(1) The Office of the Controller General of Accounts shall carry out internal audits as prescribed.
(2) Each office shall submit the prescribed accounting and financial statement of all types of income and expenditure and have the final audit conducted by the Auditor General's Department.
(3) During the internal audit or the final audit, if it is found that the cost of government cash or goods has been discounted or the cost has been destroyed due to some circumstances and it has caused damage to the Government of Nepal, upon receiving the notification, the head of the relevant office or the head of the department shall recover the amount of such damage and the amount of the fault. Departmental action will also have to be taken accordingly.
(4) In the case of constitutional organs and agencies, the head of the relevant constitutional organs and agencies, the ministry and central level secretariat and in the case of the commission, the departmental minister of the relevant ministry or the state minister, the department or the department having the same existence and jurisdiction against the official who does not take action even after receiving the notice according to sub-section (3) In the case of the office, the secretary of the concerned ministry and in the case of the office, the head of the concerned taluk office will be fined up to fifty rupees for each pen.
(5) According to sub-section (2), the accounting responsible officer of the constitutional organs and agencies who do not submit the accounting and financial statements shall be notified by the head of the relevant constitutional organs and agencies, the accounting responsible officer of the ministry and central level secretariat and the commission by the relevant departmental minister or state minister and in the case of others by the accounting responsible officer each Penalty will be fined up to twenty five rupees.
(6) In case of failure to file accounting and financial statements, even if fined according to sub-section (5), action can also be taken according to prevailing laws.