The Delhi High Court sought a response from the Comptroller and Auditor General (CAG) regarding a petition challenging its decision to audit the accounts of the Ajmer Sharif Dargah.
The court observed that it may consider staying the audit order due to procedural lapses if the CAG does not act accordingly.
Court Questions Audit Procedure
Justice Sachin Datta, who is hearing the matter, granted the CAG time until May 7 to clarify its position. He remarked, “I am inclined to say that you take instructions and clarify your stand on what you are doing.” The court’s observation came after it was informed that the audit had not yet commenced.
The petition was filed by Anjuman Moinia Fakhria Chistiya Khuddam Khwaja Sahib Syed Zagdan Dargah Sharif, Ajmer, through advocate Ashish Singh. During the hearing of an early application, the petitioner’s counsel, advocate Atul Agarwal, argued that the Dargah had not been served with the terms of the audit, which violates provisions under the CAG Act.
Violation Of Due Process Alleged
It was submitted that the CAG Act requires the institution being audited to be provided with the terms and conditions of the audit. Additionally, the law mandates that the institution be allowed to make a representation before the relevant ministry prior to the commencement of the audit.
The petitioner also challenged a March 15, 2024, decision by the Ministry of Minority Affairs to conduct the audit. The plea further pointed out that the Ministry of Finance had issued a communication on January 30, 2025, formally entrusting the audit responsibility to the CAG.
Observation
During the hearing, the bench acknowledged the argument that the petitioner had not been given the opportunity to respond or represent itself. The court noted, “You have not served them with terms of the audit,” and agreed that this omission potentially violated the Dargah’s rights.
In light of these concerns, the High Court has asked the CAG’s counsel to take clear instructions and report back. The court signaled that a stay on the audit could be granted unless the procedural issues are addressed.