The Comptroller and Auditor General (CAG) has once again written to the petroleum ministry seeking its intervention after the Reliance India Ltd (RIL) refused to share some documents related to purchases for its D-6 gas fields in the Krishna Godavari basin.
Last year, the auditor had written to the ministry seeking its intervention when RIL refused to submit to a financial audit. The government had then put on hold all expansion plan at the KG D-6 till RIL agreed to provide all required documents to CAG.
In a letter dated July 3, the auditor has asked the petroleum ministry to ensure that the developer shares all those information that have been sought by its audit team. The audit team is believed to have been facing obstacles as the RIL officials have failed to respond to its multiple audit requisitions issued in past few months. The auditor has said all its requests conform to the standard auditing practices.
The auditor has been seeking documents of high-value purchases during 2008-09 and 2011-12 and details of all payments made to contractors for the previous years. The CAG has pointed out that it had issued 96 audit requisitions, out of which RIL has not provided information in respect of 28, including nine in which only part information has been furnished.
Just after it tabled a report on coal block allocation in Parliament last year, CAG began its second audit of the oil and gas blocks. The second report on the performance of hydrocarbons was supposed to be completed by the end of last year but it got stalled because of objections raised by RIL. In its first performance audit of hydrocarbons, released in 2011, CAG had audited the accounts of RIL's KG D6 basin and Anil Aggarwal's Cairn for two years — 2006-07 and 2007-08.