Reports and information to be furnished by auditor to Board.

(1) The auditor shall— (a) report to the Board and to the Government any material impropriety or irregularity which he may observe in the expenditure, or in the recovery of moneys due to the Board, or in the accounts; (b) furnish to the Board such information as it may require concerning the progress of his audit; (c) report to the Chairman any loss or waste of money or either property owned by or vested in the Board caused by neglect or misconduct, with the names of persons directly or indirectly responsible for such loss or waste; and (d) submit to the Chairman a final statement of audited accounts, together with a report on the result of the audit and duplicate copies thereof to the Government, within a period of three months from the end of the year or within such further period as the Government may allow in the behalf. (2) (a) The auditor may disallow every item contrary to law and surcharge the same on the person making or authorizing the making of the illegal payment; and may charge against any person responsible therefor the amount of any deficiency or loss incurred by the negligence or misconduct of that person or of any sum which ought to have been, but is not, brought into account by that person and shall, in every such case, certify the amount due from such person. (b) The auditor shall state in writing the reason for his decision in respect of every disallowance, surcharge or charge and furnish a copy thereof by registered post to the person against whom it is made. (c) If the person to whom a copy of the decision is so furnished refuses to receive it, he shall be deemed to have been duly furnished with the copy, within the meaning of clause (b); and the period of fourteen days fixed in sub-section (4) and (5) shall be calculated from the date of such refusal. (3) For the removal of doubts it is hereby declared that it shall not be open to any person whose negligence or misconduct has caused or contributed to any such deficiency or loss to contend that, notwithstanding his negligence or misconduct, the deficiency or loss would not have occurred but for the negligence or misconduct of some other person. (4) Any person aggrieved by a disallowance, surcharge or charge made under sub-section (2) may, within fourteen days after he has been furnished with a copy of the decision of the auditor, appeal to the Government who shall pass such orders as it thinks fit. (5) Every sum certified to be due from any person by the auditor under this Act shall be paid by such person to the Board within fourteen days after he has been furnished with a copy of the decision of the auditor unless within that time such person has appealed to the Government against the decision under sub-section (4); and such sum if not paid, or such sum as the Government shall declare due, shall be recoverable on an application made by the Board to the Government as if it were an arrear of land revenue. (6) Notwithstanding anything contained in this section, the Government may at any time direct that the recovery of the whole or any part of the amount certified to be due from any person by the auditor under this Act shall be waived if in its opinion, such a course is necessary considering all the circumstances of the case.