CAG finds irregularities in functioning of KIADB

The Comptroller and Auditor General (CAG) has found irregularities and shortcomings in the functioning of Karnataka Industrial Area Development Board (KIADB).
In its performance audit report for the fiscal 2016-17, released today, the CAG said there was lack of transparency in the processing of applications and a total of 210.05 acres of land under litigation had been allotted at three different places to industrial units.
It also said at least 467 units involving an area of 1,113.31 acres had not commenced commercial production beyond the stipulated date in violation of terms of allotment. The delay ranged between five and 30 years.

Out of Rs 127.95 crore earmarked for the maintenance of industrial areas, only Rs 4.73 crore had been utilised, the report said.
It also found diversion of plots measuring 141.75 acres earmarked for amenities to industries.
Out of the 1.15 lakh acres identified for developing industrial area, only 50,887 acres were notified. No perspective plan and annual action plan were prepared, the CAG noted.

It also pointed out that inventory was not maintained for dissemination of details to entrepreneurs in respect of undeveloped lands held under the Land Bank.
Further, the land acquisition proposals were not supported by techno feasibility reports.

The CAG also found that an estimated 2,571 million litres of untreated industrial and domestic waste per annum was let-off as surface discharge in six industrial areas.