(1) The accounts of every Gram Panchayat shall be audited annually in such

manner as may be prescribed.

1. (2) The audit shall be carried out by the prescribed authority or such other officer as the Administrator may appoint in this behalf and the prescribed authority or other officer shall within one month of the completion of the audit , forward copies of the audit report to the Chief Executive Officer and the Gram Panchayat.
2. (3) The Chief Executive Officer may, after considering the report and after making such further enquiry as he may consider necessary , disallow any item which appears to him contrary to law and surcharge the same on the person making or authorising the illegal payment and shall-
   • (a) if such person is a member of the Gram Panc h ayat, proceed against him in the manner as specified in sub-sections(2) and ( 3) of section 50; and
   • (b) if such person is not a member of the Gram Panchayat, obtain the explanation of the person and direct such person to pay to the Gram Panchayat the amount surcharged within a specified period and if the amount is not paid within the specified period , the Chief Executive Officer shall cause it to be recovered as an arrear of land revenue and credit it to the Gram Fund referred to in sub - section( 1) of section 35.
3. (4) Any person aggrieved by an order of the Chief Executive Officer under sub- section
4. (3) may, within thirty days of the date of order, prefer an appeal to the Secretary Panchayat whose decision thereon shall be final.
5. (5) Social Audit of the major works being carried out by tie Gram Panchayat shall be organised as may be decided by the Director Panchayat from time to time and the report of such audit whenever carried out shall be submitted to the Administrator by Director Panchayat along with his comments. Administrative 46. (1) Every Gram Panchayat shall submit annually to the Chief Executive Officer a report . report on the administration of the Gram Panchayat during the previous year.
6. (2) The report shall be prepared by the Panchayat Secretary and after it is approved by the Gram Panchayat , shall be forwarded to the Chief Executive Officer with a copy of the resolution of the Gram Panchayat thereon.
7. (3) The annual administration report ofthe Gram Panchayat shall contain an introductory section with basic statistics about the Gram Panchayat and data related to devolution of functions, finances, functionaries and performance of its duties , functions and obligations.
8. (4) The Chief Executive Officer shall forward the annual administrative report through Director Panchayat along with his comments to the Administrator.