Wednesday, July 24, 2019

CAG report unearths misappropriation, theft of Rs 14.94 crore in govt depts

DECCAN CHRONICLE. | J.V. SIVA PRASANNA KUMAR

Published Jul 23, 2019, 6:14 am IST

The government is advised to check the parking of funds in other departments also, and take appropriate corrective measures.

Tamil Nadu government

Chennai: As many as 26 government departments have caused a total loss of Rs. 14.94 crore to the State government due to theft, misappropriation and shortage. As on March end, 2018, 363 cases of misappropriation, shortage, theft and loss involving the sum are pending disposal.

As per Article 294 of the Tamil Nadu Financial Code stipulates that heads of office should report all cases of defalcations or loss of public moneys, stores or other movable or immovable properties to the AG (A&E).

But the reasons for pendency of cases were given by the heads of departments as awaiting departmental and criminal investigation, department action initiated but not finalised, criminal proceedings finalised but recovery of amount still pending and awaiting orders for recovery or write off besides pending in courts of law.

But, the Financial Code prescribes the principles and procedures to be followed for enforcing responsibility for losses and disposal of such cases. While some of the theft cases have been pending for about five years, the misappropriation cases are pending for about 11 to 15 years.

The Comptroller and Auditor General of India which unearthed ‘serious lapses’ told the government in its State Finance Audit Report ending March 2018, not to park money outside government account but draw as and when required. “The government is advised to check the parking of funds in other departments also, and take appropriate corrective measures,” the report said.

During the period from 2015-16 to 2017-18 government funds were kept in banks and it was noticed that out of 422 bank accounts, 153 had a balance of Rs 201.31 crore and were not operated for more than a year. The bank accounts were inoperative except for interest credit and bank charges. Non-operation of these accounts for more than a year indicted that these funds were not required immediately and hence keeping these amounts in bank accounts was not in order.

The report also found that seven Pay and Accounts Offices (PAO) had 55,296 cheques for `69.30 crore remaining unencashed (June 2018) for periods upto 30 years. The government has taken no steps to resolve the long pending issues.

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