÄ ¥ÀæªÀÄÄR PÀvÀðªÀåªÁVgÀÄvÀÛzÉ. v. As per Section 63 of Karnataka Cooperative Societies Act 1959, the main function of the department is to conduct audit of accounts of all Cooperative Institutions at least once in a year, v. E¯ÁSÉAiÀÄÄ ¥Àæw ªÀµÀð ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¸ÀPÁ°PÀ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉUÁV ªÉÊAiÀÄQÛPÀ ªÁ¶ðPÀ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á PÁAiÀÄðPÀæªÀÄUÀ¼À£ÀÄß gÀƦ¸ÀÄwÛzÉ. ªÀµÀðzÀ ªÉÆzÀ® JgÀqÀÄ vÉæöʪÀiÁ¹PÀUÀ¼À°è DzÁAiÀÄ vÉj. UÉ PÁAiÉÄÝ PÀ®A 44 J© ªÁå¦ÛAiÀÄ ºÁUÀÆ ¨ÁåAQAUï v. The Department prepares an individual annual audit programmes every year to ensure timely audit of all the cooperative institutions. Audit of key institutions which come under the purview of section 44 AB of Income Tax Act, Banking Regulation Act 1949 and all other key institutions are taken up during the first two quarters of the year. All the co-operative institutions are being audited according to the Annual Audit Programmes.

v v 1. 4 v 1. 3 E¯ÁSɬÄAzÀ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£É ¤ªÀð» ¸À¯ÁzÀ J¯Áè ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ½AzÀ ¸ÀPÁðgÀªÀÅ C£ÀĪÉÆâ¹zÀ zÀgÀzÀ°è J¯Áè ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ½AzÀ ¥Àæw ªÀµÀðªÀÇ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á ±ÀĮ̪À£ÀÄß ªÀ¸ÀÆ° ªÀiÁqÀ¯ÁUÀÄwÛzÉ. ¸ÀºÀPÁgÀ ¸ÀA¸ÉÜUÀ¼À CAwªÀÄ ªÀÄvÀÄÛ ¸ÀªÀĪÀwð ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉUÉ PÀ£Áðl. PÀ £ÁUÀjÃPÀ ¸ÉêÁ ¤AiÀĪÀiÁªÀ½UÀ¼À ¤AiÀĪÀÄ 441 gÀAvÉ, E¯ÁSÁ C¢üPÁj/¹§âA¢AiÀÄ ¸ÉêÉAiÀÄ£ÀÄß ¥ÀqÉ¢gÀĪÀ ¸ÀºÀPÁgÀ ¸ÀA¸ÉÜUÀ½AzÀ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á ªÉZÀѪÀ£ÀÄß ªÀ¸ÀÆ° ªÀiÁqÀ¯ÁUÀÄwÛzÉ. C. ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉAiÀÄ ªÁå¦Û: ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉAiÀÄÄ ¸ÀÄ¹Û ¸Á®UÀ¼ÀÄ EzÀÝ°è CªÀÅUÀ¼À ¥ÀjÃPÉë, £ÀUÀzÀÄ ²®ÄÌ ªÀÄvÀÄÛ ¨sÀzÀævÉUÀ¼À ¥Àj²Ã®£É, D¹ÛUÀ¼À ªÀÄvÀÄÛ dªÁ¨ÁÝj. UÀ¼À ªÀiË°åÃPÀgÀt, ¸ÀAWÀzÀ PÁAiÀÄð ZÀlĪÀn. PÉUÀ¼ÀÄ ªÀÄvÀÄÛ 1. 13 The department is collecting Audit fee, at the rates approved by the Government from every Cooperative Institution audited. v. Cooperative Institutions , which have availed the services of officers/ officials, under Rule 441 of Karnataka Civil Service Rules, audit cost is being collected from such institutions for conducting concurrent and final audit. 1. 4 A. Scope of Co-operative Audit: v. The cooperative audit includes an examination of over due debts, if any, the verification of the cash balance and securities, valuation of the assets and liabilities and an examination of the working and other prescribed particulars of the society. v The scope of co-operative audit also includes; a. Verification of the balances at the credit of the depositors, creditors and the debtors, b. An examination of the statement of accounts, c. Certification of Profit / Loss etc. d. An examination of the transactions of the members of the managing committee,

D. PÀ£Áðl. PÀ ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À PÁAiÉÄÝ 1959 ºÁUÀÆ ¤AiÀĪÀÄUÀ¼ÀÄ 1960 gÀr. AiÀÄ°è ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á E¯ÁSÉAiÀÄ ¤zÉÃð±ÀPÀgÀÄ, F PɼÀUÉ £ÀªÀÄÆ¢¸À¯ÁzÀ C¢üPÁgÀ ªÀÄvÀÄÛ ºÉÆuÉUÁj. PÉUÀ¼À£ÀÄß ºÉÆA¢gÀÄvÁÛgÉ: C¢üPÁgÀUÀ¼ÀÄ: v¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á ¤zÉÃð±ÀPÀgÀÄ J¯Áè ªÉüÉAiÀÄ°è, ¸ÀA¸ÉÜAiÀÄ J¯Áè ¯ÉPÀÌ¥ÀĸÀÛPÀUÀ¼À£ÀÄß, zÁR¯Áw. UÀ¼À£ÀÄß, £ÀUÀzÀÄ, ¨sÀzÀævÉUÀ¼ÀÄ, EvÁå¢UÀ¼À£ÀÄß ¥Àj²Ã°¸À®Ä ªÀÄvÀÄÛ CªÀÅUÀ¼À£ÀÄß ¥Àj²Ã®£ÉUÉ ºÁdgÀÄ ¥Àr¸ÀĪÀAvÉ “¸ÀªÀģÀiÁqÀ®Ä C¢üPÁgÀ ºÉÆA¢gÀÄvÁÛgÉ. v ¸ÀA¸ÉÜAiÀÄ ªÀåªÀºÁgÀ, PÁAiÀÄð ZÀlĪÀn. PÉUÀ½UÉ ¸ÀA§A¢ü¹zÀAvÉ ªÀiÁ» w. UÀ¼À£ÀÄß, DyðPÀ vÀ: SÉÛUÀ¼À£ÀÄß ªÀÄvÀÄÛ CªÀ±Àå «gÀĪÀ EvÀgÉà B. The powers and responsibilities of the Director of Cooperative Audit as envisaged under the Karnataka Cooperative Societies Act 1959 and Rules 1960 are as follows; Powers: v. The Director of Co-operative Audit has at all times have access to all the books of accounts, Documents, Cash, Securities etc. , and may issue summons to produce the same. v. The Director may call upon any cooperative institution to furnish such information with regard to the transaction and working of the society and to furnish financial statements and such other statements. v The Director may order for deletion or confirmation of the audit objection after examining the documents and the person concerned.

vgÁdå ¸ÀPÁðgÀªÀÅ CªÀ±ÀåªÉ¤¹zÀ°è, ªÀÄgÀÄ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉUÉ DzÉò¸À§ºÀÄzÁVzÀÄÝ, ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉUÉ C£ÀéAiÀĪÁUÀĪÀ PÁAiÉÄÝ ªÀÄvÀÄÛ ¤AiÀĪÀÄUÀ¼ÀÄ ªÀÄgÀÄ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉUÀÆ C£Àé¬Ä¸ÀÄvÀÛªÉ. v¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉAiÀÄ°è£À ¯ÉÆÃ¥ÀzÉÆõÀUÀ¼À£ÀÄß ªÀÄÄA¢£À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉAiÀÄ°è C¼ÀªÀr¸ÀĪÀ ¸À®ÄªÁV, AiÀiÁªÀÅzÉà ¸ÀºÀPÁgÀ ¸ÀAWÀzÀ, AiÀiÁªÀÅzÉà ¸Á°£À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉAiÀiÁVgÀĪÀ ¯ÉPÀÌ¥ÀĸÀÛPÀ UÀ¼À£ÀÄß ªÀÄgÀÄ ¥ÀjÃQë¸À®Ä CxÀªÁ ¥Àj²Ã°¸À®Ä ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á ¤zÉÃð±ÀPÀgÀÄ C¢üPÁgÀ ºÉÆA¢gÀÄvÁÛgÉ. v¸ÀºÀPÁgÀ ¸ÀAWÀ¢AzÀ ¸ÀPÁðgÀPÉÌ ¨ÁQ EgÀĪÀ ªÉƧ®UÀ£ÀÄß, ¨ÁQ d «ÄãÀÄ PÀAzÁAiÀÄ ªÀ¸ÀÆ°¸ÀĪÀ jÃw. AiÀÄ°èAiÉÄà v. The State Government if necessary may order for re-audit. The provisions of the Act and Rules applicable to the audit shall also apply to such re-audit. v The Director has the power to re-examine or to re-verify the audited accounts of any cooperative society pertaining to any year and to incorporate the lapses in the next audit report. v. He is empowered to issue certificate to recover the sums due from a co-operative society to the government in the same manner as arrears of land revenue. v. He has the power to accord sanctions to prosecute a person who has committed an offence under section 109(3) and (9) of the Act in respect of matters arising out of audit.

v ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À DyðPÀ vÀ: SÉÛUÀ¼À°è AiÀiÁªÀÅzÁzÀgÀÆ ªÀiÁ¥ÁðqÀÄ EzÀÝ°è, F ªÀiÁ¥ÁðqÀÄ ªÀiÁqÀ®Ä ¤zÉÃð±ÀPÀgÀÄ C¢üPÁgÀªÀ£ÀÄß ºÉÆA¢gÀÄvÁÛgÉ. CAvÀºÀ ªÀiÁ¥ÁðqÀÄ CAwªÀÄ ºÁUÀÆ ¸ÀºÀPÁgÀ ¸ÀAWÀPÉÌ CªÀ±Àå ¥Á®¤ÃAiÀĪÁVgÀÄvÀÛzÉ. v. In addition he also has the power to make modifications, if any, in the statement of accounts, which shall be final and binding on the society. vgÁdå ¸ÀPÁðgÀzÀ ¥ÀƪÁð£ÀĪÀÄw. AiÉÆA¢UÉ, ¯ÉPÀÌ¥Àj ±ÉÆÃzsÀ£Á ±ÀÄ®ÌzÀ ¥ÀæªÀiÁtªÀ£ÀÄß ¤UÀ¢¥Àr¸À®Ä ¤zÉÃð±ÀPÀgÀÄ C¢üPÁgÀ ºÉÆA¢gÀÄvÁÛgÉ. v. Director may call upon the financing bank of the concerned co-operative society to remit the outstanding amount of audit fee / audit cost to the Government. v ¸ÀAWÀ¢AzÀ ¸ÀPÁðgÀPÉÌ ¨ÁQEgÀĪÀ ¯ÉPÀÌ¥Àj ±ÉÆÃzsÀ£Á ±ÀÄ®Ì/ªÉZÀѪÀ£ÀÄß ¸ÀA§AzsÀ¥ÀlÖ DyðPÀ £ÉgÀªÀŤÃqÀĪÀ¸ÀA¸ÉÜUÉ ¥ÁªÀw¸À®Ä ¤zÉÃð±ÀPÀgÀÄ ¸ÀÆa¸À§ºÀÄzÁVzÉ. v. An officer or person conducting the audit has got power to seize and impound such books or property in such manner and for such period as may be prescribed. v Director, with the previous approval of the State Government, has the power to fix the scale of audit fee.

E ºÉÆuÉUÁj. PÉUÀ¼ÀÄ: C Responsibilities: v¥Àæw. AiÉÆAzÀÄ ¸ÀºÀPÁgÀ ¸ÀAWÀzÀ ¯ÉPÀÌ¥Àj ±ÉÆÃzsÀ£ÉAiÀÄ£ÀÄß PÀ¤µÀÖ ¥ÀPÀë ªÀµÀðPÉÆÌAzÁªÀwðAiÀiÁz ÀgÀÆ £ÀqɸÀÄ ªÀÅzÀÄ ¤zÉÃð±ÀPÀgÀ dªÁ¨ÁÝj. AiÀiÁVgÀÄ vÀÛzÉ. v ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á ªÀgÀ¢UÀ¼À£ÀÄß ¸ÀºÀPÁgÀ ¸ÀAWÀPÉÌ, ¸ÀA§A¢ü¹zÀ ªÀj. UÉ PÀ¼ÀÄ» ¸À®Ä ºÁUÀÆ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉAiÀÄ ¥sÀ°vÁA±ÀªÀ£ÀÄß w½¸À®Ä v. It is the responsibility of the Director of Co-operative Audit, to audit the accounts of every cooperative society at least once in a year. v. The Director of Cooperative Audit has to send the copies of the audit report and to communicate the result of Audit to the society and to the concerned authorities. v. He has the right to receive all notices and communications relating to the Annual General Meeting and to attend the same.

1. 5 DqÀ½vÀ ªÀÄvÀÄÛ ¹§âA¢: E¯ÁSÉUÉ ªÀÄAdÆgÁzÀ MlÄÖ ºÀÄzÉÝUÀ¼À ¸ÀASÉå 1918 EzÀÄÝ, CªÀÅUÀ¼À°è 1, 573 SÁAiÀÄA ºÀÄzÉÝUÀ¼ÀÄ ªÀÄvÀÄÛ PÀ£Áðl. PÀ £ÁUÀjÃPÀ ¸ÉêÁ ¤AiÀĪÀÄUÀ¼À ¤AiÀĪÀÄ 441 gÀ£ÀéAiÀÄ ¸ÀÈf¸À¯ÁzÀ 345 vÁvÁÌ°PÀ ºÀÄzÉÝUÀ¼ÁVªÉ. « «zsÀ ºÀÄzÉÝ UÀ¼À°ègÀĪÀ 13 ªÀÄA¢ E¯ÁSÉAiÀÄ « «zsÀ ªÀÈAzÀzÀ C¢üPÁj / £ËPÀgÀgÀÄUÀ¼ÀÄ ¨ÉÃgÉ E¯ÁSÉ ºÁUÀÆ ¸ÀA¸ÉÜUÀ¼À°è ¤AiÉÆÃd£É 1. 5 Administration and Establishment: The Department has a sanctioned strength of 1918, of which 1573 are permanent posts, 345 are temporary posts sanctioned under rule 441 of Karnataka Civil Service Rules. 13 personnel of different cadres of the department are working on deputation in other government departments. As on 31. 12. 2004, 700 posts of different cadres are remaining vacant. Cadre wise details are furnished after flowchart of Administrative setup.

DqÀ½vÀ ADMINISTRATIVE SETUP / ªÀåªÀ¸ÉÜ HEAD OF THE DEPARTMENT DIRECTOR/ ¤zÉðñÀPÀgÀÄ HEAD OFFICE/‘ÙÓ ·Ðõ / G¥À ¤zÉðñÀPÀgÀÄ ‘Ð ÙÓ§ DEPUTY DIRECTOR (27 DISTRICTS) ASSISTANT DIRECTOR/ ¸ÀºÁAiÀÄPÀ ¤zÉðñÀPÀgÀÄ (50 SUBDIVISIONS) SENIOR AUDITOR/ d. An ¤zÉðñÀPÀgÀÄ (DqÀ½vÀ ªÀÄvÀÄÛ ¹§âA¢) DD(EST)/ G¥À ¤zÉðñÀPÀgÀÄ (DqÀ½vÀ ªÀÄvÀÄÛ ¹§âA¢) iÀÄ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀPÀgÀÄ ADA(EST)/ (125 TALUKS) ¸À¤(¹§âA¢) AUDIT STAFF ¯ÉPÀÌ¥Àj±ÉÆÃz sÀ£Á ¹§âA¢ JD(AUDIT)/ JD(EST)/ SUB STAFF C¢üãÀ ¹§âA¢ ADA (A /C)/ ¸À¤(¯ÉP ÀÌ) SUB STAFF C¢üãÀ ¹§âA¢ d. An ¤zÉðñÀPÀgÀÄ (¯É¥À) G¥À ¤zÉðñÀPÀgÀÄ (¯É¥À) DD(AUDIT)/ ADA (AUDIT)/ ¸À¤(¯É¥À) SUB STAFF C¢üãÀ ¹§âA¢ ADA (AUDIT FEE)/ d. An ¤zÉðñÀPÀgÀÄ (vÀ¥ÀWÀ) JD(CELL)/ G¥À ¤zÉðñÀPÀgÀÄ(vÀ ¥ÀWÀ) DD(CELL)/ ADA(Cell 1)/ ADA(Cell 2)/ ¸À¤(¯É¥À ¸À¤ (vÀ¥ÀWÀ-1) ¸À¤ ±ÀÄ®Ì) (vÀ¥ÀWÀ-2) SUB STAFF C¢üãÀ ¹§âA¢

CADRE WISE DETAILS ARE AS FOLLOWS / ¹§âA¢AiÀÄ ªÀUÁðªÁgÀÄ ºÀÄzÉÝUÀ¼À «ªÀgÀ F PɼÀV£ÀAwgÀÄvÀÛzÉ. Sanctioned Sl. no ‘Ðõ. Ê Filled Posts/¨sÀwð Vacant Posts/ 01 01 - 06 04 02 63 53 10 158 90 68 485 312 173 580 249 331 167 139 28 81 78 03 08 07 01 85 60 25 ªÁºÀ£À ZÁ®PÀgÀÄ 18 10 08 zÀ¥sÉÃzÁgÀgÀÄ 06 03 03 r zÀeÉð £ËPÀgÀgÀÄ 260 212 48 Total/MlÄÖ 1918 1218 700 Cadre Wise/ªÀÈAzÀ Ð . 1. Director/ ¤zÉðñÀPÀgÀÄ 2. Joint Director/ 3. Deputy Director / G¥À ¤zÉðñÀPÀgÀÄ Assistant Director / ¸ÀºÁAiÀÄPÀ 4. 5. 6. 7. 8. d. An ¤zÉðñÀPÀgÀÄ Senior Auditor / » j. AiÀÄ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀPÀgÀÄ Auditor / ¯ÉPÀÌ¥Àj±ÉÆÃzsÀPÀgÀÄ F D A / ¥ÀæxÀªÀÄ zÀeÉð ¸ÀºÁAiÀÄPÀgÀÄ zÀeÉð S D A / ¢éwÃAiÀÄ 9. ¸ÀºÁAiÀÄPÀgÀÄ Stenographer / ²ÃWÀæ°¦UÁgÀgÀÄ 10. Typist/ 11. Driver / 12. Daffedar / 13. Peon / ¨ÉgÀ¼ÀZÀÄÑUÁgÀgÀÄ Posts/ ªÀÄAdÆgÁzÀ ºÀÄzÉÝUÀ¼ÀÄ SÁ°

1. 6 ¹§âA¢ vÀgÀ¨ÉÃw : 1. 6 Training : E¯ÁSÉAiÀÄ 236 ªÀÄA¢ « «zsÀ ªÀUÀðUÀ¼À C¢üPÁj ºÁUÀÆ ¹§âA¢ ªÀUÀðzÀªÀj. UÉ gÁ¶ÖçÃAiÀÄ PÀȶ ªÀÄvÀÄÛ UÁææ «ÄÃuÁ©üªÀÈ¢Ý ¨ÁåAPï ¤AiÀÄ «ÄvÀ, ¨ÉAUÀ¼ÀÆgÀÄ, gÀªÀgÀ ¸ÀºÀAiÉÆÃUÀzÉÆA¢UÉ, f¯Áè PÉÃAzÀæ ¸ÀºÀPÁgÀ ¨ÁåAPÀÄUÀ¼À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£É PÀÄjvÀAvÉ vÀgÀ¨ÉÃw ¤ÃqÀ¯ÁVzÉ. 236 officers and Officials of the department are being deputed for training with regard to audit of District Central Cooperative Banks in co-ordination with the National Agricultural and Rural Development Bank Ltd. , Bangalore at various centers.

1. 7 ºÀt. PÁ¸ÀÄ ªÀÄvÀÄÛ 1. 7 Finance and Budget : The expenditure of this department is being DAiÀĪÀåAiÀÄ : met under Non-plan under Head of A/c ” 2425 Co - operation - 101 - Co - operative Audit-01 Establishment (Non-plan)”. Details of expenditure of the past three years under Non-plan and Plan scheme along with the expenditure of the financial year 2004 -2005 ( up to Dec 2004 ) is furnished here under. F E¯ÁSÉAiÀÄ°è£À ªÉZÀÑUÀ¼ÀÄ ¯ÉPÀÌ ²Ã¶ðPÉ “ 2425 - ¸ÀºÀPÁgÀ - 101 - ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£É – 01 ¹§âA¢ (AiÉÆÃd£ÉÃvÀgÀ)” Cr. AiÀÄ°è ¨sÀj¸À¯ÁUÀÄwÛzÉ. PÀ¼ÉzÀ ªÀÄÆgÀÄ ªÀµÀðUÀ¼À°è gÀÆ. ®PÀëUÀ¼À°è / Rs. in AiÉÆÃd£ÉÃvÀgÀ ªÀÄvÀÄÛ AiÉÆÃd£Á lakhs) ªÉZÀÑUÀ¼Àr. AiÀÄ°è ºÁUÀÆ DyðPÀ ªÀµÀð Non-Plan / AiÉÆÃd£ÉÃvÀgÀ Plan / AiÉÆÃd£É 2004 -2005 gÀ°è (r¸ÉA§gï-04 gÀ ªÀj. V£À Sl. No. Year / ªÀµÀð Budget Provision/ Expenditure/ ¸ÀªÀÄ£ÀéAiÀÄ ¥ÀƪÀð) ªÀiÁzÀ¯ÁzÀ PÀæ. ¸ §eÉmï CªÀPÁ±À ªÉZÀÑUÀ¼À «ªÀgÀ F PɼÀV£ÀAwzÉ. ÀA. 01. 2001 -2002 1, 663. 55 1, 598. 67 22. 04 15. 84 02. 2002 -2003 1, 662. 92 1, 526. 86 20. 20 19. 10 03. 2003 -2004 1, 640. 32 1649. 86 23. 33 23. 38 04. 2004 -2005 1, 634. 91 1314. 75* 23. 94 18. 60* * r¸ÉA§gï 2004 gÀ CAvÀåPÉÌ ¸ÀªÀÄ£ÀéAiÀÄ ¥ÀƪÀð vÁvÁÌ°PÀ ªÉZÀÑ * Provisional Expenditure up to December 2004 before reconciliation.

1. 8 ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£É : 1. 8 Audit: ªÀĺÀvÀézÀ ¸ÁzsÀ£É: Significant achievement: In spite of depleting man power of the department 22, 411 Cooperative societies have been audited in the year 2003 -2004 out of 31, 877 Co-operative societies for audit. The number of societies audited has continued to increase and has risen to 22, 411 as compared to 20, 115 during 2002 -2003. As large number of vacancies in the cadre of Senior auditor and Auditor has resulted in non coverage of audit of all the societies. Progress of audit for the last four years including the current year is as follows: E¯ÁSÉAiÀÄ ªÀiÁ£ÀªÀ ¸ÀA¥À£ÀÆ䮪ÀÅ ¤gÀAvÀgÀªÁV E½ªÀÄÄRªÁUÀÄwÛzÁÝUÀÆå 2003 -04£Éà ¸Á°£À°è ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉUÉ EgÀĪÀ MlÄÖ 31877 ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¥ÉÊQ 22411 ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£É PÉÊUÉƼÀî¯ÁVgÀÄvÀÛzÉ. ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉAiÀiÁzÀ ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¸ÀASÉå 2002 -2003£Éà ¸Á°£À 20115 ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ½UÉ ºÉÆð¹zÀ°è 22411 UÀ½UÉ Kj. PÉAiÀiÁVgÀÄvÀÛzÉ. » j. AiÀÄ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀPÀgÀÄ, ¯ÉPÀÌ¥Àj±ÉÆÃzsÀPÀgÀ ºÉaÑ£À ¸ÀASÉåAiÀÄ ºÀÄzÉÝUÀ¼ÀÄ SÁ° EzÀÄÝzÀj. AzÀ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉUÉ EgÀĪÀ J¯Áè ¸ÀºÀPÁgÀ Sl No: Year/ªÀµÀð No. of Co-op Societies for ¸ÀAWÀUÀ¼À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉAiÀÄ£ÀÄß audit / ¯ÉPÀÌ¥Àj PÀæ. PÉÊUÉƼÀî®Ä ¸ÁzsÀåªÁVgÀĪÀÅ¢®è. ±ÉÆÃzsÀ£É ¸ÀA. ªÀiÁqÀ¨ÉÃPÁVzÀÝ ¥Àæ¸ÀPÀÛ ªÀµÀðªÀÇ ¸ÉÃjzÀAvÉ PÀ¼ÉzÀ £Á®ÄÌ ¸ÀA¸ÉÜUÀ¼ÀÄ ªÀµÀðUÀ¼À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á ¥ÀæUÀw «ªÀgÀUÀ¼ÀÄ F PɼÀPÀAqÀAwgÀÄvÀÛªÉ. 01. 2001 -2002 30415 No of Co-op Societies audited/ ¯ÉPÀÌ¥Àj±ÉÆÃzs À£É AiÀiÁVgÀĪÀ ¸ÀA¸ÉÜUÀ¼ÀÄ Balance/ G½PÉ Percentage/ ±ÉÃPÀqÀª ÁgÀÄ 17993 12422 59. 15 02. 2002 -2003 31206 20115 11091 64. 45 03. 2003 -2004 31877 22411 9466 70. 30 04. 2004 -2005 (r¸ÉA½gï 04 gÀAvÀåPÉÌ ªÀiÁvÀæ /upto December 04 only) 32170 12277 19893 - ¸ÀÆZÀ£É: ªÀµÀð¢AzÀ ªÀµÀðPÉÌ ºÉƸÀzÁV £ÉÆÃAzÀt AiÀiÁUÀÄwÛgÀĪÀ ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¸ÀASÉå UÀt¤ÃAiÀĪÁV Kj. PÉAiÀiÁUÀÄwÛzÉ. 20012002£Éà ¸Á°£À°èzÀÝ ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¸ÀASÉåAiÀÄÄ 30, 415 UÀ¼ÁVzÀÄÝ, 2004 -05 £Éà ¸Á°UÉ EzÀÄ 32, 170 PÉÌ Kj. PÉAiÀiÁVgÀÄvÀÛzÉ. wêÀæ ¹§âA¢ Note: On account of registration of new societies every year, the total number of societies for audit has risen from 30, 415 in 2001 -02 to 32, 170 by 2004 -2005. In spite of severe shortage of audit personnel, the department is making all out efforts to achieve and maintain maximum audit progress.

Percentage /±ÉÃPÀqÀ under / PÀ¼ÉzÀ ªÀÄÆgÀÄ ªÀµÀðUÀ¼À°è ¸Á¢ü¹zÀ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á ¥ÀæUÀw. AiÀÄ «ªÀgÀUÀ¼ÀÄ F PɼÀPÀAqÀAwgÀÄvÀÛªÉ. Year / ªÀµÀð 1. 9 ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á ¥ÀæUÀw. AiÀÄ°è£À PÉÆgÀvÉUÉ PÁgÀt. UÀ¼ÀÄ: ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉAiÀiÁzÀ ¸ÀºÀPÁgÀ ¸ÀA¸ÉÜUÀ¼À MlÄÖ ¸ÀASÉå ªÀµÀð¢AzÀ ªÀµÀðPÉÌ ºÉZÀÄÑvÁÛ §A¢zÉAiÀiÁzÀgÀÆ £ÉÆÃAzÀt AiÀiÁVgÀĪÀ J¯Áè ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£É ¤ªÀð» ¸À¯ÁUÀ¢gÀĪÀÅzÀPÉÌ ¥ÀæªÀÄÄR PÁgÀt. UÀ¼ÀÄ v£ËPÀgÀgÀ ªÀAiÉÆà ¤ªÀÈwÛ¬ÄAzÀ ªÀµÀð¢AzÀ ªÀµÀðPÉÌ C¢üPÀªÁV ¸ÁÜ£ÀUÀ¼ÀÄ vÉgÀªÁUÀÄwÛzÀÄÝ, 1988£Éà ¸Á°¤A¢ÃZÉUÉ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀPÀgÀ ºÀÄzÉÝUÉ £ÉêÀÄPÁw £ÀqÉAiÀÄ¢gÀĪÀÅzÀÄ. v¸ÀAWÀUÀ¼ÀÄ ºÉƸÀzÁV £ÉÆÃAzÀt AiÀiÁUÀÄwÛgÀĪÀÅzÀj. AzÀ 1. 9 Reasons for shortfall of Audit progress: Although the number of societies audited is increasing every year, the department is not in a position to complete the audit of all the cooperative institutions registered, the main reasons being ; v. There is an increase in the number of vacant posts year after year on account of retirement on superannuation and no recruitments were made to the post of auditor since 1988. v. There is an increase in the number of co-operative societies for audit every year on account of new registrations. v. Increase in the volume of business of the existing co-operative societies. v. Non-sanction of sufficient number of posts of field staff, in proportion to the number of societies.

1. 10 ºÀtzÀÄgÀÄ¥ÀAiÉÆÃUÀzÀ «ªÀgÀ : ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á ªÉüÉAiÀÄ°è PÀAqÀÄ » r. AiÀįÁzÀ ºÀtzÀÄgÀÄ¥ÀAiÉÆÃUÀUÀ¼À£ÀÄß DAiÀiÁ ¸Á®ÄUÀ¼À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á ªÀgÀ¢UÀ¼À°è ªÀgÀ¢ ªÀiÁqÀ¯ÁVgÀÄvÀÛzÉ. 1. 10 Misappropriation Cases: Cases of misappropriation detected in the course of audit are being reported in the audit reports of the particular year. Particulars of number of cases of misappropriation so detected during the last three years and during the year 2004 -2005 the amount involved are furnished here under. (gÀÆ. ®PÀëUÀ¼À°è / Rs. in PÀ¼ÉzÀ ªÀÄÆgÀÄ ªÀµÀðUÀ¼À°è lakhs) ºÁUÀÆ 2004 -05£ÉÃSl No: Year of audit/ No. of cases / ¸Á°£À°è (¢£ÁAPÀ Amount / PÀæ. ¸À ¯ÉPÀÌ¥Àj±ÉÆ ¥ÀæPÀgÀt. UÀ 31. 12. 2004 gÀªÀgÉ «UÉ) ¥ÀvÉÛ ªÉÆvÀÛ A. ÃzsÀ£Á ªÀµÀð ¼À ¸ÀASÉå ºÀZÀѯÁzÀ zÀÄgÀÄ¥ÀAiÉÆÃUÀzÀ 01. 2001 -2002 300 468. 64 «ªÀgÀUÀ¼ÀÄ F PɼÀPÀAqÀAwªÉ. 02. 2002 -2003 304 1210. 83 03. 2003 -2004 266 745. 07 125 429. 49 2004 -2005 04. (Upto Dec. 04/ r¸ÉA§gï 04 gÀAvÀåPÉÌ)

1. 11 E¯ÁSÉAiÀÄ DzÁAiÀÄ (gÀÆ. ®PÀëUÀ¼À°è) : ªÀĺÀvÀézÀ ¸ÁzsÀ£É: E¯ÁSÉAiÀÄÄ ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ½AzÀ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á ±ÀÄ®Ì ªÀÄvÀÄÛ ªÉZÀѪÀ£ÀÄß ¸ÀPÁðgÀªÀÅ C£ÀĪÉÆâ¹zÀ zÀgÀzÀ°è ªÀ¸ÀÆ°ªÀiÁqÀÄwÛzÉ. ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á ±ÀÄ®Ì ºÁUÀÆ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á ªÉZÀÑzÀ ªÀ¸ÀƯÁw. AiÀi 2001 -02£Éà ¸Á°£À gÀÆ 1213. 97 ®PÀëUÀ½AzÀ 200304£Éà ¸Á°UÉ gÀÆ2262. 66 ®PÀëUÀ½UÉ KjgÀÄvÀÛzÉ. PÀ¼ÉzÀ ªÀÄÆgÀÄ ªÀµÀð ºÁUÀÆ ¥Àæ¸ÀPÀÛ 200405£Éà ªÀµÀðzÀ°è ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á ±ÀÄ®Ì ªÀÄvÀÄÛ ªÉZÀÑzÀ vÀUÁzÉ, ªÀ¸ÀÆ° ªÀÄ£Áß ªÀÄvÀÄÛ ¨ÁQAiÀÄ «ªÀgÀUÀ¼ÀÄ F PɼÀPÀAqÀAwgÀÄvÀÛzÉ. Opening Total Demand during the year/vÀUÁzÉ Demand / MlÄÖ vÀUÁzÉ 1. 11 Revenue (Rs in lakhs) : Collection of Audit fees has risen from Rs. 1213. 97 lakhs during 2001 -02, to Rs. 2262. 66 lakhs during 03 -04. The department is collecting audit fee and audit cost from the cooperative Societies in accordance with the scale approved by the Government. Particulars of demand, collection and balance of Audit fee and Audit cost for the last three year and for the current year 2004 -05 is given below. (gÀÆ. ®PÀëUÀ¼À°è / Rs. in lakhs Collection during the year/ ªÀ¸ÀÆ° Written off/ ªÀÄ£Áß Balance/ ¨ÁQ Percentage/ ±ÉÃPÀqÁªÁgÀÄ Year/ªÀµÀð Balance/ ¥ÁægÀA¨sÀzÀ ¨ÁQ 2001 -2002 554. 60 1242. 13 1796. 73 1213. 97 0. 34 582. 42 67. 58 2002 -2003 582. 42 2241. 83 2824. 25 2171. 53 0. 26 652. 46 76. 88 2003 -2004 652. 46 2629. 63 3282. 09 2262. 66 0. 45 1018. 98 68. 94 2004 -2005 r¸ÉA§gï 2004 gÀ CAvÀåPÉÌ ¸ÀªÀÄ£ÀéAiÀÄ ¥ÀƪÀð/ Unreconciled figures up to Dec 2004 1018. 98 2012. 22 3031. 20 1642. 79 0. 18 1388. 23 -

1. 12 ÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ñ ÆÐÔÃÜ·Ð „‘Фв٠ÀÐÔ³ÐÔê ÀÐÊÐÖÅ ÁÈÐ ¦ÐÔ·ÐÅö ‘йÑþ©‘Ð ¤Ñ¡ô ‡›Ðà ¹Ñô ¦Ð¦Ñà ºÓ¯¤ÐÔÀÐ ¦ÐÔ ÀÐÔÌгÐ÷·Ð ´Ó» ÐÔþ. ÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ù ºÀÐþÍÊÐÄÑ·Ð ÊÐÌБѤРÊÐ ˜Ð–ÐÏ–Ù …Äє٠¦ÐÔÔ Á¸°ÊÐÔÀÐ ÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ñ ÆÐÔÃÜ·Ð ·Ð¤Ð º–и» Ð¯Ë ÌÙ֤ЯˤÐÔÀÐ ÊБÑþ¤Ð·Ð „·ÙÓÆÐ ÊÐ ”Ùô: ËŠ нÖöÿô/283/ËŠÄýŠ ® , ¸¹Ñ ‘Ð 17. 02. 2001 ¤Ð Ë ·°ÐÔ³Ð÷, ·Ð¤Ð– ÐÎйÐÔî º–и » ЯÊÐÃÔ ÊБÑþ¤Ð‘ÙÜ ‘йÑþ©‘Ð ÊÐÌБѤРÊÐ ˜Ð–ÐÎÐ º ¦ÐÔÀЦÑÀÐÏ 1960 ¤Ð º ¦ÐÔÀÐÔ 30 ¤Ð¹Ð÷ » Ðõ·Ð³ÐêÀÑ ¦ÐÔ —¤ÐÔÀÐ ƒ¸°‘Ñ¤Ð·Ð Ë ·°ÐÔ³Ð÷ ÀÐÔ³ÐÔê º·ÙÓþÆБФÐÔ 1. 12 Important Judgment by the Hon’ble High Court regarding assessment and collection of audit fee: 55 co-operative institutions filed various Writ Petitions before the Hon’ble High Court of Karnataka, challenging among other things, the validity G. O. No. CMW 283: CLM 96 dated 17. 2. 2001 and Rule 30 of Karnataka Cooperative Societies Rules 1960, the powers delegated to the Director of Cooperative Audit to fix the scales of audit fee, demand collect audit fee from the cooperative institutions audited.

‘йÑþ©‘Ð ¤Ñ¡ô ‡›Ðà ¹Ñô ¦Ð¦Ñà ¦ÐÔÀÐÕ, ¹Ñô ¦Ð¦Ñà ¦ÐÔ·Ð ÀÐÔÔ ÀÐÔ ·Ù ¯ÊÐÄÑ·Ð ÀÑ·Ð ÁÀÑ·Ð – ÐÎйÐÔî ‘ÐÖà ‘ÐÔÈÐÀÑ— » ЧÇÓÅË, ¸¹Ñ 13. 09. 2004 ¤Ð ÀÐÔÌгÐ÷·Ð ‘Ð ·ÐÔ ´Ó» Ðþ¹ÐÔî ºÓ¯ † ŠÄÑö §ªý ƒ£þ– ÐÎйÐÔî ³ÐÏü ÌÑ‘ÐÄÑ—·Ù. † ´Ó¼þ¹ÐÅö …ºî³Ð¤Ù ÁÈÐ ¦ÐÔ–ÐÎÐÃö·Ù, † ‘ÙÎБѱÒË·Ð ÀÐÔÌгÐ÷·Ð ƒ Ж Æ ÐÎÐÔ ÊÙÓ§·Ù. v·ÐÔ¯ ¦ÐÔÔÀÐ ½ ÐÀÑÎÐ/ ÀÑô» ѤР® ÀÐÍÀÑ «¹Ð ÀÙÔÓÄÙ ÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ñ ÆÐÔÃÜ „‘Фв٠ÀЦѮÐÄÑ – ÐÔ´ê¤ÐÔÀÐÕ·ÐÔ ƒº ´õ³ÐÀÐ×, ¦ÐÔ ¹Ñô ¦ÐÔ¾ÑͤÐÀÐ× „—¤Ð·Ù ‘йÑþ©‘Ð ÊÐÌБѤРÊÐ ˜Ð–ÐÎÐ º ¦ÐÔÀЦÑÀÐÏ 1960 ¤Ð º ¦ÐÔÀÐÔ 30 ¤Ð ³Ù ‘ÐõÀÐÔ½·ÐìÀÑ—¤ÐÔ³Ðê·Ù. The Hon’ble High Court, after carefully considering the materials placed before the Court, was pleased to dismiss all the Writ Petitions on 13. 9. 2004. It was held by the Hon’ble Court, among other things that vlevy and collection of audit fee on the basis of Working Capital/Turnover is not illegal, arbitrary or contrary to Rule 30 of KCS Rules 1960; vthe audit fee fixed by the impugned Government Order need not have corelation to the actual service rendered by audit department;

v ÊБÑþ¤ÐÀÐÕ º ¦ÐÔÀÐÔ–ÐÎÐ ³Ù ³Ð¹Ð–Ù » Ðõ·Ð³ÐêÀÑ—¤ÐÔÀÐ ƒ¸°‘ѤÐÀйÐÔî ‡» Ð ¦ÙÖÓ—Ë ÊÐÌБѤРÊÐ ˜Ð–ÐÎÐ ÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ñ º·ÙÓþÆБФÐÔ ·Ð— ˤÐÔÀÐ ÀЦÑÍ´ ÌÑ–ÐÖ ƒ Ð ’ ƒ Æ –ÐÎйÐÔî ÁÀÙӛйѳÐó‘ÐÀÑ— » ЧÇÓÅË, ÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ñ ÆÐÔÃÜ „‘Фв٠·Ð¤Ð–ÐÏ–Ù ¦ÐÔ ƒ¹ÐÔÀÙÖӷй٠ºÓ¯¤ÐÔÀÐշЧ ·Ð ÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ñ ÆÐÔÃÜ·Ð ·Ð¤Ð º–и ÌÑ–ÐÖ „‘Фв٠½–ÙÞ ÊБÑþ¤Ð ÊÐÌБѤРÊÐ ˜Ð–ÐÎÐ ÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ñ º·ÙÓþÆБЧ–Ù ¦Ð¦ÑÀÐÕ·ÙÓ ƒ¸°‘ѤÐÀйÐÔî ‡» Ð » Ðõ³Ñô ¦ÙÖÓ¡¹Ù (Sub-delegate) v as the State Government in exercise of the powers vested with it, by applying its mind to the relevant material and data collected by the Director, has granted approval to the scales of audit fee, the Director of Cooperative Audit has not been subdelegated the power of fixing the scales of audit fee, and v the contention of the petitionerinstitutions that audit fee as revised by Government is without jurisdiction is not tenable.

…·ÐÃö·Ù, † ´Ó¼þ¹ÐÅö –ÐÀÐÔºÊÐÄÑ— ¤ÐÔÀÐ …ºî³Ð¤Ù ÀÐÔÔ”Ñô ЖÐÎÙ Æ ·Ð¤Ù: vÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ñ ÆÐÔÃÜ·Ð » ЧÈÐܤв٠15 ÀÐÈÐþ–ÐÎÐ ¹Ð ³Ð¤Ð ÀЦѮÐÄÑ—·Ù. vÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ñ ÆÐÔÃÜ·Ð ·Ð¤Ð– ÐÎйÐÔî ÀÙÖ·ÐÅ–Ù 1952 ¤ÐÅö º–и» Я˷ÐÔì, ¹Ð ³Ð¤Ð 1976, 1986 ÌÑ–ÐÖ 1996 ¤ÐÅö ·Ð¤Ð– ÐÎйÐÔî » ЧÈÐܧÊÐÄÑ—¤ÐÔ³Ðê·Ù. † ÀÙÔÓŹРƒÀи° ¦ÐÔÅö ‡ ªÑ—¤ÐÔÀÐ ƒ¹ÙÓ‘Ð „¶þ‘Ð ¾ÙÎÐÀбҖٖÐÏ ƒ ·Ð ·Ð¤Ù; ¾ÙÄÙ ÌÑ– ÐÖ ·Ð¤Ð–ÐÎÐÅö¹Ð ‹§‘Ù, ÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ñ …ÄÑ”Ñ Ë½ñ ¸ ¦ÐÔ ÀÙӳйР» ЧÈÐܤв٠…³Ñô¸–ÐÏ ·Ð ÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ñ ÆÐÔÃÜ·Ð ÀÐÊÐÖÄÑ´ ¦ÐÔÅö ‘Ù֤г٠‘Ð ÐÔ ½ ® ¸·Ù. v¾°Ñ¤Ð³Ð·Ð ‘Ð ªÙÖõÓäý ÀÐÔ³ÐÔê „¯©¤ý ¡¹Ð¤ÐÄý¤ÐÀФÐÔ 31. 03. 1998 ‘ÙÜ ƒ ³Ðô– ÙÖ Ð ƒÀи°–Ù ºÓ¯¤ÐÔÀÐ ÀФи ® ¦ÐÔÅö ÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ñ ·Ð¤Ð–ÐÎйÐÔî ÀÙ›Ðà– ÐÏ–Ù ƒ¹ÐÔ–ÐÔ± ÀÑ–ÐÔÀÐ ³Ù » ЧÈÐܤв٠ÀЦѮÐÄÑ—ÃöÀÑ·Ðì§ ·Ð …Äє٠ÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ñ ÆÐÔÃÜ ÌÑ ¦ÐÔ –ÐÖ ÀÙ›Ðà ÀÐÊÐÖÄÑ´ ¦ÐÔÔ …Äє٠¦ÐÔ Other important observations made by the Hon’ble Court while upholding the powers of the Government and the department in assessing the audit fee as per GO dated 17. 2. 2001 and Rule 30 of Karnataka Cooperative Rules 1960 are: v. The revision in respect of scale of audit fee was made after a lapse of 15 years; v. Scale of Audit fee was prescribed as long back as in 1952, revised in 1976, 1986 and in 1996; v. During this period, there were various financial changes like escalation in cost or prices, revision of pay scales of staff of the Audit Department, which resulted in collection of deficit fee; v. In the Report of the Comptroller & Auditor General of India (C&AG) for the year ended 31. 3. 1998, it had been observed that owing to nonrevision of audit fees commensurate with the expenditure thereon, the excess of expenditure over the demands for the audit fees including audit cost during the years 1992 -93 to 1996 -97 ranged from Rs. 156. 78 lakhs to 248. 82 lakhs was one of the factors which necessitated revision of scale of audit fee.

v…·ÙÓ ÀФи ¦ÐÔÅö (ƒ) ÊÐÌБѤР„ ·ÙÖÓùÐÀйÐÔî ¾ÙÎÙÊÐÔÀÐ ¡ÀѾÑì§ ÊБÑþ¤Ð·Ð ÌÙֲٖѧ‘Ù ¦Ð¦Ñ —·Ù ¦Ð¦Ñ·Ð¤ÐÖ ÊÐÌБѤРÊÐ ˜Ð–ÐÎÐ ÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ñ …Äє٠¦ÐÔÔ ·Ð —ÊÐÔÀÐ ÊÙÓÀÙ ¦ÐÔ¹ÐÔî ÊÐ » ÐÖ±þÀÑ— ÊÑÀЦѣ‘ÐÊÙÓÀÙ Š » Ч–бÒÊÐÄізÐÔ; ·ÐÔ („) …Äє٠„·Ñ ¦ÐÔ ÌÑ–ÐÖ ÀÙ›Ðà –ÐÎÐ ¹Ð®ÐÔÀÙ …¤ÐÔÀÐ ƒ ³Ð¤ÐÀйÐÔî » ÐÖ±þÀÑ— ³ÙÖ®Ù·ÐÔÌÑ‘ÐÔÀÐÕ·ÐÔ ÊÑ·°ÐôÀÑ– Ð ÄѤзѷФÐÖ, † ƒ ³Ð¤ÐÀйÐÔî ‘Ð¯ÀÙÔ ÀЦѮÐÃÔ ‘ÐõÀÐÔ ‘ÙÚ– ÙÖÎÐÔüÀÐշБÙÜ ÊÐÀÐÔµÐþºÓ ¦ÐÔ ‘Ѥб–ÐÏÀÙ ÀÐÔ³ÐÔê (…) ÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ù ÊÙÓÀÙ ¦ÐÔÔ ¤Ñ¡ô ÊБÑþ¤Ð‘ÙÜ „¶þ‘Ð ÌÙÖ¤Ù ¦Ð¦Ñ–з٠ÊÑ÷ÀÐà ¿ ¦Ð¦Ñ— ¤Ð¾ÙÓ‘Ñ—·Ù Š Ô·ÐÔ ½ ÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ñ ÊÙÓÀÙ ¦ÐÔ ÀÐÔÔ“ô ·°ÙôÓ ¦ÐÔÀÑ—·Ù. v ÊÐÌБѤРÊÐ ˜Ð–ÐÎÐ ÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ñ …Äє٠¦ÐÔÔ ¤Ñ¡ô·ÐÅö¤ÐÔÀÐ 30, 000‘ÐÖÜ ÌÙœà¹Ð ÊÐÌБѤРÊÐ ÊÙë –ÐÎÐ ÀÑÉþ‘Ð ÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ù ¦ÐÔ¹ÐÔî ºÀÐþÍÊÐÃÔ ƒÀÐÆÐô‘Ð ÀÑ– v. The observations made in the report of the Comptroller and Auditor General of India, that (a) though the responsibility of promotion of the Cooperative movement rests with the State Government the services of the Cooperative Audit Department cannot entirely be taken as a social service; (b) It may not be possible to completely bridge the gap between the revenue and expenditure of this department but there are sufficient grounds justifying the narrowing of this bridge; and (c) the principle underlying the provision of the audit service to the cooperatives is that the audit should subsist on its own without being burden to the State exchequer v. The department has to maintain the vast infrastructure facilities for the audit of more than 30, 000 cooperative institutions in the state. Taking into consideration the exemptions extended to various categories of cooperative institutions as a social measure, pay revision of staff, the audit fee cannot be levied exactly proportionate to the services rendered by the auditing staff.

ƒ£þ·Ñ¤Ð¤ÐÔ ³ÐÀÐÔó ÊÐ ÊÙë–ÐÎÐ ÄÙ‘ÐÜ » ЧÆÙÖÓ·°Ð¹Ù ¦ÐÔ¹ÐÔî ›Ñ©þ®ýþ ƒ‘Û ªý ªÙ ¤ÐÀЧ ·Ð ÀЦѯÊÐÃÔ ƒ¹ÐÔÀÐÔ´ÊоÙÓ‘Ù ·ÐÖ ÊÐÌÐ §ªý ƒ£þ –ÐÎÐÅö ¹Ñô ¦Ð¦Ñà ¦ÐÔÀйÐÔî ‘ÙÖÓ§·Ðì¤ÐÔ. ¹Ñô ¦Ð¦Ñà ¦ÐÔÀÐÕ † ‘ÙÖÓ§‘Ù–ÐÎйÐÔî ³ÐÏü ÌÑ’·Ù. † ‘ÙÖÓ§‘Ù–ÐÎйÐÔî ³ÐÏü ÌÑ‘ÐÔÀÐշБÙÜ, …Äє٠¦ÐÔÔ ³Ð ¦Ð¦Ñ§Ë¤ÐÔÀÐ An argument in favour of retaining the present system of State Audit of the Co-operative Institutions and not to entrust the audit of these Co-operatives to the Chartered Accountants’ Š ’¤ÐÔÌÙÖ´ê–Ù ½ ¦ÐÔÅö ›Ñ©þ®ýþ ƒ‘Û ªý¤ÐÀФÐÔ–ÐÏ–Ù ªÙ ÊÐÌБѤРÊÐ ÊÙë– ÐÎÐÄÙ‘ÐÜ» ЧÆÙÖÓ·°Ð¹Ù ¦ÐÔ¹ÐÔî ÀÐÍË ‘ÙÖ®ÐÔÀÐ ÁÈÐ ¦ÐÔ·ÐÅö The petitioner-Cooperatives had also prayed before the Court that they be permitted to get their accounts audited by the Chartered Accountants. The Hon’ble High Court also rejected the said plea of the Petitioner-institutions. The Hon’ble Court has taken into consideration the pros & cons of entrustment of audit of cooperative institutions to Chartered Accountants which are highlighted in the brochure brought out by the department titled ‘An argument in favour of retaining the present system of State Audit of the Co-operative Institutions and not to entrust the audit of these Cooperatives to the Chartered Accountants’

1. 13 vÀ¤SÉ ªÀÄvÀÄÛ ¥Àj²Ã®£Á WÀl. PÀ : AiÉÆÃd£ÉAiÀÄr. AiÀÄ°è ªÀÄAdÆgÁVgÀĪÀ vÀ¤SÉ ªÀÄvÀÄÛ ¥Àj²Ã®£Á WÀl. PÀªÀÅ 1995£Éà ¸Á°¤AzÀ PÁAiÀÄð¤ªÀð» ¸ÀÄwÛzÉ. F WÀl. PÀzÀ ªÀÄÄRå PÁAiÀÄð ZÀlĪÀn. PÉUÀ¼ÉAzÀgÉ; (1). ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ½AzÀ zÀÄgÀÄ¥ÀAiÉÆÃUÀ CªÀåªÀºÁgÀUÀ¼À §UÉÎ zÀÆgÀħAzÀgÉ CªÀÅUÀ¼À ¥Àj²Ã®£É PÉÊUÉÆüÀÄîªÀÅzÀÄ, (2). E¯ÁSÉAiÀÄ ªÀÈwÛ¥ÀgÀvÉAiÀÄ£ÀÄß ºÉaѸÀ®Ä ªÀÄvÀÄÛ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á UÀÄtªÀÄlÖªÀ£ÀÄß GvÀÛªÀÄ ¥Àr¸À®Ä C¢üPÁj/¯ÉPÀÌ¥Àj±ÉÆÃzsÀPÀgÀÄUÀ½UÉ CUÀvÀå vÀgÀ¨sÉÃw ºÁUÀÆ ªÀiÁUÀð zÀ±Àð£ÀUÀ¼À£ÀÄß ¤ÃqÀĪÀÅzÀÄ. (3). E¯ÁSÉAiÀÄ C¢üãÀ PÀbÉÃj. UÀ¼À ¥Àjà «ÃPÀëuÉUÀ¼À£ÀÄß PÉÊUÉƼÀÄîªÀÅzÀÄ ºÁUÀÆ CªÀj. AzÀ C£ÀÄ¥Á®£Á ªÀgÀ¢UÀ¼À£ÀÄß ¥ÀqÉAiÀÄĪÀ°è » A¨Á°PÉAiÀÄ PÀæªÀÄ vÉUÉzÀÄPÉƼÀÄîªÀÅzÀÄ. (4). ªÀĺÁ¯ÉÃR¥Á®j. AzÀ/¸ÀPÁðgÀ¢AzÀ/EvÀgÉ G£ÀßvÀ C¢üPÁj. UÀ¼ÀÄ £ÉqɹzÀ ¥Àj «ÃPÀët ªÀgÀ¢UÀ½UÉ ¸ÀA§A¢ü¹zÀ C£ÀĸÀgÀuÁ ªÀgÀ¢ ¥ÀqÉzÀÄ ¸À°è¸ÀĪÀÅzÀÄ. (5). zÉÆõÀ¥ÀÆjvÀ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£É ªÀiÁrzÀ, «¼ÀA§ªÁV ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á 1. 13 Investigation and verification Cell: An Investigation and Verification Cell sanctioned under "Plan Scheme“ is functioning since May 1995. The main functions of the cell are; (1) verifications of complaints received from cooperative societies regarding irregularities and misappropriation of funds (2) to impart necessary training and guidance to the officers and auditors of the department, to enhance professionalism and the quality of audit. (3) take up inspection of subordinate offices of the department and follow up of compliance. (4) arrange to send compliance reports for the inspection reports received from Accountant General / Government and other higher offices. (5) building-up of proposals for initiating disciplinary actions against such of those auditors for belated submission / non-submission of audit reports and defective audit etc. , Out of 633 cases, 219 cases have been disposed off leaving a balance of 414 cases as on 31. 12. 2004.

1. 14 E¯ÁSÉAiÀÄ PÀA¥ÀÆåljÃPÀgÀt AiÉÆÃd£É ºÁUÀÆ E¯ÁSÉAiÀÄ ¨sÀ «µÀåzÀ ¸ÀégÀÆ¥À: ªÀĺÀvÀézÀ ¸ÁzsÀ£É: E¯ÁSÉAiÀÄÄ, Erà ¨sÁgÀvÀzÀ°èAiÉÄà ¥Àæ¥ÀæxÀªÀÄ J£ÀߧºÀÄzÁzÀ, ¢é-¨sÁµÉAiÀÄ°è (PÀ£ÀßqÀ ªÀÄvÀÄÛ DAUÀè) ¸ÀºÀPÁgÀ zÀ¥Àðt JA§ «£ÀÆvÀ£À ªÉ¨ï¸ÉÊmï£ÀÄß ¥ÁægÀA©ü¹zÉ. F ªÉ¨ï¸ÉÊmï£À°è ¥Àæw. AiÉÆAzÀÄ ¸ÀºÀPÁgÀ ¸ÀAWÀPÉÌ ¸ÀA§A¢ü¹zÀAvÉ D¹Û dªÁ¨ÁÝj vÀ: SÉÛ, ªÁå¥ÁgÀ vÀ: SÉÛ, ¯Á¨sÀ £ÀµÀ× vÀ: SÉÛ ºÁUÀÆ DyðPÀ C£ÀÄ¥ÁvÀzÀ ªÀiÁ» w. UÀ¼ÀÄ ®¨sÀå «gÀÄvÀÛªÉ. F ªÉ¨ï¸ÉÊmï E¯ÁSÉUÉ ¸ÀA§AzsÀ¥ÀlÖ ¸ÀªÀÄUÀæ ªÀiÁ» w. UÀ¼À£ÀÄß M¼ÀUÉÆArgÀÄvÀÛzÉ. F ªÉ¨ï ¸ÉÊmï £À°è F PɼÀV£À ªÀiÁ» w. UÀ¼ÀÄ ®¨sÀå «gÀÄvÀÛzÉ. 1) E¯ÁSÉAiÀÄ ¥Àj. ZÀAiÀÄ 2) E¯ÁSÉAiÀÄ ªÁ¶ðPÀ ªÀgÀ¢ 3) E¯ÁSÉAiÀÄ £ÁUÀjÃPÀ ¸À£ÀßzÀÄ 4) PÀ£Áðl. PÀ ªÀiÁ» w ºÀPÀÄÌ C¢ü¤AiÀĪÀÄ, ¤AiÀĪÀÄ PÀÄjvÀAvÉ E¯ÁSÉAiÀÄ ¥ÀæPÀluÉUÀ¼ÀÄ 5) ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á ¸ÁªÀiÁ£Àå vÀvÀéUÀ¼ÀÄ 6) gÁdåzÀ°è£À ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ¥ÀnÖ 7) gÁdåzÀ°è£À ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À ªÀ¸ÀÄÛ ¹Üw ¸ÀAQë¥ÀÛ 8) gÁdåzÀ ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À PÁAiÀÄð 1. 14 Computerisation programme and the Futuristic Scenario of the Department : Significant achievement:

ªÉÄÃ¯É £ÀªÀÄÆ¢¹zÀ «ªÀgÀUÀ¼ÀAvÉ, ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉUÉÆAqÀ ¸ÀºÀPÁgÀ ¸ÀA¸ÉÜAiÀÄ DyðPÀ vÀ: SÉÛUÀ¼ÀÄ ªÀÄvÀÄÛ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉAiÀÄ°è UÀÄgÀÄw¹zÀ £ÀÆå£ÀvÉUÀ¼ÀÄ G¯ÉèÃRUÉÆAqÀ ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á ªÀgÀ¢UÀ¼À£ÀÄß ¸ÀAQë¥ÀÛgÀÆ¥ÀzÀ°è ªÉ¨ï ¸ÉÊmï £À°è zÉÆgÀPÀĪÀAvÉ ªÀiÁrgÀĪÀÅzÀj. AzÀ, F «ZÁgÀzÀ°è D¸ÀQÛ G¼ÀîªÀgÀÄ ¸ÀA¸ÉÜAiÀÄ DyðPÀ ¹Üw. AiÀÄ£ÀÄß w½zÀÄPÉƼÀÀÄzÁVzÉAiÀÄ®èzÉ, CAvÀºÀ ¸ÀAWÀzÀ DqÀ½vÀzÀ ¸ÁªÀÄxÀåðªÀ£ÀÄß ¤tð¬Ä¸À§ºÀÄzÁVzÀÄÝ, F «ZÁgÀ ¸À «Äw ¸ÀzÀ¸ÀågÀ°è ªÀÄvÀÄÛ ¸ÀºÀPÁgÀ ¸ÀA¸ÉÜUÀ¼À £ËPÀgÀgÀ°è eÁUÀÈw. AiÀÄ£ÀÄß GAlÄ ªÀiÁqÀÄvÀÛzÉ. C®èzÉ, E¯ÁSÉAiÀÄ £ËPÀgÀ ªÀUÀðzÀªÀgÀ°è ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£Á PÁAiÀÄðªÀ£ÀÄß JZÀÑj. PɬÄAzÀ ¸ÀªÀÄxÀðªÁV ¤ªÀð» ¸À®Ä eÁUÀÈw. AiÀÄ£ÀÄß GAlÄ ªÀiÁqÀÄvÀÛzÉ. » ÃUÉ DqÀ½vÀzÀ°è ºÁUÀÆ ¸ÀºÀPÁgÀ ¸ÀA¸ÉÜUÀ¼À°è ¥ÁgÀzÀ±ÀðPÀvÉAiÀÄ£ÀÄß vÀgÀĪÀ GzÉÝñÀªÀ£ÀÄß ±ÀQÛAiÀÄÄvÀªÁV ªÀÄvÀÄÛ ¸ÀªÀÄxÀðªÁzÀ jÃw. AiÀÄ°è ¥ÀÆgÉʸÀ®Ä EzÀÄ ¸ÀºÀPÁj. AiÀiÁUÀÄvÀÛzÉ. ¢£ÁAPÀ: 14 -11 -2003 gÀAzÀÄ GzÁÏl£ÉAiÀiÁzÀ E¯ÁSÉAiÀÄ ¸ÀºÀPÁgÀ zÀ¥Àðt ªÉ¨ï¸ÉÊmï£À ªÀÄÆ®PÀ ªÀÄÄA¢£À ºÀ®ªÀÅ ªÀµÀðUÀ¼À°è F ªÉÄð£À ¨É¼ÀªÀt UÉAiÀÄ£ÀÄß ¸ÀºÀPÁgÀ ¸ÀAWÀUÀ¼À PÁAiÀÄð¸ÁzsÀ£ÉAiÀÄ ¸ÀAQë¥ÀÛ «ªÀgÀUÀ¼ÀÄ CAzÀgÉ, D¹Û dªÁ¨ÁÝj vÀ: SÉÛ, ªÁå¥ÁgÀ vÀ: SÉÛ ¯Á¨sÀ £ÀµÀÖ vÀ: SÉÛ, DyðPÀ C£ÀÄ¥ÁvÀUÀ¼ÀÄ, ¯ÉPÀÌ¥Àj±ÉÆÃzsÀ£ÉAiÀÄ°è UÀªÀĤ¸À¯ÁzÀ £ÀÆå£ÀvÉUÀ¼ÀÄ (EzÀÝ°è), EvÁå¢ ªÀiÁ» w. UÀ¼À£ÀÄß As stated above the financial statements of the audited co-operative institutions in an abridged form along with lapses pointed out in the audit report are made available on the website. The financial position of the co-operative institution could be ascertained and the capability of the management could be judged by those who are interested and thereby an awareness is created among the members of the committee of management as well as the employees of the co-operative institutions. It also brings awareness among the departmental personnel to carry out their audit work more carefully and with more accuracy and accountability. All these will help in fulfilling the objective of bringing in transparency in administration of the department as well as in co-operative institutions, in a more vigorous and sustained manner. With the inauguration of the website "Sahakara Darpana" on 14. 11. 2003, the vision as envisaged above is being realised. So far abridged Balance Sheet, Trading Account, Profit & Loss Account, Ratio Analysis and defects noticed in audit (if any) are displayed on the website for the following year. Year 2001 -02 1100 Societies. Year 2002 -03 12100 Societies Year 2003 -04 4500 Societies ( upto the end of December 2004)

¢£ÁAPÀ 20. 11. 2004 gÀAzÀÄ UÀÄ®âUÁðzÀ°è £ÀqÉzÀ 51 £Éà CT® ¨sÁgÀvÀ ¸ÀºÀPÁgÀ ¸À¥ÁÛºÀzÀ ¸ÀªÀiÁgÉÆÃ¥À ¸ÀªÀiÁgÀA¨sÀzÀAzÀÄ E¯ÁSÉAiÀÄÄ gÀƦ¹gÀĪÀ ¸ÀºÀPÁgÀ zÀ¥Àðt ªÉ¨ï¸ÉÊmï£ÀÄß PÀ£Áðl. PÀ gÁdåzÀ ªÀiÁ£Àå ªÀÄÄRåªÀÄAwæUÀ¼ÁzÀ ²æà zsÀªÀÄð¹AUï ºÁUÀÆ ªÀiÁ£Àå ¸ÀºÀPÁgÀ ¸ÀaªÀgÁzÀ ²æà Dgï. «. zÉñÀ¥ÁAqÉ, gÀªÀgÀÄ ¢£ÁAPÀ 18. 12. 2004 gÀAzÀÄ Hon’ble Chief Minister of Karnataka Sri. Dharmasingh has viewed the bilingual website SAHAKARA DARPANA which was developed by the Department, on the occasion of closing ceremony of 51 st National Cooperative Week celebration held at Gulbarga on 20. 11. 2004 and the Hon’ble Minister for Cooperation Sri. R. V. Deshpande has also viewed the website on 18. 12. 2004 and they have commended this unique achievement.