Overview The State government, responding to critical observations from the Committee on Public Accounts (PAC) , has mandated its departments to initiate prompt departmental and legal actions against officials found responsible for theft, misappropriation, or loss of government funds or property. This directive aims to address delays and inefficiencies in handling such cases, particularly those highlighted by the PAC and the Comptroller and Auditor General of India (CAG) . Key Directives Immediate Action: Government departments are instructed to take immediate action in every case of misappropriation, defalcation, theft, or loss of government money or property. Timely Legal Action: Ensure timely legal action, including the registration of First Information Reports (FIRs) , wherever warranted, strictly in accordance with the law. Applicability: The directions are particularly applicable to cases pointed out by the PAC and the CAG . Key Developments Finance Department Circular The Finance department issued a circular on January 5, 2026 , directing government departments to ensure immediate action in cases of misappropriation. This includes timely legal action and the registration of FIRs . The circular emphasizes adherence to legal procedures and prompt response to financial irregularities. PAC Reports The PAC , in its reports tabled in the State Assembly, sharply criticized the absence of actions to curb corruption in government departments. The committee dismissed the justification that departmental action cannot be initiated because a Vigilance probe is already underway. Key reports include: 69th Report: Tabled in October 2024 , highlighting lapses in addressing corruption. 83rd Report: Tabled in September 2025 , further emphasizing the need for immediate action. Treasuries Department Case In a case related to the Treasuries department , the PAC noted that the passive response of the Director of Treasuries, citing a Vigilance department order against simultaneous departmental and police inquiries, was unacceptable. The committee emphasized that no law prohibits the government from taking departmental action even when a Vigilance inquiry is ongoing. Implications and Timelines The January 5 Finance department circular also requires departments to adhere to definite timelines for completing departmental action. Lapses in this regard will be viewed seriously, as action-taken reports are to be submitted to the PAC . This underscores the importance of accountability and timely resolution of cases involving financial irregularities. UPSC Relevance This news article is relevant to the UPSC Civil Services Exam as it touches upon key aspects of governance, accountability, and financial management. It highlights the role of parliamentary committees like the PAC in ensuring transparency and curbing corruption. The article also underscores the importance of timely legal and departmental action in cases of financial irregularities, which is crucial for maintaining public trust and ensuring efficient governance. Syllabus Mapping GS2: Government Policies and Interventions, Parliament and State Legislatures – Structure, Functioning, Conduct of Business, Powers & Privileges and Issues Arising out of these. GS3: Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment. GS4: Ethics and Human Interface: Essence, determinants and consequences of Ethics in human actions; dimensions of ethics; ethics in private and public relationships. Potential Questions Discuss the role of the Public Accounts Committee (PAC) in ensuring financial accountability of the government. Evaluate the challenges in curbing corruption in government departments and suggest measures to improve transparency and efficiency. Analyze the importance of timely legal and departmental action in cases of financial irregularities for maintaining public trust and good governance.