CAG picks holes in Jharkhand accounts

The Comptroller and Auditor General of India (CAG) has criticised Jharkhand government for non-utilisation of funds.

CAG said the tribal welfare commissioner had withdrawn Rs 13.20 crore from the treasury on the last day of the financial year 2001 and kept it in the civil deposit account.

The fund was meant for construction of a 100-bedded hostel in a girls high school and construction of a hostel in women's college.

The sum was kept instead a cooperative bank. CAG said this was irregular as rules specifically said withdrawal of funds should not be done from the government treasury unless they were needed for immediate payments.

The fund should not be deposited in any personal, civil deposit or bank accounts to ensure that the funds do not lapse.

CAG also felt the Jharkhand government has introduced a supplementary budget when it was not needed.

"The supplementary provision of Rs 765 crore out of Rs 6,227 crore proved wholly unnecessary", CAG said in its report.

"Revenue expenditure accounted for 89 per cent of government's total spending, while capital expenditure was pegged at 7 per cent" the report added.

CAG pointed out the government failed to meet basic financial norms of reconciling its expenditure with the accountant general's office. The latter remained in the dark about the utilisation of Rs 8,091 crore.

The state's education department has also received a warning for non-utilisation of central funds.

Central human resources secretary A D Tripathi had warned the state for using only Rs 129 crore of the Rs 436 crore central funds allotted in the current fiscal. Tripathi said the mid-day meal programme in Jharkhand schools had not been implemented.