Supervision of export oriented units: record-based control replaces physical inspection, with monthly scrutiny and cost audits. Export Oriented Units are exempted from physical supervision and warehouse locking under the Manufacture and Other Operations in Warehouse Regulations, 1966, but all movements (to job-workers, other EOUs, export and DTA sale) must be recorded and maintained. Departmental officers must scrutinise EOU accounts and records at least monthly, and the Chief Commissioner may order a special audit by a nominated Cost Accountant; cost audits verify raw material usage, quantities and finished goods. Non-maintenance of prescribed accounts is treated seriously.