SAR Audit Memo

भारतीय लेखापरीक्षा तथा लेखा विभाग
कार्यालय प्रधान निदेशक लेखापरीक्षा (के न्द्रीय), चण्डीगढ़
Indian Audit & Accounts Department

Office of The Principal Director of Audit (Central), Chandigarh
Audit Party,
Camp: Central Expenditure Wing
No: CE/AP / SAR-IIIT Una/2019-20/2020-21/1 Date: 27.01.2021
Subject: Annual Accounts Audit of IIIT Una, for the year 2019-20.
In connection with audit of annual accounts of IIIT Una for the year 2019-20, following records may
please be shown to audit:
1. Cash book(s), General Ledger and Journal for the year 2019-20.
2. Vouchers for the months of April & May 2020.
3. Head-wise details of Grant-in-aid received for the year 2019-20 and Utilisation
Certificates thereof along with relevant files/ records.
4. Details of Contributions towards Corpus/ Capital Fund (Schedule-1)
5. Details of prepaid expenses.
6. Details of Sundry Creditors, Advances Received and Provisions (Schedule-3).
7. Details in respect of Schedule 8: Advances a) on Capital Account b)Prepayments c)

Security Deposits d) Bank Interest
8. List of saving bank accounts in the format given below:-
Sl. No. Name of Bank Particular Balance as Balance as Interest

Bank Account / Head on on received
No. (i.e. Govt. 31.03.2020 31.03.2020 during the
Grant, as per Cash as per Bank year
UGC Book Pass Book
Grant,
Project
etc.)
9. Bank Reconciliation Statements for the balances as on 31.03.2020.
10. FDRs register alongwith the details of FDRs in the format given below:-
Sl. Bank FDR Particular/ Date of Date of Interest Interest

No. No. Head Investment Maturity/ received accrued for
Encashment during the year
the year 2019-20
2019-20 (along
with the
bank
statements)
11. List of disputed claims and legal cases as on 31.03.2020.
12. Details of statutory dues payable and actually paid during the year 2019-20.
13. Fixed Assets Register, Inventory Register and Physical verification Reports of the Fixed
Assets and inventories for the year 2019-20.
14. Library books register indicating total number of books, physical verification reports and
details of books/ on-line books/ journals purchased during the year 2019-20.
15. Detail of items written-off during the year 2019-20.
16. Internal Audit Report(s) for the year 2019-20.
17. Details of funds deposited with agencies/contractors/ consultants and expenditure

incurred by the concerned agency upto 31.03.2020 along-with details of works in
progress and completed (Construction Works), Physical Progress files/ correspondence
files.
18. Agenda & Minutes of meetings of Executive Council, Senate, Finance Committee and
Building Works Committees held during the year 2019-20.
19. Record related to compliances made in respect of objections issued during the previous
year’s Certification Audit Report.
Above information/ records may please be furnished expeditely to facilitate the timely and
smooth execution of Audit work.
Sr. Audit Officer
To
The Registrar,
IIIT Una
प्लाट न. 20-21, सेक्टर - 17 ई, चण्डीगढ़ – 160017 Plot No. 20-21, Sector-17E, Chandigarh – 160017
दूरभाष/ Tel.No. 0172 – 2782020 फै क्स/ FAX No:0172 – 2782021 / 2783974 ई-मेल/ Email:pdacchandigarh@cag.gov.in

Audit Party,
No: CE/AP / SAR-IIIT Una/2019-20/2020-21/2 Date: 27.01.2021
Following record/information in regard to financial year 2019-20 may please be furnished at the
earliest:
1. Whether the accounts have been approved/ adopted by the Executive Council ? If so, copy of
resolution/ minutes of the authority approving the accounts may be furnished
2. Date of presentation of previous year separate audit report before both the Houses of Parliament
in Lok Sabha and Rajya Sabha.
3. Internal Audit
a) Whether the Institute has prepared its Internal Audit Manual?
b) Whether the scope of internal audit defined and ensures independence of the Internal Audit
from accounting functions?
c) Scope of Internal Audit and written programmes, if any, followed by the Internal
Auditor/Audit team?
d) Internal Audit Reports, if any, and follow up actions taken on Internal Auditor’s reports?
4. Internal Control
a) Whether the Institute has prepared its Accounting Manual?
b) Whether proper delegation of power is there and that is adhered to dealing with cash, stocks
and other valuables. Whether Security deposits/ fidelity guarantees obtained in respect of employees
handling valuables such as cash and stocks?
c) Plan of rotation of duties of employees dealing with cash, stocks and other valuables?
d) Whether the Register for recording issue of cheques has been maintained?
e) Whether register/ list of title deeds for the landed properties and buildings has been
maintained?
f) Record maintained in respect of advances given to employees, interest chargeable

thereon, recovery affected, net outstanding amount, etc.
5. Record relating to Fixed Assets
a) Whether register of Fixed Assets has been prepared as per GFR Form-40?
b) Whether physical verification of fixed assets has been conducted as per periodicity, and if not,
since when it is conducted?
c) Whether shortage/ excess, if any, worked out and action taken accordingly?
6. Record relating to Inventory
a) Whether register of Inventory/ consumables such as stationery, chemicals and spare parts has
been prepared as per GFR Form 41?
b) Whether physical verification of Inventory/ consumables has been conducted during the year or
not, and if not, since when it is conducted?
c) Whether shortage/ excess, if any, worked out and action taken accordingly?
7. Record relating to Library
a) Whether physical verification of library books has been conducted as per periodicity, and if not,
since when it is conducted?
b) Whether shortage/ excess, if any, worked out and action taken accordingly?
8. Whether the Institute has any non-government Provident Funds? If so, whether the Investments of
these made investment of Provident fund Balances as per pattern of investment prescribed by the
Ministry of Finance?
Above information/ records may please be furnished expediately to facilitate the timely and smooth
execution of Audit work.
Sr. Audit Officer
To
The Registrar,
IIIT Una

Audit Party,
No: CE/AP / SAR-NITH/2019-20/2020-21/3 Date: 27.01.2021
Subject: Assurance for Bank Balances and Investments
Kindly arrange to furnish the details of bank balances and investments in respect of all accounts held by
IIIT Una for the year 2019-20 in the following format duly certified by the bank and the Account
officer on priority:-
A. Bank Accounts:-
Sr No Name of the Saving/Current/Other Nature of the Whether

Transactions Operative/Dormant
Bank (Pls.Specify)
B. Fixed/ Term Deposits /CLTDs
Sr. Name of the Bank Amount Period
In respect of Dormant Accounts the nature of account and period of in-operation may also be
specified.
Sr. Audit Officer
To
The Registrar,
IIIT Una

Audit Party,
Balance Sheet
Income & Expenditure Account
Academic Receipt: Rs 7.64 crore (Schedule 9)
Tuition fees: Rs 6.88 crore
Above includes Tuition fees of Rs 3.36 crore collected for second semester i.e. January to June 20.
Thus Tuition fees of April, May, June 2020(Pertaining to accounting year 2020-21) was accounted for
in the balance sheet. This is in contravention to the accrual basis of accounting.
As such there is an overstatement of Income and understatement of liability on account of pre paid
tuition fees by Rs 1.68 crore each.
Facts and figure may be verified and comments if any, may be offered to audit.
Sr. Audit Officer
To
The Registrar,
IIIT Una

Audit Party,
Balance Sheet
Application of Funds
Current Assets : (Schedule 7)
Stock : nil
Expenditure on purchase of chemicals, glassware, publications and other stores is accounted

as revenue expenditure, except that the value of closing stocks held on 3 I" March is set up as
inventories by reducing the corresponding Revenue Expenditure on the basis of information
obtained from Departments. They are valued at cost.
However the Institute has shown nil stock in Balance Sheet. This is in contravention to the
Formats of Financial Statements for Central Higher Educational Institutions prescribed by
MHRD.
Sr. Audit Officer
To
The Registrar,
IIIT Una




Audit Party,
Balance Sheet
Sources of Funds
Current Liabilities and Provisions:
The Institute has prepared Schedules: Schedule 3(a), 3(b) showing i.e. Schedule showing
details of the “Receipts against sponsored projects, sponsored fellowships & scholarships and
other funds” respectively but the same have not been prepared properly as no figures have not
been incorporated in the said Schedules as per the requirement of prescribed format of
accounts for Central Educational Institutions.
Currently Biotechnology Industry Research Assistance Council Project(BIRAC Project) is

still running however Institute did not incorporated any figures related to project in the
Schedule 3(a), 3(b).
Comments if any, may be offered to audit.

Sr. Audit Officer
To
The Registrar,
IIIT Una
Audit Party,


Balance sheet
Sources of Funds
Schedule 3(c) Unutilized Grants Rs 20.65 Crore.
Advance of Rs 20,70,56,378 had been made to CPWD. Out of this advance, an expenditure
of Rs 8,47,013 had been incurred. Balance advance of Rs 20,62,09,365 had been shown as
utilized, instead of showing it as liability (unutilized grant).
Comments, if any, may be offered to Audit.
Sr. Audit Officer
To
The Registrar,
IIIT Una



Audit Party,


Balance sheet
Sources of Funds
Schedule 1 A Capital Funds: Rs 66.84 core

Institute has booked whole Capital Grants received Rs 20.81 crore (MHRD Grant Rs 11 crore
and State Grant Rs 9.81 crore) during the year as utilized for Capital Expenditure. Whereas as
per Schedule 4 Capital Expenditure was Rs 4,58,81,155 crore ( Rs 3,71,98,382 and Rs
86,82,775 ). Corrections in Schedule 1 A needs to be done accordingly.
Comments, if any, may be offered to Audit.
Sr. Audit Officer
To
The Registrar,
IIIT Una





Audit Party,
Balance Sheet
Institute has shown Tuition fees collected from the students as Rs 6.88 crore in the Balance Sheet
whereas as per the records Tuition fees collected was Rs 6.73 crore. As such there is an overstatement
of Income and Tuition Fees by 0.15 crore each.
Sr. Audit Officer
To
The Registrar,
IIIT Una
दूरभाष/ Tel.No. 0172 – 2782020 फै क्स/ FAX No:0172 – 2782021 / 2783974 ई-मेल/ Email:pdacchandigarh@cag.gov


Audit Party,
Balance Sheet
Institute has shown Tuition fees collected from the students as Rs 6.88 crore in the Balance Sheet
whereas as per the records Tuition fees collected was Rs 6.73 crore. As such there is an overstatement
of Income and Tuition Fees by 0.15 crore each.
Sr. Audit Officer
To
The Registrar,
IIIT Una
Audit Party,


General
Details of Bank Accounts containing the amount held in respect of various head such as Grant
Account, Academic fee, Corpus Fund Sponsored Project, Deposits etc. were not given by way of a
Annexure to Schedule 7 as prescribed in the Formats of Accounts applicable to the Institute.
Comments if any may be offered to audit.
Sr. Audit Officer
To
The Registrar,
IIIT Una
Audit Party,


Balance Sheet
Application of Funds
Academic Receipt: (Schedule 9)
Institute has booked Hostel fees of Rs 80,000/ under Schedule 13 as Income from Land & Buildings
under sub head Hostel Room Rent where as it has to be booked under Schedule 9 as Academic
Receipt under Fees from students-Other fees. As such Academic Receipts were understated and
Income from Land &Buildings was overstated by Rs 80,000/ each.
Sr. Audit Officer
To
The Registrar,
IIIT Una
Audit Party,


General
General Financial Rule 230(8) of GFR 2017 provides that, all interests or other earnings against Grant
in aid or Advances (other than reimbursement)released to any Grantee institutions should mandatorily
remitted to the Consolidated Fund of India immediately after finalization of the accounts. However,
interest earned by the Institute on the Grant received from the Central Govt./State Govt. has not be
ascertained and credited to the Grant funds/remitted to Consolidated Fund of India.
Further this amount is not quantifiable as for the Govt. Grants, Academic receipts such as Fees etc.
and Sponsored Projects; Institute is maintaining single bank accounts. No separate bank account was
maintained for Government Grants.
Sr. Audit Officer
To
The Registrar,
IIIT Una

SAR Audit Memo

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भारतीय लेखापरीक्षा तथा लेखा विभाग

कार्यालय प्रधान निदेशक लेखापरीक्षा (के न्द्रीय), चण्डीगढ़

Indian Audit & Accounts Department

No: CE/AP / SAR-IIIT Una/2019-20/2020-21/1 Date: 27.01.2021

2. Vouchers for the months of April & May 2020.

4. Details of Contributions towards Corpus/ Capital Fund (Schedule-1)

5. Details of prepaid expenses.

6. Details of Sundry Creditors, Advances Received and Provisions (Schedule-3).

7. Details in respect of Schedule 8: Advances a) on Capital Account b)Prepayments c)

8. List of saving bank accounts in the format given below:-

Sl. No. Name of Bank Particular Balance as Balance as Interest

Sl. Bank FDR Particular/ Date of Date of Interest Interest

11. List of disputed claims and legal cases as on 31.03.2020.

15. Detail of items written-off during the year 2019-20.

16. Internal Audit Report(s) for the year 2019-20.

17. Details of funds deposited with agencies/contractors/ consultants and expenditure

Sr. Audit Officer

Indian Audit & Accounts Department

No: CE/AP / SAR-IIIT Una/2019-20/2020-21/2 Date: 27.01.2021

a) Whether the Institute has prepared its Internal Audit Manual?

a) Whether the Institute has prepared its Accounting Manual?

f) Record maintained in respect of advances given to employees, interest chargeable

5. Record relating to Fixed Assets

6. Record relating to Inventory

7. Record relating to Library

Sr. Audit Officer

Indian Audit & Accounts Department

No: CE/AP / SAR-NITH/2019-20/2020-21/3 Date: 27.01.2021

Subject: Assurance for Bank Balances and Investments

Sr No Name of the Saving/Current/Other Nature of the Whether

B. Fixed/ Term Deposits /CLTDs

Sr. Name of the Bank Amount Period

Sr. Audit Officer

Indian Audit & Accounts Department

No: CE/AP / SAR-NITH/2019-20/2020-21/4 Date: 01.02.2021

Income & Expenditure Account

Academic Receipt: Rs 7.64 crore (Schedule 9)

Tuition fees: Rs 6.88 crore

Sr. Audit Officer

Indian Audit & Accounts Department

No: CE/AP / SAR-NITH/2019-20/2020-21/5 Date: 01.02.2021

Current Assets : (Schedule 7)

Expenditure on purchase of chemicals, glassware, publications and other stores is accounted

Sr. Audit Officer

भारतीय लेखापरीक्षा तथा लेखा विभाग

Indian Audit & Accounts Department

भारतीय लेखापरीक्षा तथा लेखा विभाग

Indian Audit & Accounts Department

No: CE/AP / SAR-NITH/2019-20/2020-21/6 Date: 01.02.2021

Current Liabilities and Provisions:

Currently Biotechnology Industry Research Assistance Council Project(BIRAC Project) is

Comments if any, may be offered to audit.

भारतीय लेखापरीक्षा तथा लेखा विभाग

Indian Audit & Accounts Department

No: CE/AP / SAR-NITH/2019-20/2020-21/07 Date: 01.02.21

Schedule 3(c) Unutilized Grants Rs 20.65 Crore.

Comments, if any, may be offered to Audit.

Sr. Audit Officer

Indian Audit & Accounts Department

भारतीय लेखापरीक्षा तथा लेखा विभाग