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CAG flags lack of transparency in food subsidy for FY17 and FY18

The CAG report said the government undertook funding of revenue and capital expenditure using extra budgetary resources in both the years

Food subsidy, ration shops, Public distribution system, PDS, food grains, poor, poverty, welfare schemes

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Payment amounting to Rs 70,000 crore already released to FCI towards food subsidy was found to have been reversed and replaced by a loan from NSSF, leaving the existing Budget provision unutilised to this extent

Indivjal Dhasmana New Delhi

3 min read Last Updated : Nov 30 2021 | 12:04 AM IST

The Comptroller and Auditor General of India (CAG) has flagged the use of extra budgetary resources for payment of food subsidy in a report tabled in Parliament on Monday for the financial year 2017-18 (FY18) and FY19.

Experts said making the books of the Food Corporation of India (FCI) public in the Budget for FY22 would go a long way in plugging this loophole. The CAG report said the government undertook funding of revenue and capital expenditure using extra budgetary resources in both the years.

Referring to food subsidy, it said there was a carryover liability of Rs 81,303 crore of unpaid

Topics : Food subsidy CAG report cag Comptroller and Auditor General