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CAG report reveals Rs.21.46 crore wasted

PUDUCHERRY: The report of the Comptroller and Auditor General (CAG) of India for 2006-07 has pointed to the disbursement of Rs.28.97 lakh in scholarship to ineligible students by Puducherry’s Adi Dravida Welfare Department.

The audit of financial transactions test-checked in various departments of the government and their field offices revealed instances of avoidable or unfruitful expenditure of Rs.21.46 crore, it said. The report, tabled in the Assembly on Monday, said the regulations governing the pre-matric scholarship to the children of those engaged in unclean occupation, issued by the Central Government in April, stipulated that the assistance be given to the children of those who were actively engaged in scavenging of dry latrines, and other unclean occupations.

The department had not conducted any survey to identify persons traditionally engaged in unclean occupations. Instead, it processed all the applications received and sanctioned scholarship to children of sanitary assistants and safaiwalas working in government, municipalities and commune panchayats, it said.

A survey conducted by the Puducherry Adi Dravidar Development Corporation in February and March 2006 on the Supreme Court’s directive revealed that there were 87 families comprising 348 persons, including 76 children in the age group of 5 to 15, belonging to scavengers of dry latrines in all the four regions of the Union Territory. The Department, however, issued scholarship to 2,060 children during 2007-07, the report said. The eligibility criteria for post-matric scholarship stipulated that the beneficiary should not receive any other stipend. This condition was not included in the application, it said.

A test-check of the records of the Mother Theresa Institute of Health Sciences revealed that 84 students who were paid post-matric scholarship between October 2004 and February 2006 were also given stipend. This resulted in an excess payment of Rs.5.96 lakh. The Government sought directions from the Centre in November 2006 after withholding payments during 2006-07.

The Department had not ensured payment of scholarship to all eligible students, the report said. The scholarship to the ineligible students had resulted in excess payment of Rs.17.11 lakh.

Audit scrutiny of several water supply schemes revealed extraction of groundwater in excess of what was required, and supply of water in violation of the norms prescribed by the Centre. This resulted in creation of unnecessary infrastructure and wastage of water.

The report said poor expenditure control had resulted in accumulation of grants-in-aid of Rs.4.60 crore with the Pondicherry Agro Products, Food and Civil Supplies Corporation. “The instruction of the Government of India was not followed to identify the really poor and vulnerable section and to stop supply of kerosene to ration cardholders having liquefied petroleum gas connection,” it said.

On the performance of the Pondicherry Industrial Promotion Development and Investment Corporation, the report said the delay in completion of the industrial growth centre at Karaikal had resulted in cost overrun of Rs.2.28 crore.

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