Regulators & Oversight Bodies
Regulators and oversight bodies play a critical role in safeguarding public interest by enforcing laws, monitoring compliance, managing risks, and ensuring accountability across sectors. Through its audits, the CAG provides independent and evidence-based insights that help regulators identify systemic weaknesses, strengthen enforcement mechanisms, improve oversight frameworks, and adopt more effective monitoring practices. The examples in this section demonstrate how audit findings contributed to enhanced regulatory controls, technology-enabled compliance systems, stronger fraud prevention measures, improved environmental and resource governance, and more effective enforcement of statutory and regulatory requirements. These outcomes underscore the role of audit in supporting regulators and oversight institutions to promote transparency, accountability, compliance, and sustainable governance.
Key Case Studies
- Loss of revenue due to undervaluation of iron ore, Government of Odisha
New mineral regulation rules notified: Odisha Minerals (Prevention of Illegal Mining and Regulation of Trading, Transportation and Storage) Rules, 2025 introduced to strengthen mineral administration (SDGs: 12, 15)
- Strengthening compliance controls in GST e-way bill system under the CGST Rules, 2017
Based on GST Council decisions (June 2024), Rule 138(3) of the CGST Rules, 2017 was amended through Notification No. 12/2024 to mandate enrolment of such persons via Form GST ENR-03 and issuance of unique IDs. (SDGs: 16, 8)
- Strengthening compliance controls in GST e-way bill system under the CGST Rules, 2017
GST rules amendment notified: Fourth proviso inserted in Rule 138(3) of CGST Rules, 2017 based on GST Council recommendations (SDGs: 16, 8)
- Non-remittance of government revenue in Karnataka
₹36 lakh recovered across 47 cases, with recovery efforts initiated for 137 cases (SDGs: 11, 12)
- Environmental Governance, Visakhapatnam Port Authority (VPA)
Enhanced environmental disclosure: Hosted Environment Clearances and half yearly compliance reports on official website in line with Environmental Impact Assessment (EIA) Notification requirements (SDGs: 14, 16)
- Strengthening monitoring of environmental clearance compliance, MoEFCC
Expanded field coverage: Number of Integrated Regional Offices increased from 10 to 19, strengthening on ground monitoring capacity (SDGs: 15, 16)
- Enhancing enforcement in Coastal Regulation Zones (CRZ)
Enforcement deficiencies identified: Audit found significant lapses in CRZ enforcement, with SCZMAs and DLCs failing to take timely action and effectively detect and report violations. (SDGs: 14, 16)