Introduction

Article 149 and 151 of the Constitution of India, relevant sections of the Comptroller and Auditor General’s (Duties, Powers and Conditions of Service) Act, 1971 and Regulations on Audit and Accounts- 2007, give the authority to the Comptroller and Auditor General of India for audit of accounts of the Union and of the States and Union territories.

The statutory audit of the receipts and expenditure of the Government of India in relation to Defence Services is carried out by the Defence Audit Department of the Indian Audit and Accounts Department under the Comptroller and Auditor General of India. The office of the Director General of Audit (Navy), New Delhi is a defence field audit office of Indian Audit and Accounts Department   having its Branch Offices at Mumbai, Vishakhapatnam and Kochi. Our offices are primarily responsible for the audit of the receipts and expenditure of Indian Navy, Indian Coast Guard (ICG), Defence Research and Development Organisation (DRDO) and its laboratories (in so far as their activities relate to Indian Navy), Defence Accounts Department and Military Engineer Services executing Navy and ICG works.

We carry out compliance/regularity audit of revenue and capital expenditures of Indian Navy and performance audit of organisations/systems/procedures of Indian Navy, Indian Coast Guard and Navy related DRDO laboratories in accordance with the approved Annual Audit Plan. The audits conducted are statutory audits based on Auditing Standards, Manual Standing Orders (Audit), Performance Auditing Guidelines and other instructions issued by CAG from time to time. The guidelines followed for compliance/regularity audit of  revenue  and capital expenditures are laid in Defence Procurement Manual and  Defence Procurement Procedure respectively.

The office  prepares Annual Audit Report for Union Government (Defence Services), Navy and Coast Guard of  the Comptroller and Auditor General of India for submission to the President of India under Article 151 of the Constitution of India for being laid in both Houses of the Parliament.