Power of Examiner of Local Accounts to surcharge or charge

illegal payment or loss incurred by negligence- (1) The auditor shall include in his report a statement of-

1. (a) every payment which appears to him to be contrary to law;
2. (b) the amount of any deficiency or loss which appears to have been incurred by the negligence or misconduct of any person; and the amount of any sum which ought to have been but is not brought into account by any person.

1. (2) After considering such report the Examiner of LocalAccounts may-
   • (a) order that any payment referred to in clause (a) of sub-section (1) shall be allowed or that no further action shall be taken as regards any amount referred to in clause (b) or clause (c) of the said subsection, or
   • (b) serve a notice on the person making or authorizing any such payment or the person responsible for or failing to account for such amount, requiring him to show cause within one month why such payment should not be surcharged or such amount should not be charged against him.
2. (3) After considering such cause as may be shown by any such person, the Examiner of Local Accounts may surcharge such payment on the person making or authorizing such payment or charge the amount of any loss or deficiency against the person responsible therefor or any amount which ought to have been but is not brought into account against the person failing to account for such amount and shall in every such case certify the amount due from such person.