The Royal Audit Authority (RAA) has issued a public notification directing all audited agencies with unresolved audit issues to clear them within three months, warning that continued inaction will invite punitive measures under the Audit Act of Bhutan 2018.
In the notification, the RAA expressed concern that a number of agencies have remained “apathetic” in resolving audit issues over a prolonged period, a situation that, it said, reflects weak leadership and disregard for the rule of law, while undermining the principles of accountability and good governance.
“This final notice is an opportunity for audited agencies to demonstrate their earnest commitment to accountability, integrity and good governance,” the RAA stated.
According to the directive, all agencies with pending audit observations must resolve them and submit an Action Taken Report (ATR) within three months from the date of the notification, in line with procedures already communicated through earlier correspondences. The Authority clarified that this three-month window is being granted as a final opportunity for compliance.
The RAA also reminded heads of agencies of their legal obligations under Section 123 of the Audit Act, which mandates that serious cases remaining unresolved for more than 12 months after parliamentary deliberation must be referred to a court of law by the concerned agency. “Failure to refer such cases to the Court of Law shall result in denial of Audit Clearance Certificate to the Head of the agency concerned,” the notification stated.
Further, the Authority warned that failure to act within the prescribed deadline would constitute an offence under Section 146 of the Audit Act. Citing Section 146(3), the RAA noted that any person who fails to submit written replies or furnish an ATR within the stipulated timeframe is considered to be in violation of the law. Under Section 147(2), such offenders “shall not be issued an Audit Clearance Certificate and shall also be liable for administrative action, if necessary.”
Urging strict compliance, the RAA called upon heads of agencies and officials concerned to take personal responsibility for resolving outstanding audit issues. “All Heads of Agencies and officials concerned are personally urged to ensure strict compliance with this directive in our collective effort towards promoting integrity, accountability and good governance,” the Authority said.
The RAA has reiterated that failure to heed this final notice will leave it with no option but to initiate action in accordance with the law.
Tashi Namgyal
From Thimphu
