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CAG pulls up UP govt on ‘lapses’ in schemes through District Industries Centres

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Lucknow :The CAG has come down heavily on Uttar Pradesh government for “lapses” in implementation of various schemes through District Industries Centres (DICs). In its report laid in the UP Assembly on Monday, the Comptroller and Auditor General of India has noted that due to non-maintenance of records, authenticity of release of subsidy amounting to Rs 54.54 crore to 1,996 beneficiaries could not be vouchsafed.

Major audit findings in the report on ‘Economic Sector -Non Public Sector Undertakings, Government of Uttar Pradesh’ for 2013-14 said, implementation of soft intervention in Steel Furniture Cluster at Lucknow could not be completed even after a lapse of four years. Besides, a project of leather cluster at Gorakhpur was cancelled due to non-adherence of guidelines of the Uttar Pradesh Pollution Control Board.

Under upgradation of infrastructure facilities in the Industrial Estates Scheme, the DICs “failed” to ensure adequate infrastructure facilities in existing Industrial Estates due to which 614 plots remained unallotted, it said. In contravention of the guidelines of Collective Training Scheme for self-employment of persons of Scheduled Castes/Scheduled Tribes, DICs “failed” to ensure 33 per cent participation of women. Besides, under the Handicraft Marketing Promotion Scheme, the DICs failed to widely publicise the scheme which resulted in non-utilisation of funds amounting to Rs 1.59 crore.

The CAG noted that compliance audit of transactions of the government departments, their field formations as well as that of the autonomous bodies, brought out instances of “lapses” in management of resources and “failures” in the observance of the norms of propriety and economy.

The 81-page report said the Lucknow Development Authority extended “undue benefit” of Rs 1.33 crore to a contractor by releasing mobilisation in advance without ensuring availability of clear site and without completing necessary formalities required for obtaining No Objection Certificate from UP Pollution Control Board. It said the Agra Development Authority “failed to provide” the final area of allotted land to allottee within stipulated time and suffered loss of interest of Rs 20.11 lakh.

Likewise, the Ghaziabad Development Authority “failed to recover” charges on corner plots in violation of the state government order which resulted in short realisation of revenue amounting to Rs 98.38 lakh. It also said that consideration of estimated production of timber in place of actual production for royalty purpose resulted in short realisation of royalty amounting to Rs 6.21 crore. The report said that Uttar Pradesh Electricity Regulatory Commission failed to park surplus funds in higher interest bearing options and suffered a loss of interest amounting to Rs 3.29 crore.

The performance audit of Kanpur Development Authority showed that it maintained nine current bank accounts under operation without any justification on records, the report said. It also said that six maps were approved in contravention to building bylaws and plots were allotted at circle rate applicable for agricultural land in place of residential plot rates. Besides, multiplexes were running without obtaining completion certificates.​

PTI