Delhi govt to carry out financial audit of private schools

The Delhi government will establish three project monitoring units to audit 1,794 private schools amid complaints of financial malpractice.

New Delhi: The Delhi government will set up three project monitoring units (PMUs), each comprising 10 chartered accountants (CAs), to conduct a comprehensive financial audit of about 1,794 private unaided recognised schools across the Capital, officials said on Monday.

The Directorate of Education (DoE) has floated a tender inviting bidders for the project (HT)

“The move follows complaints about financial malpractice and the charging of excessive fees by private schools in the city. Officials felt that the inspections ordered against many such complaints would not be sufficient; hence, a comprehensive examination of the records and financial statements of the private unaided recognised schools is required,” said an official.

The Directorate of Education (DoE) has floated a tender inviting bidders for the project, estimated to cost ₹6.3 crore. Officials said the exercise is expected to be conducted over a year.

“The three PMUs shall work from the DoE office or any location designated by DoE under the direct supervision of senior department officials. The three PMUs will be responsible for inspecting the schools and the records submitted by them, in line with the Delhi School Education Act and Rules 1973,” the official explained.

The teams will first analyse the financial statements from the past three years for each allotted school to identify apparent anomalies, suspicious transactions and potential malpractice. This scrutiny will be guided by a standard operating procedure (SOP) prepared by the DoE.

Following the preliminary review, the PMUs will undertake detailed verification, including examination of supporting documents — such as bills and expenditure records — reconciliation of fee collections, verification of student enrolment data, scrutiny of other income reported in accounts and physical verification wherever required.

The teams will also engage with school managements in the presence of department representatives to discuss findings and obtain written responses. Based on this, they will prepare individual reports for each school and draft proposed orders for consideration and approval by the DoE, the official added.