what is an Audit para ? definition or explanation it was a question in viva for 2011

Government Expenditures are mainly managed from the public funds. Collected through different sources like Sales Tax, Excise Tax, Income Tax etc.

The purpose of audit is to ensure that the funds allocated to the concerned unit/department has been utilized as per law. Its objective includes examining
fairly, independently and impartially, leakages and loss of revenue due to negligence, inefficiency, omission or commission and reporting its retrieval. Its aim is also to check the accuracy of calculations.

There are two sort of Audits

Internal Audit: performs by the department itself

External Audit: performs by the Regular Audit Authorities

Any irregularity, inefficiency, omission found or question arises during the Internal or External Audit are normally noted and are informed to the concerned DDOs which is called Audit Para. There is a procedure for the settlement of Audit Paras as well.

So the shortest is that Audit Para is basically a question/query/suggestion raised by the Auditing Authority for which compliance is must..

Adding further:

Role of Auditor General of Pakistan

Director General, Federal Audit, or Commercial Audit, are the offices that hold Audit of the public offices. Each year, an Audit team, headed by an Audit Officer, visits the government offices. As already stated, the discrepancies found in the utilization of funds or any fraudulence, mismanagement of public exchequer that includes not observing the Financial Rules and Regulations as in GFR etc. are reported to the concerned Drawing & Disbursing Officer (DDO) with the advice to submit the reple within 24 hours for settlement. If the DDO is able to produce a reply to convince the Audit party, the matter is resolved there. However, if not, that is the case mostly, the matter is reported in the Audit Report signed by the Director General Audit (Federal or Commercial). The Report is then submitted to the Principal Accounting Officer (PAO), who directs his officers to prepare a reply to these Proposed Draft Paras (PDP)-. These PDPs if become part of the Auditor General's Report of the Year are called Audit Paras.

Role of Departmental Accounts Committee (DAC)

The Audit Paras are then discussed in a Departmental Accounts Committee Meeting, headed by the PAO or Secretary. DAC The Audit is being represented by an Officer of not less than BS-19. Sometimes, the Director General also attends such meetings. The Proposed Draft Paras are pondered upon and detailed Departmental Replies along with on spot justification is assessed. The Departmental Accounts Committee can only recommend the settlement of a para but its the Public Accounts Committee that can really settle the para.

Role of Public Accounts Committee (PAC)

I think most of us are familiar with the name of PAC or Public Accounts Committee. This committee is subdivided into a number of subcommittees entrusted by the Chairman, PAC, to dispose off Audit Paras and matters pending. The minutes of the DAC meeting about a particular Audit Report or PDPs is submitted to PAC along with relevant working papers. The National Assembly Secretariat, PAC Wing, convenes the PAC meetings. PAC is the representative of the Parliament and hence of the people of Pakistan and is authorized to settle an Audit Para, order an investigation and even pend the para. Once the para is discussed, the Department is held responsible for the financial malpractice. The ratio of Audit Paras discussed and settled in a single PAC meeting is almost 90 out of 100.

I hope this would be of some help.

Regards