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  CERTIFICATE OF THE COMPTROLLER AND AUDITOR GENERAL OF INDIA



         This compilation containing the Finance Accounts of the Government of Madhya Pradesh
for the year ending 31 March 2020 presents the financial position along with accounts of the
receipts and disbursements of the Government for the year. These accounts are presented in two
volumes, Volume-I contains the consolidated position of the state of finances and Volume-II
depicts the accounts in detail. The Appropriation Accounts of the Government for the year for
Grants and Charged Appropriations are presented in a separate compilation.

        The Finance Accounts have been prepared under my supervision in accordance with the
requirements of the Comptroller and Auditor General's (Duties, Powers and Conditions of
Service) Act, 1971 and have been compiled from the vouchers, challans and initial and subsidiary
accounts rendered by the treasuries, offices and departments responsible for the keeping of such
accounts, functioning under the control of the Government of Madhya Pradesh and the statements
received from the Reserve Bank of India. Statement No. 10 (ii), Annexure to Statement No. 15
and Appendix (VIII, IX and XII), Explanatory Notes/Footnotes/Additional disclosures in
Statement Nos. 7 (Section-3), 8, 12, 13, 15, 16, 18 and 19 have been prepared based on the
information received from the Government of Madhya Pradesh/ Corporations/ Companies/
Societies who are responsible to ensure the correctness of such information. Statement Nos. 9 and
20 have been prepared on the basis of sanction orders for Guarantees issued by the Finance
Department of Government of Madhya Pradesh. Appendix-VI has been prepared from the details
collected from the Public Financial Management System Portal.

         The treasuries, offices and/or departments functioning under the control of the
Government of Madhya Pradesh are primarily responsible for preparation and correctness of the
initial and subsidiary accounts as well as ensuring the regularity of transactions in accordance with
the applicable laws, standards, rules and regulations relating to such accounts and transactions. I
am responsible for preparation and submission of Annual Accounts to the State Legislature. My
responsibility for the preparation of accounts is discharged through the Office of the Principal
Accountant General (Accounts and Entitlement). The audit of these accounts is independently
conducted through the Office of the Accountant General (Audit-II) in accordance with the
requirements of Articles 149 and 151 of the Constitution of India and the Comptroller and Auditor
General’s (Duties, Powers and Conditions of Service) Act, 1971, for expressing an opinion on
these Accounts based on the results of such audit. These offices are independent organizations
with distinct cadres, separate reporting lines and management structure.

        The audit was conducted in accordance with the Auditing Standards generally accepted in
India. These Standards require that we plan and perform the audit to obtain reasonable assurance
that the accounts are free from material misstatement. An audit includes examination, on a test
basis, of evidence relevant to the amounts and disclosures in the financial statements.
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        On the basis of the information and explanations that my officers required and have
obtained, and according to the best of my information as a result of test audit of the accounts and
on consideration of explanations given, I certify that, to the best of my knowledge and belief, the
Finance Accounts read with the explanatory ‘Notes to Accounts’ give a true and fair view of the
financial position, and the receipts and disbursements of the Government of Madhya Pradesh for
the year 2019-20.

       Points of interest arising from study of these accounts as well as test audit conducted during
the year or earlier years are contained in my Financial, Compliance and Performance Audit
Reports on the Government of Madhya Pradesh being presented separately for the year ended
31 March 2020.

Emphasis of Matter

        I want to draw attention to the following significant issue which is important from the
point of view of accuracy, transparency and completeness of these accounts and maintaining
legislative financial control over public finances.

                As on 31 March 2020, a total of 19,604 utilisation certificates (UCs) involving
        ` 15,541.32 crore, which have become due, were not submitted by the bodies and
        authorities of the State against the grants-in-aid provided by 27 departments. Therefore,
        there is no assurance that the expenditure of ` 15,541.32 crore has actually been incurred
        for the purpose for which it was sanctioned/authorised by the Legislature. High pendency
        of UCs is fraught with the risk of misappropriation of funds and possibility of fraud.

         The audit observations on the above issue have been detailed in the State Finances
Audit Report of the Government of Madhya Pradesh for the year ended March 2020.




Date:                                                     (GIRISH CHANDRA MURMU)
Place: New Delhi                                      Comptroller and Auditor General of India