Section 51 of RBI Act : Section 51: Appointment Of Special Auditors By Government

Explanation using Example

Imagine the Central Government wants to ensure that the Reserve Bank of India (RBI) is managing its finances correctly and transparently. To do this, they decide to utilize the provision under Section 51 of the Reserve Bank of India Act, 1934. They appoint the Comptroller and Auditor-General (CAG) to audit the RBI's accounts. The CAG then conducts a thorough examination of the RBI's financial records and prepares a report on their findings. This action by the government is in addition to the regular audits the RBI undergoes, as indicated by the phrase "without prejudice to anything contained in section 50," meaning it does not affect other audit provisions.