Kohima: The Nagaland government failed to properly implement Centrally-sponsored schemes and government investments in various corporations and stocks could not bring any returns.
This was stated by the Comptroller and Auditor General (CAG) of India which audited the expenses of various departments of the Nagaland government for the year ended March 31, 2011. The report was placed in the Nagaland Legislative Assembly on March 22.
The CAG report said during 2010-11, an approximate amount of Rs 1,033.62 crore was directly transferred by the Union government to the state implementing agencies. As long as these funds remained outside the State Budget, there was no single agency monitoring its use and there was no readily available data on how much was actually spent in any particular year on major flagship schemes, the CAG said.
The report said the government had invested Rs 213.41 crore in Statutory Corporations, Rural Banks, joint stock companies and Cooperatives at the end of March 2011. However, the average returns on this investment were nil during the past five years while the government paid an average interest rate of 7.68 per cent on its borrowing during 2010-11.
On the performance review on implementation of Centrally-sponsored Jawaharlal Nehru National Urban Renewal Mission Schemes (JNNURM), the report said the Urban Development Department (UDD) implemented five sub-components involving Rs. 302.16 crore during 2006 to 2011.
Against the release of Rs 121.80 crore as Additional Central Assistance, the state government released only Rs 98.60 crore resulting in short release of Rs 23.20 crore. The Engineering Division of the Department paid Rs 16.35 crore interest free mobilisation advance in ‘violation of rules’, out of which an amount of Rs 7.25 crore remained with the contractor ‘without’ valid bank guarantee.
The report added that against the targeted construction of 3504 Dwelling Units (DU) under BSUP and 2496 DUs under Integrated Housing and Slum Development Programme(IHSDP), construction of only 1360 DUs and 720 DUs respectively were taken up by the Department. The Engineering Division of UDD ‘irregularly’ paid Rs 3.67 crore without actual execution of works under BSUP, stated the report.
In the Police Department, the Director General of Police, Nagaland, Kohima, ‘drew Rs 4 crore’ for procurement of 1750 fire extinguishers on the basis of ‘fictitious bills’.
The Director of Health and Family Welfare Department made an ‘avoidable excess payment’ of Rs 2.26 crore to a contractor by ‘ignoring’ the recommendation of the technical and steering committee coupled with faulty estimation of cost escalation, said the report. (UNI)