Chapter IX Chapter IX

Accounts, Audit, Inspection and Returns

Every educational institution receiving grants out of State funds and other sources shall maintain accounts in such manner and containing such particulars as may be prescribed.

1. (1) The accounts of every educational institution receiving grants out of State funds shall be audited at the end of every academic year in such manner, after following such procedure and by such authority, officer or person as may be prescribed and different authorities, officers or persons may be prescribed for different classes of educational institutions. (2)
   • (a) The prescribed authority, officer or person shall have full access to the account books and other documents required to be maintained by the educational institution in respect of grants received by it out of State funds and shall send a copy of the report on the audit of the accounts under sub-section
2. (1) to the competent authority which shall forward the report to the educational agency.
   • (b) The educational agency shall, within such time as may be prescribed, submit that report together with the comments of that agency to the competent authority.

1. (1) The competent authority shall have the right to cause an inspection of, or inquiry in respect of, any educational institution, its accounts, its buildings, laboratories, libraries, workshops and equipment and also of the examinations, teaching and other work conducted or done by the institution to be made by such person or persons as it may direct and to cause an inquiry to be made in respect of any other matter connected with the institution and the educational agency shall be entitled to be represented thereat.
2. (2) The competent authority shall communicate to the educational agency the views of that authority with reference to the result of such inspection or inquiry and may after ascertaining the opinion of the educational agency thereon, advise that agency upon the action to be taken.
3. (3) The educational agency shall report to the competent authority the action, if any, which is proposed to be taken or has been taken upon the results of such inspection or inquiry. Such report shall be furnished within such time as the competent authority may direct.
4. (4) Where the educational agency does not, within a reasonable time, take action to the satisfaction of the competent authority, that authority may, after considering any explanation furnished or representation made by the educational agency, issue such directions as that authority deems fit; and the educational agency and the head of the institution shall comply with such directions and shall be responsible for the implementation of every such direction.

Every educational agency shall within such time or within such extended time as may be fixed by the competent authority in this behalf, furnish to the competent authority such returns, statistics and other information as the competent authority may, from time to time, require.