Under utilisation of CSR funds by Coal India: Par panel

Stating that Coal India spent just Rs 82 crore out of Rs 553 crore alloted to it in FY'12 under corporate social responsibility, a Parliamentary panel today said officers in-charge of spending money in CSR activities should be punished for dereliction of duty.
"The Committee deprecated non-utilisation of budgetary funds for CSR activities by the Coal India and its subsidiaries. In fact out of the allotment of Rs 553.33 crore in 2011-12, Coal India...Could spend only Rs 82 crore and..Was therefore, gross failure of duty on the part of Coal India," the Standing Committee on Coal and Steel said in its report.

Stating the callousness on the part of CIL, the report, which was tabled in Parliament today, also observed that the officers responsible for spending money for CSR activities committed "misconduct".
"The committee is constrained to observe that the utilisation of funds by CIL (Coal India) and its subsidiaries had been very discouraging," it said.
In fiscal 2010-11 against the budget allocation of Rs 262.2 crore to the coal PSU for CSR, the actual expenditure was Rs 108.4 crore.
"Similar trends of under utilisation of CSR funds had been witnessed during 2007-08, 2008-09 and 2009-10 respectively," the report said.

In the last fiscal, the budget for CSR activities for CIL has been increased to Rs 673.7 crore.

The panel also recommended that the maharatna firm should prepare an action plan to identify and implement CSR projects on war-footing during 12th plan period.
"The Committee would like Coal India to shoulder more responsibility in implementing and monitoring CSR projects...By reviewing them at regular intervals. The Committee also desired that funds made available under CSR to coal PSUs be kept separately in nationalised banks and released as per the approved CSR activities," it said.