Why Madras High Court ordered audit of Tamil Nadu Victim Compensation Fund

The Madras High Court Tuesday directed the Accountant General of Tamil Nadu to depute a team to conduct an audit across all eight central prisons in the State to check the manner in which the victim compensation fund was being used..A Bench of Justices SM Subramaniam and M Jothiraman directed the Accountant General to depute a team of 10 officers to conduct such audit. It further said that such audit report must be submitted before the Court by January 30 this year..The Court issued the directions while hearing a petition filed by one A Depalaksmi, who alleged that the State prison authorities were not extending the category wise facilities that prison inmates across Tamil Nadu are entitled to as per Rule 233 of the State Prison Rules.The petitioner said that her husband, a convicted prisoner serving life term, is classified as an “A category” prisoner entitled to facilities such as access to newspapers, mattress, pillow etc. and while he had been receiving those since 2015, the prison authorities suddenly withdrew such facilities three months ago..She also claimed that the Tamil Nadu victim compensation fund towards which all convicted prisoners in the State contribute 20 percent of their wages earned in prison, was also not being utilised by the State authorities as per the law.Depalaksmi’s counsel, advocate P Pugalenthi, also submitted a news report that claimed over ₹11 crore of victim compensation fund was lying unutilised..Additional Public Prosecutor R Muniyapparaj told the Court that the State will look into the grievances raised by the petitioner and submit an action taken report.However, the Court said that an audit of funds was also necessary..Since the prison inmates contributed to the victim compensation fund, they have a right to know how such funds are being utilised, the Court said.“Rule 2(I) defines Victim Compensation Fund means the fund created from the 20 percent of wages deducted from the prisoners employed in Industries or maintenance work in a prison. Therefore, the Victim Compensation Fund has been created from and out of the wages recovered from the prisoners. Thus, the prisoners are entitled to question the correctness of the payment made by the competent prison authorities. They are contributing their own wages for settling compensation to the victims. Therefore, they have got every right to question the action or inaction, omission or commission of the prison authorities in the matter of settling the victim compensation under the provisions of the Tamil Nadu Victim Compensation Fund Rules, 2009,” the High Court said.The Court then suo motu impleaded the Accountant General as a party and issued the directions for the audit..“The Accountant General of Tamil Nadu (Audit) is directed to depute a team of Accounts Officers to conduct audit of accounts under Rule 10 of the Tamil Nadu Victim Compensation Fund Rules, 2009 and find out the correctness of the accounts maintained and regarding the genuinity of the payments made to the victims under the Tamil Nadu Victim Compensation Fund,” the High Court said.It further said that the special team must conduct such audit within the next two weeks..[Read Order]