CAG raps DTTDC for incurring loss due to irregularities

The CAG today rapped the Delhi Tourism and Transportation Development Corporation Limited (DTTDC) for incurring a loss of Rs 1.44 crore in operation and management of a canteen in Delhi Legislative Assembly.
"During the audit it was found that canteen services were started without carrying out any cost analysis and also without entering into a formal agreement or MoU with the Assembly Secretariat.
"There was failure of DTTDC to take a timely decision to close operations, even when the Company was under no obligation to run the canteen and loss suffered in the operations will not be disbursed by Government," CAG report said.

The DTTDC had taken over the operation and management of Vidhan Sabha canteen since September 10, 2007 to provide services to MLAs, VIPs and officers during meetings following request by the Secretary of Delhi Legislative Assembly.
It was further decided that the rates will kept the same as charged in Delhi government Secretariat canteen.
The report said that delay in selection and appointment of advisor for selecting an operator to carry out the maintenance and management of tourist complex at Kangankeri, resulted in blockage of funds to the tune of Rs 5.67 crore.
Apart from that, there was a loss of Rs 51.43 lakh due to non-recovery of property tax of covered parking area from contractor at Delhi Haat in Pitampura which was constructed in October 2007.