Consequent to the Federal Financial Integration in 1950, the office of the Comptroller of princely state of Mysore was abolished. Since the Controller and Auditor General was responsible for audit of the accounts of the State Government under the Constitution of India, the officers and staff were bifurcated and allocated to the office of the Accountant General, Mysore and the newly created Office of the Examiner, Local Fund Audit, who was made responsible for audit of Local Bodies in the State as per Government order No: FL (B) 6175-90 LFA 92-51-6 dated: 08-03-1952. Subsequently, a decision was taken to place the accounts staff working in various Departments of Government under a single agency in the State, resulting in the re-designation of the Examiner, Local Fund Audit as Controller, State Accounts Department in the year 1952. The name of the Department was changed to “KARNATAKA STATE AUDIT & ACCOUNTS DEPARTMENT” vide G. O. No. FD/224/SAD/2012 dated 2.3.2015 & Controller, State Accounts Department was re-designated as “Director (Audit), KARNATAKA STATE AUDIT & ACCOUNTS DEPARTMENT” vide GO No. FD/331/SAD/2014 dated 18.5.2015. KSAAD is the statutory auditors for local bodies viz. Municipal Councils and Municipal Corporations, Gram Panchayats and other institutions in the State i.e., Universities, Command Area Development authorities, Urban Development Authorities and Muzarai Funds, etc., The audit of these institutions vests with the Director (Audit), Karnataka State Audit & Accounts Department.