PUBLIC ACCOUNTS COMMITTEE (PAC)

NEWS: PAC pulls up government for slow implementation of SANKALP scheme

Public Accounts Committee (PAC)

• A Parliamentary Financial Committee
• Examines CAG reports
• Ensures public money is spent properly
• Established in 1921
• Based on recommendations of the Montagu-Chelmsford Reforms (1919)
• It is the oldest parliamentary committee in India

Key Features:

• 22 members (15 Lok Sabha + 7 Rajya Sabha)
• Term of PAC = 1 year
• Chairperson usually from Opposition (currently mentioned: K.C. Venugopal)
• Reports to Parliament
• Aim: To ensure financial accountability of the Executive to the Legislature.

Key Functions of PAC

• Examines CAG Audit Reports-: CAG Audit → PAC Examination → Parliament Accountability
• PAC checks whether: Money was spent for the purpose approved by Parliament, no misuse or diversion of funds
• Examinesàlosses in government departments, corruption-related expenditure issues
• Post-facto financial scrutinyàexamines spending after the money has been spent