CAG slams Odisha for delay in clearance meeting

The Odisha government has drawn flak from the CAG for not convening a meeting of the High Level Clearance Authority (HLCA) between Sep 2012 and March 2014 that resulted 11 proposals with an investment of Rs.59,491.64 crore being delayed.

The Comptroller and Auditor General (CAG) in its report on Economic Sector for the year ended March 2014 pointed out that no meeting of HLCA was held after Sep 2012 up to March 2014.

"Eleven proposals for setting up industries with investment of Rs.59,491.64 crore were delayed by one to 18 months. Issues such as industrial development, promotion of foreign direct investment, environment management, land policy, peripheral development, ancillary and downstream development, promotion of frontier industries did not find mention in the minutes." said the report tabled in the assembly Thursday.

As per IPR (Industrial Policy Resolution) 2007, HLCA headed by Chief Minister should meet at least once in a quarter to review implementation of the IPR 2007 that issues pertaining to industrial development in the state.

The HLCA examines proposals of investment of more than Rs.1,000 crore in the state.

However, the audit agency said the state government in Oct 2014 maintained that the date of convening of HLCA is based on various factors, convenience of committee and sufficiency of proposals.