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Shashi Kant Sharma appointment as CAG illegal: Prashant Bhushan

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The appointment of defence secretary Shashi Kant Sharma as the next Comptroller and Auditor General (CAG) of India is “illegal and unconstitutional”, eminent lawyer and Aam Aadmi Party member Prashant Bhushan said on Tuesday.

Sharma’s appointment can be challenged in court on the ground that it would violate the principle of ‘institutional integrity’ that the Supreme Court had laid down in 2011, Bhushan said.  He pointed out that while quashing the appointment of  PJ Thomas  as Central Vigilance Commissioner, the apex court had said that since there was a pending criminal case against Thomas, appointing him as the head of the Central Vigilance Commission would result in a conflict of interest. On this ground, “Sharma’s appointment is illegal, and liable to be struck down”, said Bhushan.

He said that Sharma has a “serious conflict of interest” as he has served as the director general-acquisitions in the ministry of defence from 2003 to 2010, and subsequently as the defence secretary. During his tenure as director general, defence deals worth thousands of crores  took place. These deals are being investigated over kickback allegations.

Since a major part of the CAG’s job is to audit defence procurement, which Sharma has been involved with for seven years, it would compromise the principle of institutional integrity, Bhushan claimed. Besides, Sharma, a 1976 batch IAS officer, was given an extension last year to ensure that he becomes the CAG after Vinod Rai retires on Wednesday, claimed Bhushan.

Responding to an RTI query, the Department of Economic Affairs said that there is no formal system for the appointment or selection of the CAG. The selection is done only in terms of ‘past conventions and practices’. Absence of any procedure for selection allows the government to select a completely “pliable and perhaps even a dishonest” person in collusion with corporates, alleged Bhushan.

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