(a) The accounts which were being audited by the examiner, Local Fund Accounts, Uttar Pradesh or the Director prior to the enforcement of these rules, shall continue to be audited by the Director on the commencement of these rules and the audit of accounts the institutions conducted by the Local Fund Audit Department, prior to the commencement of rules, shall be treated as audit conducted under the provisions of the Act;
(b) theaudit of the accounts of the Local Authorities mentioned in Appendix-1 shall be conducted by Director. The Director shall cause to include such Local Authorities corporate or non corporate bodies institutions in the said Appendix as the State Government may, specify,from time to time, notification under section 4 of the Act;
(c) all such other institutions as are receiving grant in-aid from the State Government and which are not included Appendix-1 shall be treated as specified and notified by the State Government and included Appendix-1 for the purposes of these rules:
Provided that for the purpose of this rules it will be obligatory for the Administrative Departments of State Government sanctioning grant-in-aid from the Consolidated Fund of the State to any Local Authority or institution or individual to endorse a copy of the said Government Order to the Director and to Accountant General (Audit) I; Uttar Pradesh.
(d) the accounts such institutions as are defined to be "Local Authorities" in the Acts and Rules relating to them shall also be audited by the Director and the shall be deemed to be included Appendix-1.;
(e) all other Non-Government organizations which are not local authorities as per their Constitution; but receive grant-in-aid, loans; subsidies or any kind of financial assistance from the Consolidated Fund of State whether full or in part; shall also be treated to be included in Appendix-1 for the purpose of these rules and their accounts shall be audited by the Director, notwithstanding any provision contrary to this rule, regarding audit of their funds except where these accounts required to audited by any other authority established by law and authorised by State Central Government for such audit.