Lapses in CAG report occurred during DMK govt: TN

The Tamil Nadu government has clarified that the lapses reported by the Comptroller and Auditor General (CAG) on the performance of public sector undertakings (PSUs), the state’s finance and forest cover measures are of the financial year 2010-11, during the tenure of the previous government and the current government is taking actions to set the issues right.

The CAG’s report was tabled in the state legislative Assembly on May 16, 2012.

In a press statement, minister for finance O Panneerselvam said, “All these lapses have occurred during the tenure of the previous DMK Government. The shortcomings pointed out in the report of the CAG pertain to the period 2010-2011 and have been set right by this government.”

The CAG report for the period ending March 31, 2011, stated that the state public sector undertakings in Tamil Nadu in aggregate suffered severe losses, especially, 23 PSUs had incurred heavy losses. In the financial year 2010-2011, the Tamil Nadu Electricity Board had incurred losses of Rs.10,294.64 crore. It has also been pointed out that the subsidy payment for free supply of electricity for agriculture at Rs 250 per horse power is very low.