The Public Accounts Committee (PAC) has faulted the then UPA dispensation for taking the games management out of the government machinery leading to a "number of errors" that almost resulted in the "biggest management failure".
Its report was tabled in Parliament on Wednesday.
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"The committee appreciate the Sports Secretary's free and frank testimony that there was a complete management failure ...The government came to the brink of defaulting on the games which would have created a national shame across the world," the report added.
Underlining that delays occurred in the initial stages of the game, the panel said as a result decisions were taken in haste and contracts were awarded on the basis of single tenders and negotiations at some times.
The report noted "undue concessions" to a contractor, "unwarranted relaxation" to a private company, and dilution of criteria to thwart competition in various instances.
It said there was a "lack of transparency, fairness and competition in bidding".
Outgoing PAC Chairman K V Thomas, had on Tuesday said there was nothing against former Prime Minister Manmohan Singh in the report.
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