Chapter V BUDGET, ACCOUNTS AND AUDIT

CHAPTER V 1[BUDGET, ACCOUNTS AND AUDIT] 2[31A. Trustees of certain trusts to submit budget to Charity Commissioner.- (1) A trustee of a public trust which has an annual income exceeding the prescribed amount shall, at least one month before the commencement of each accounting year, prepare and submit in such form or forms as may be prescribed, a budget showing the probable receipts and disbursements of the trust during the following year to the Charity Commissioner.

1. (2) Every such budget shall make adequate provision for carrying out the objects of the trust, and for the maintenance and preservation of the trust property.]

1. (1) Every trustee of a public trust 1**** shall keep regular accounts.
2. (2) Such account shall be kept in such form as may be approved by the Charity Commissioner and shall contain such particulars as may be prescribed.

1. (1) The Accounts kept under section 32 shall be balanced each year on the thirty-first day of March or such other day, as may be fixed by the Charity Commissioner.
2. (2) The accounts shall be audited annually 1* * * * * by a person 2[who is a chartered accountant within the meaning of the Chartered Accountants Act, 1949 (XXXVIII of 1949) or 3[by such persons as the State Government may, subject to any conditions, authorise in this behalf : Provided that, no such person is in any way interested in, or connected with, the public trust].
3. (3) Every auditor acting under sub-section (2) shall have access to the accounts and to all books, vouchers, other documents and records in the possession of or under the 4[control of the trustee; and it shall be the duty of the trustee to make them available for the use of the auditor].
4. (4) Notwithstanding anything contained in the preceding sub-sections- 5[(a) the Charity Commissioner may direct a special audit of the accounts of any public trust whenever in his opinion such special audit is necessary. The provisions of sub-section (2) and (3) shall far as may be applicable, apply to such special audit. The Charity Commissioner may direct the payment of such fee as may be prescribed for such special audit; 6[and
   • (b) State Government may, by general or special order, exempt any public trust or class of public trusts from the provision of sub-section (2), subject to such conditions as may be specified in the order.]

1. (1) It shall be the duty of every auditor auditing the accounts of a public trust under section 33 to prepare a balance sheet and income and expenditure account and to forward a copy of the same 1[along with a copy of his report to the trustee, and] to the Deputy or Assistant Charity Commissioner of the region or sub-region or to the Charity Commissioner, if the Charity Commissioner requires him to do so. 2[(1A) It shall be the duty of the trustee of a public trust to file a copy of the balance sheet and income and expenditure account forwarded by the auditor before the Deputy or Assistant Charity Commissioner of the region or sub-region or to the Charity Commissioner, it the Charity commissioner requires him to do so.]
2. (2) The auditor shall in his report specify all cases of irregular, illegal or improper expenditure, or failure or omission to recover moneys or other property belonging to the public trust or of loss or waste of money or other property thereof and state whether such expenditure, failure, omission, loss or waste was caused in consequence of breach of trust, or misapplication or any other misconduct on the part of the trustees, or any other person.