CAG Report Can't Impose Financial Liability Without Due Adjudication, FCI's Recovery Against Flour Mills Quashed: Jammu & Kashmir High Court

In a key ruling, the Jammu and Kashmir and Ladakh High Court has held that audit reports prepared by the Comptroller and Auditor General of India (CAG), though constitutionally significant, cannot be used as conclusive proof to impose financial liabilities on private entities without independent technical assessment or legal adjudication. The Court observed that the CAG is limited to financial auditing and lacks scientific or technical expertise for conclusive findings…