Gram Panchayat JanegaonAccounting & Audit
Parameter 14: Accounting Systems, Internal Controls, and Audit Compliance
Accounting & Audit Overview
Audit Status
Up to Date
Last audited: FY 2024-25
Audit Rating
Grade A
Excellent financial management
Pending Objections
2
Minor, under resolution
Software Used
AuditOnline
Digital accounting system
Accounting Systems & Software
AuditOnline Software
Type: Government-approved online accounting system
Implementation Date: April 2024
Trained Staff: Gram Sevak
Features: Double-entry bookkeeping, Real-time reports, Budget tracking
Access: Web-based platform accessible to GP staff and auditors
Manual Registers Maintained
- Cash Book (Daily entries)
- Receipt & Payment Register
- Asset Register (Fixed assets)
- Budget Register (Annual budget)
- Ledger Books (Scheme-wise)
- Bill Register (All bills & vouchers)
- Bank Reconciliation Statement
Financial Reporting Schedule
Monthly: Cash book closing, bank reconciliation
Quarterly: Income & expenditure statement, Budget utilization report
Half-Yearly: Financial position report to Gram Sabha
Annual: Complete financial statements, Annual accounts, Audit preparation
Bank Accounts
Primary Account: State Bank of India (A/c: 12345678901)
MGNREGA Account: Post Office Savings Bank (A/c: 98765432109)
Scheme-Specific Accounts: 3 additional accounts for JJM, PMAY, SBM
Signatories: Sarpanch, Gram Sevak (Joint signatures required)
Internal Financial Controls
Authorization & Approval Process
| Transaction Type | Amount Limit | Authorization Required | Documentation |
|---|---|---|---|
| Routine Expenses (Stationery, Utilities) | Up to ₹5,000 | Gram Sevak approval | Bill, Receipt, Voucher |
| Service Payments (Staff salary, Contracts) | ₹5,000 - ₹50,000 | Sarpanch approval | Bill, Resolution, Voucher |
| Development Works & Procurement | Above ₹50,000 | Gram Panchayat resolution | Resolution, Tender/Quotations, Agreement, Bills |
| Major Infrastructure Projects | Above ₹2 lakh | GP + Technical sanction from BDO/Engineer | Detailed project report, Estimates, Approvals, Work order |
Segregation of Duties
- Bill Preparation: Concerned department staff / Clerk
- Bill Verification: Accountant (checks calculations, budget availability)
- Authorization: Gram Sevak / Sarpanch (as per limits)
- Payment Approval: Sarpanch + Gram Sevak (joint signatures on cheques)
- Entry in Books: Accountant (AuditOnline + Manual registers)
- Bank Reconciliation: Accountant (monthly, reviewed by Gram Sevak)
- Internal Review: Finance Committee (monthly review)
Cash Management
Cash in Hand Limit: Maximum ₹10,000 at any time
Cash Book: Updated daily by Accountant
Physical Verification: Cash counted weekly by Gram Sevak, monthly by Sarpanch
Bank Deposits: Excess cash deposited within 24 hours
Petty Cash: ₹3,000 maintained for small urgent expenses
Audit History & Reports
Recent Audit Reports
| Financial Year | Audit Type | Auditing Agency | Audit Date | Grade/Rating | Report |
|---|---|---|---|---|---|
| 2023-24 | Internal Audit | Zilla Parishad Internal Audit Wing | Jun 2024 | Grade A | Download |
| 2022-23 | Internal Audit | Zilla Parishad Internal Audit Wing | May 2024 | Grade A | Download |
| 2024-25 | Internal Audit | Zilla Parishad Internal Audit Wing | Jul 2022 | Grade B | Download |
| 2023-24 | CAG Audit (Statutory) | Comptroller & Auditor General of India | Sep 2021 | Satisfactory | Download |
MGNREGA Social Audit
| Financial Year | Audit Date | Conducted By | Public Hearing Date | Findings | Report |
|---|---|---|---|---|---|
| 2023-24 | Aug 2024 | Social Audit Unit (SAU) | Aug 25, 2024 | All works verified, minor documentation delays | Download |
| 2022-23 | Aug 2023 | Social Audit Unit (SAU) | Aug 20, 2023 | No major irregularities, quality satisfactory | Download |
Audit Observations & Compliance Status
FY 2023-24 Audit Observations (Internal Audit - Jun 2024)
| Sr. No. | Observation | Severity | Corrective Action Taken | Status |
|---|---|---|---|---|
| 1 | Fixed asset register not updated for FY 2023-24 additions | Minor | Asset register updated with all new assets (computers, furniture) | Resolved |
| 2 | Bank reconciliation for March 2025 submitted late | Minor | Process improved, monthly deadline calendar implemented | Resolved |
| 3 | Supporting documents for 2 bills (stationery) not attached | Minor | Documents traced and filed, checklist introduced for bill processing | Pending final verification |
| 4 | Overall financial management excellent, no major objections | Positive | Appreciated by audit team | - |
Pending Audit Observations (from Previous Years)
| Year | Observation | Amount Involved | Current Status | Expected Resolution |
|---|---|---|---|---|
| 2024-25 | Property tax arrears from 5 defaulters | ₹12,450 | Recovery notices issued, 2 paid (₹5,200 recovered) | Dec 2024 |
| 2023-24 | Verification of completed PMAY houses (3 nos.) pending | ₹1.2 lakh | Joint verification scheduled with BDO office | Nov 2024 |
Budget vs Actual - Audited Financials (FY 2023-24)
Income
| Income Source | Budgeted (₹) | Actual (₹) | Variance | % Achievement |
|---|---|---|---|---|
| Own Revenue (Tax, Fees) | ₹2,50,000 | ₹2,38,500 | -₹11,500 | 95% |
| State Grants (14th FC, SFC) | ₹8,00,000 | ₹8,00,000 | ₹0 | 100% |
| Central Scheme Grants | ₹15,00,000 | ₹14,85,200 | -₹14,800 | 99% |
| MGNREGA | ₹12,00,000 | ₹11,76,300 | -₹23,700 | 98% |
| Other Income (Rent, Interest) | ₹50,000 | ₹56,800 | +₹6,800 | 114% |
| Total Income | ₹38,00,000 | ₹37,56,800 | -₹43,200 | 99% |
Expenditure
| Expenditure Head | Budgeted (₹) | Actual (₹) | Variance | % Utilization |
|---|---|---|---|---|
| Salaries & Allowances | ₹6,50,000 | ₹6,42,800 | -₹7,200 | 99% |
| Office Expenses | ₹1,20,000 | ₹1,15,600 | -₹4,400 | 96% |
| Water Supply & Sanitation | ₹8,50,000 | ₹8,35,200 | -₹14,800 | 98% |
| Roads & Infrastructure | ₹9,00,000 | ₹8,92,500 | -₹7,500 | 99% |
| MGNREGA Works | ₹12,00,000 | ₹11,76,300 | -₹23,700 | 98% |
| Social Welfare Schemes | ₹80,000 | ₹78,400 | -₹1,600 | 98% |
| Total Expenditure | ₹38,00,000 | ₹37,40,800 | -₹59,200 | 98% |
Financial Summary (FY 2023-24)
Total Income: ₹37,56,800
Total Expenditure: ₹37,40,800
Surplus/(Deficit): ₹16,000 (Surplus carried forward)
Budget Utilization: 98% (Excellent performance)
Audit Opinion: "Financial statements present a true and fair view. No material misstatements."
Audit Compliance & Best Practices
Digital Accounting
Status: Fully Implemented
- 100% transactions recorded in AuditOnline software
- Real-time financial position available
- Automatic reports generation
- Cloud backup of all financial data
Internal Audit Mechanism
Status: Active
- Monthly Finance Committee review
- Quarterly self-assessment checklist
- Annual internal audit by Zilla Parishad
- Statutory audit by CAG (every 3 years)
Document Management
Status: Well-organized
- All bills & vouchers filed chronologically
- Year-wise budget files maintained
- Audit reports archived for 10 years
- Digital scanning of key documents
Transparency in Accounts
Status: Public Access Available
- Annual budget displayed on notice board
- Quarterly expenditure reports to Gram Sabha
- Audit reports available for public inspection
- Key financial data on website
Scheduled Audits
| Audit Type | Financial Year | Auditing Agency | Tentative Date | Preparation Status |
|---|---|---|---|---|
| Internal Audit | 2024-25 (Mid-term) | Zilla Parishad Audit Wing | Dec 2024 | Records ready |
| MGNREGA Social Audit | 2024-25 | Social Audit Unit | Aug 2025 | Work in progress |
| Annual Internal Audit | 2024-25 | Zilla Parishad Audit Wing | Jun 2025 | Scheduled |
Accounting & Audit Team
| Name & Designation | Responsibility | Contact | Qualifications |
|---|---|---|---|
| - Accountant |
Maintaining all accounts, AuditOnline data entry, Financial reports | - | - |
| Panchal Mahadev Sittaram Gram Sevak / Secretary |
Financial oversight, Bill authorization, Audit coordination | 8788272656 | - |
| Ramchandra Honaji Rodewad Sarpanch |
Financial approvals, Budget oversight, Audit follow-up | 8806447881 | - |
| - Chairperson, Finance Committee |
Monthly financial review, Budget scrutiny | - | - |