<P> The Comptroller and Auditor General ( CAG ) of India is an authority , established by Article 148 of the Constitution of India , which audits all receipts and expenditure of the Government of India and the state governments , including those of bodies and authorities substantially financed by the government . The CAG is also the external auditor of Government - owned corporations and conducts supplementary audit of government companies , i.e. , any non-banking / non-insurance company in which Union Government has an equity share of at least 51 per cent or subsidiary companies of existing government companies . The reports of the CAG are taken into consideration by the Public Accounts Committees ( PACs ) and Committees on Public Undertakings ( COPUs ) , which are special committees in the Parliament of India and the state legislatures . The CAG is also the head of the Indian Audit and Accounts Department , the affairs of which are managed by officers of Indian Audit and Accounts Service , and has over 58,000 employees across the country . </P>
who is appointed by the president of india for auditing accounts of the union and of each state
The Comptroller and Auditor General ( CAG ) of India