NORTH DELHI MUNICIPAL CORPORATION

INTERNAL AUDIT DEPARTMENT

SADAR PAHAR GANJ ZONE

M.C.PRY.SCHOOL,
RAM NAGAR
NEW DELHI.110055

No. F________/IAD/ZAP/SPZ/2016/_____ Dated:-___________

Sub:- Physical verification and test check audit report on accounts of CAMO/RMS, Poly.Clinic,
Sadar Bazar, Sadar Paharganj Zone for the period from 01.4.2012 to 27.8.2015.

INTRODUCTION:-

The I.A.R. on the accounts of CAMO/RMS, Poly.Clinic,S P Zone. was conducted by Zonal
Audit Party /S.P.Zone comprising of Sh.Sandeep Kumar, A.O, Sh. Pradeep Rawat, A.A.O, Sh.Subhas
Chand Mishra, Accounts Asstt., Sh. Satish Chand Sharma, UDC, & Smt. Rama LDC. The audit was
conducted during the period w.e.f. 27.8.2015 to31.08.2015

Dr. Akshay Kumar was holding the post of CAMO/RMS,Poly. Clinic, (SPZ) at the time of audit.

AIMS AND OBJECTIVES

The primary aim of the department is to provide best possible treatement to the
patient/pensioners along with providing them medicine and maintenance of record in this
regard.

HOD/H.O.S/D.D.O’s/CASHIERS

The following officials have served as HOD/HOD/DDO/Cashier during.

S. No. HOD Head of Office DDO Cashier

S/Shri S/Shri/Ms. S/Shri/Ms. S/Shri/Ms.
Dr. D. K. Seth, Dr. Akshay Dr. Akshay -----------
DHA Kumar, CAMO Kumar, CAMO

Budget Allocation and Expenditure for the year. 2012-23 tp 2015-16.

Budget Year Expenditure up to Excess/Saving

year ending
Not Provided

Statutory Audit:-

No audit report of statutory audit was provided to the audit party.

Vacancy Statement: list provided by the department as under:-

S. No. Name of Post No. of Filled Vacant

Posts
Sanctioned
1 RMS 01 01 00
2 Specialist 07 01 06
3 GDMO 03 05 00
4 UDC 01 01 00
5 LDC 01 00 01
6 Pharmasist 05 04 01
7 Lab Assistant 01 00 01

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 8 ANM 05 03 02
9 X-Ray Technician 01 00 01
10 X-Ray Assistant 01 01 00
11. Driver 01 00 01
12. MRC 01 00 01
13. Lab Technician 01 01 00
14. Dark Room Assistant 01 00 01
15. Peon 01 01 00
16. Ward Aya/ Boy 10 07 03
17. Cleaner 01 00 01
18. Safai Karmchari 03 03 00
19 Chowkidar 02 02 00
20. Dresser 01 01 00
21. Security Guard 03 01 02
TOTAL: 51 32 21

Maintenance of Records:-

Since most of the chain of records were either not maintained by the department concerned or
not produced to audit, the maintenance of records by the department concerned cannot be considered as
satisfactory for the period covered by the audit.

Old Audit Report:-

As the CAMO, Sadar Pahar Ganj department has been transferred to S P Zone from City Zone
after 2007 under delimitation of municipal wards, and this is first audit taken by the ZAP/SPZ so there
is no previous recovery in our records.

Current Audit Report

During the course of current audit, 01 audit Memo highlighting various

regularities/discrepancies was issued. Department has shown no compliance to settle this audit Memo.
So all the audit objections have been incorporated in current audit report.

Details of Current Recovery: (Audit Period 01.4.2012 to27.8.2015.)

Para No.’s Total Recoveries (in Rs.) Amount Recoveries Balance (in Rs.)
02 & 03 Rs. 240/- Nil Rs. 240/-
Total

The Internal Audit Report has been prepared on the basis of information furnished and
records produced by the department concerned.

This party disclaims any responsibility for any misinformation and/of non-information on
the part of audittee.

IAO/ZAP/SPZ

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PART-II (CURRENT AUDIT)

The following records were requisitioned for Audit/Scrutiny vide letter No.IAD/ZAP/SPZ/2015/01
dated 27.8.2015:

1. Stock Books
2. Indent/Challan
3. PF & SB with ECR.
4. Imprest Register.
5. Property Register/register of theft, fire, loss of Embezzlement etc.
6. Unserviceable article register.
7. Dismantle article register.
8. Log Book of Vehicle
9. Property Register.
10. Livery Register.
11. Uniform register.
12. Instrument register.
13. Daily consumption registers.
14. Donation accounts register.
15. G-8 Books along with challan and G-8 issue register.
16. Cash Book.
17. Contingency register.
18. Disbursements register.
19. Postage account registers.
20. Empty container register.
21. Injection registers.
22. Attendance registers along with biometric attendance sheets.
23. Budget register.
24. Temporary Advance register.
25. Auction file.
26. Circular file.
27. Bank reconciliation statement.
28. Demand register with copies of demand release.
29. Latest External report.
30. Children Education Assistance.
31. Medical re-imbursement register.
32. Any other auditable record required during the course of audit.

PARA NO.1: NON PRODUCTION OF RECORDS:

Out of the above requisitioned record, record at serial number 01, 02, 03(P), 04, 09, 13, 16, 22,
23, 25 and 26 were produced to audit. Rest of the records either is not being maintained or the
production of the same appears to have been avoided, reasons to which may be explained to audit. It is
further observed that no complete/chain/linked record has been produced with regards to the record so
produced to audit in spite of repeated efforts, the reasons best known to the deptt.
However, as a result of test check of record whatever produced to audit the following
irregularities/omissions/errors/lapses etc. come to the notice of audit which are given below:

PARA NO.02 : SHORTAGE NOTICED AS A RESULT OF PHYSICAL VERIFICATION OF

STORE ITEMS (LOSS OF RS.150/-)

During the physical verification of Store, the items as tabulated below were found short. The
shortage comes to Rs.150/- (approx.), which may be made good by way of depositing the cost of
articles shown against each item, in the Municipal Treasury through G-8 Book/ Challans and intimate
to audit.

S.No. Item Name SB page no. Qty. as per SB Qty. as per actual Short Amount
1 Spirit 183 01ltr. nil 01ltr. Rs.150/-
Total Rs. 150/-

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 Store In charge may also justify the reason for items found short as shown above table in the
store to audit.

PARA NO. 03: SHORTAGE NOTICED DURING CASTING OF SB (LOSS OF RS.90/-)

During the casting of the SB the items as tabulated below was found short. The shortage comes
to Rs.90/- (approx.), which may be made good by way of depositing the cost of articles shown against
each item, in the Municipal Treasury through G-8 Book/ Challans and intimate to audit.

S.No. Item Name SB page Opening Issue Closing Short Amount

no.& Balance Balance
date(2014-
16)
1 Tab. Tetriphim 95/25.8.2015 1050 30 750 270 Rs.90/-
18mg.
Total

PARA NO.-04:IRREGULARITIES IN THE MAINTENANCE OF BUDGET WATCH

REGISTER.( 2012-13, 2014-15 &2015-16 PRODUCED ONLY).

Budget register is maintained to record the expenditure incurred on various items of

expenditure under different heads of account. It should be maintained in prescribed standard form to
enable to keep watch over the progressive expenditure under different heads of account. During the
course of audit, the following irregularities were noticed in the maintenance of Budget Register:-
1. Budget Register was not complete page numbered and certificate to the effect that the register
contains pages 1 to____was not given and initialed by the official maintaining it and by any
superior.
2. It was not maintained in the prescribed standard form. The complete detail of expenditure such
as dates, description of the expenditure, sanction/approval of the authority, voucher/bill no etc.
was not found.
3. Detail of Budget allocated under different heads of accounts from the HQ to the Deptt, and also
detail of subsequent allocations should be recorded in the register for ready reference so as to
keep a watch over the expenditure but the required detail was not given in the register.
4. Entries made in the budget register were not initialed by the official maintaining it and also by
the DDO.
5. Cuttings/ Overwriting was not attested by the competent authority.
6. No budget allocation in Head of Account VI-B-P-I shown mentioned in the register.
7. Under the Head of Account 42/ 1193 (Telephone Charges), Rs. 20,000/- allotted to the
department but expenditure were made in exces of allotted budget for the year 2014-15.

DDO is responsible for the control of expenditure against the sanctioned budget placed at his
disposal. No expenditure should be incurred during the financial year on any work/item not covered
by the budget grant. If any excess over the allocation of budget is apprehended, the deptt. should
obtain additional allocation before incurring the excess expenditure. Similarly all the anticipated
savings should be surrendered by the prescribed date, before the close of the financial year.
Non maintenance of the Budget Register in accordance with the prescribed procedure be
explained to audit

PARA NO. 05: NON-MAINTENANCE /NON-REPAIR OF X-RAY MACHINE.

During the course of audit of Store and X-Ray department of the clinic it came to the notice of
audit party that X-Ray machine was out of order/ not working since long time and needs some repair
which cost Rs. 4,000/-(Rs. Four thousand only) approximately.

It has been observed by audit that there was sufficient budget under H/A contingency and
miscellaneous, under which above said expenditure could be booked and seems that no efforts was
being done by the department to repair the machine, due to which one X-Ray Technician /Assistant
sitting idle and patient may face problems
. It may justify to audit for non-maintenance/ non-repair of X-Ray machine.
An audit memo vide no. 02/IAD/ZAPSPZ/2015 dated 02.9.2015 issued to the department in
this regard but no reply has been made by department till date.
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PARA NO. 06: IRREGULARITIES/ DISCREPANCIES IN PENSIONERS/ FAMILY PENSION
REGISTER.

During the scrutiny of pensioners/family pension register for the period 01.4.2012 to 31.3.2015,
so produced to audit, the following irregularities/ discrepancies were noticed by audit:-
1. No PPO number of pensiones was shown in the register.
2. No residential proof/ record of the pensioner was shown in the register to verify either
pensioner is residing within the jurisdiction of this ward or not.
3. In most of the cases it was noticed that medicines were purchased to pensioners but signature of
the same were not obtained as recipient of that medicine.
4. There was repetition of serial number of the entries found in the register. These numbers were
mentioned at s.no. 07, 11, 20, 36, 33, 32 and 31 entered twice.
5. Department may justify the actual dependent on pensioners other than spouse as there was no
check regarding actual dependant found in the register by the supervisory authority in this
regard to prevent the fake dependant, if any.
6. Register was not in prescribed format.
7. Register was not paged numbered and no paging certificate given by the competent authority.
8. Cutting/ Overwriting on the serial numbers (for example s.no. 227, 228 to 238 etc,) not attested
by the competent authority.
Reason for the above said irregularities/ discrepancies may clarify to audit at earliest.
An audit memo vide no. 03/IAD/ZAPSPZ/2015 dated 02.9.2015 issued to the department in
this regard but no reply has been made by department till date.

PARA NO. 07: IMPROPER MAINTENANCE OF CASH BOOK.

On scrutiny of Cash Book for the period Novermber 2013 to the date of this audit, it was observed
by the audit party that the said cash book was not properly maintained by the department as the
following irregularities were found in it:-

1. Cash Book was not complete page numbered and certificate to the effect that the register
contains pages 1 to____was not given and initialed by the official maintaining it and by any
superior.
2. It was not maintained in the prescribed standard form. The complete detail of expenditure
such as dates, description of the expenditure, sanction/approval of the authority,
voucher/bill no etc. was not found.
3. No daily/ monthly Income & Expenditure statement shown in the cash book.
4. No red pen entry were being made for cancelled cheques and no signature obtained from
DDO found available in the cancelled cheques.
5. Issue of cheques found not used in serial number. For example cheque no. 000644 issued
before cheque no. 000643.
The above said irregularities may clarify to audit.

PARA NO.08: IRREGULARITIES/ DISCREPANCIES IN AUCTION OF MEDICAL

INSTRUMENT ITEMS:

During the scrutiny of Auction file so produced by the department for the auction on dated
03.6.2015 (First file) and 19.11.2013 (2nd file) as mentioned by the department on these files for the
auction of medical instrument items, audit noticed the following irregularities/ discrepancies in auction
of the items:

In the first auction file relates to auction of Ultra sound machine & Dental chair. In this auction
file no original noting found by audit. Only photocopies of the noting found in the file.
In the 2nd auction file relates to auction of various medical instruments (157 items) mentioned
in the page no. c-1 to c12 of the file. Audit is in observation that how the reserve price of Rs. 3,000/-
fixed by the department without any book value shown of these various items in the list and any
weightage of these items. The method in fixation of the reserve price by the department is not known
by audit. It was also observed that no page was numbered after page no. 14 in the correspondence side
of the file.
The above said irregularities/ discrepancies in auction of the items may clarify to audit.

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PARA NO. 09: IMPROPER MAINTENANCE OF MAIN INSTRUMENTS/PROPERTY
REGISTER.

1. The register provided to audit was started w.e.f 12.5.1993 onward.

2. Register was not complete page numbered and certificate to the effect that the register contains
pages 1 to____was not given and initialed by the official maintaining it and by any superior.
3. No periodic check done by the superior authority.
4. No separate register was made for the unserviceable/ auction able items and kept in this
register.
5. The property/ instruments shown in the register were issued to the concerned section of the
clinic and balance shown nil. Is a totally wrong procedure as property cannot be shown as nil in
the register until it is existing and till the auction of the same.
The above said observations of the audit may be clarified and justified by the department.

PARA NO.10:AUDIT OBSERVATIONS ON ACCOUNT OF PERSNAL FILE AND SERVICE

BOOK.

On test check of P.Files & S. Books of the employees named 1- Sh. Jagdish Chand Sharma s/o Sh.
Ram Swaroop Sharma, Chowkidar, 2- Smt. Mamta w/o Sh. Azad SK, 3-Dr. Rashmi S.Chander w/o Sh.
Subhash Chander and 4- Sh. Pritam Singh s/o Sh. Om Prakash, as provided by the department the
following common irregularities in maintenance of these files were noticed by audit:-

a) Cutting/ overwriting found in the leave account without any attestation by the competent
authority.
b) Annual Increment entries were not attested by DDO.
c) Service detail found left blank in SB-II.
d) No Signature of the incumbent on the A/Increment found in the many places.
e) Service Books found in bad/ torn condition.
f) P. Files were found not properly paged number and proper maintained.
g) Signatures of dealing assistant/Accountant were not available in most of the payment of arrear
and bonus.
h) E/Leave and M/ Leave account of these employees was not up to dated.
i) Latest photos of the incumbent after completion of every 10 years also not paisted in the
S.Book.
j) Most of the columns of page no. 04 of the S.Book were not filled up and left blank.

PARA NO.11: OTHER IMPORTANT AUDIT OBSERVATIONS:

1. In Stock Register 2014-15, Phenyl 15x5 ltr, entered at page no. 172 (Medicine Stock Book) and
further shown brought forward in the Stock Register (General) 2014-15 at page no. 18 ie
department made duel entry of the single item.
2. Cuttings/Overwriting was found in many places of SB without any attestation by superior
authority, for example at page no. 08, 15, 25, 27 in the SB 2014-15.
3. It seems that some entries added/made in the SB 2014-15 on the later stage between the
existing entries as mentioned below:
Page no. 06 dated 09.01.2015, page no. 30 dated 13.02 and page no. 33 dated 18.11.2014.

INTERNAL AUDIT OFFICER

ZAP/ S.P.ZONE

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 NORTH DELHI MUNICIPAL CORPORATION
INTERNAL AUDIT DEPARTMENT
SADAR PAHARGANJ ZONE

No. F______IAD/ZAP/SPZ/2016/ Dated:

Subject:Physical verification and test check audit report on accounts of CAMO/RMS,

Poly.Clinic, Sadar Bazar, Sadar Paharganj Zone for the period from 01.4.2012 to 27.8.2015.

……………….

Please find enclosed herewith the Audit Inspection Report on account of CAMO/RMS Poly
Clinic Sadar Bazar, Sadar Paharganj Zone for the period from 01.04.2012 to 27.08.2015. Para wise
replies/comments be sent to the office of the undersigned within a period of the four weeks of the
receipts.

Internal Audit Officer

ZAP/ S. P. Zone
CAMO/S. P. Zone

Copy to:
1 Dy.Commissioner/S.P.Zone, for information pl.
2 D.C.A. (I.A.D.) for information pl.

Internal Audit Officer

ZAP/SPZ.

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