RBI/2015-16/442
FIDD.No.FSD.BC.28/05.10.007/2015-16

June 30, 2016

The Chairman/Managing Director/Chief Executive Officer
All Scheduled Commercial Banks
(excluding Regional Rural Banks)

Madam / Sir,

Performance Audit of Crop Insurance Schemes

The Comptroller and Auditor General is conducting a performance audit of agricultural crop insurance schemes to examine the efficacy of crop insurance in providing succour to farmers who suffer damage to their crops. This audit is proposed to be conducted in the States of Andhra Pradesh, Assam, Gujarat, Haryana, Himachal Pradesh, Orissa, Maharashtra, Rajasthan and Telangana with the help of the Offices of the Principal Accountant General/Accountant General (Audit) in the respective States.

2. The Performance Audit will include examination of records of Department of Agriculture Cooperation and Farmers Welfare, Agriculture Insurance Company of India Limited, State Agriculture Department and other related departments. Further, as crop insurance schemes are being implemented with the help of various banks, insurance companies and co-operative institutions, examination of the records of these banks/insurance companies/cooperative institutions is necessary to ascertain whether crop insurance schemes were being implemented effectively and delivering benefits to the targeted beneficiaries.

3. In view of the above, you are advised to facilitate access to your records pertaining to crop insurance schemes to the audit teams deputed by the Offices of the Principal Accountant General/Accountant General (Audit) in the respective States.

Yours faithfully

(Uma Shankar)
Chief General Manager