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CAG raps J&K over 'mismanagement' in MGNREGA

Kashmir Times. Dated: 4/5/2013 11:31:16 PM

JAMMU, Apr 5 (Agencies): The Comptroller and Auditor General (CAG) has criticised the Jammu and Kashmir government over lapses in MGNREGA implementation, including delayed release and misutilisation of funds.
The auditor directed the state government to scrupulously follow modalities prescribed in the act.
The CAG report was tabled in the state Assembly today by the state Finance Minister Abdul Rahim Rather.
"No annual report on the state of affairs of the scheme had been brought out and tabled in the state legislature as required under the programme guidelines," the report said.
"A performance review of the scheme, MGNREGA, by the audit brought to fore several areas of concern such as unauthorised retention of funds, delayed release and diversion of funds, execution of unapproved works, delay in payment of wages to workers," the report of CAG for the year ending March 31, 2012, revealed.
Other areas of concern included preparation of faulty estimates, shortfall in engagement of staff and their inadequate training, inadequate inspection of works and social audit for proper monitoring of scope, extent and quality works executed and retention of disbursed balance in the state employment guarantee fund, the auditor said.
State employment guarantee fund, though establish, has not been operated as intended on March 2012, and there was undisbursed balance of Rs 15.81 crores in the fund mainly representing arrears of undisbursed difference in wages, it said.
Indicting the state government, it said perspective plans have not been formulated in initial years of implementation of the scheme and the labour budget had not been submitted to the Centre belatedly.
The CAG further said that unspent balance had increased from Rs 7.07 crore as of April 2007 to Rs 127.66 crores at the close of March 2012.
"The cases of retention, delayed release and diversion of funds were noticed in the audit," it said.
Audit notices retention of Rs 83.77 crores by District Rural Development Agency (DRDA) during 2007-12 for the period ranging 20 days to five months.
The report further said that money to the tune of crores of rupees have been diverted to other heads and was spent on payment of compensation, purchase of diesel generators, hiring of vehicles, purchase of stationary items and travelling bills and fuel charges of officials in violation of the guidelines.
CAG reveals that out of the total 27.69 lakh household in the state, the number of households provided employment ranged between 1.44 lakh (5 percent) and 5.67 lakh (20 per cent) in 2007-2012. Nine percent households which demanded employment were not provided employment nor was unemployment allowances paid to them.
Digging further in the fate of the scheme in Jammu and Kashmir, CAG says that the delay in payment of wages ranged between 3 to 547 days.
While, 680 unapproved works have been executed at a cost of Rs 5.24 crores, 2,950 works included had not been taking up for execution, it said adding a total number of 484 works have been abandoned after spending Rs 12.92 crores.
It also pointed to overall shortfall of 76 percent (4,225 personnel) in engagement of staff of various posts under the scheme and shortfall in imparting training to the staff ranging between 28 to 100 percent.
The department had neither constituted monitoring committees to monitor the quality of works nor appointed ombudsman to deal with the complaints.
While the shortfall in conducting inspection ranged between 29 and 85 percent, the shortfall in respect of social audit was 43 percent.
It strongly recommended scrupulously following up the modalities prescribed under MGNREGA Act, adequate staffing in the department and constituting and strengthening monitoring committees.