Senior BJP leader M.M. Joshi-headed Public Accounts Committee (PAC) was informed on Friday by Reliance Industries officials that the CAG did not give it “fair opportunity” to be heard and the observations of the national auditor were on technical issues. Sources disclosed the company invited PAC members to study the KG-D 6 gas block in the Bay of Bengal. The CAG, in its report, had pulled up the company for alleged contract violations of the gas block.

RIL officials, including group president V. Balasubramanian and executive director P.M.S. Prasad, who were questioned by the panel members, also made a presentation and informed that performance audit is best carried out by technical experts with knowledge of deep water operations.
Sources disclosed, the RIL officials said under the production-sharing contract (PSC), the government is entitled to direct and audit the contractor’s books and record in accordance with provisions of the accounting procedure.
The company, sources said, alleged that the audit was carried out by CAG teams which went for a field audit without seeking or examining the relevant records.
RIL officials, it was learnt, told the panel that their request to interact with technical experts relied upon by the CAG in preparation of the report was also rejected by the auditor. CAG representatives were also present during the presentation before the PAC as per practice.
On the issue of retention of contract area, RIL told the panel that the determination of a discovery area is a technical matter.