1,002 GGY projects sanctioned illegally

CAG report

Bhubaneswar: As many as 1,002 projects worth Rs 19.64 crore under Gopabandhu Gramin Yojana (GGY) in three Zilla Parishads (ZPs) have been sanctioned by Collectors and funds have been released to the Panchayat Samitis (PSs) in an unauthorised way, the Comptroller and Auditor General (CAG) of India has flagged. According to the CAG’s subject-specific compliance audit (SSCA) on the implementation of GGY, a fully state-funded scheme aimed at bridging gaps in rural infrastructure, district Collectors are required to place all proposals, received from the ‘Palli Sabhas’ through the PSs, before the District Planning Committees (DPCs) for consideration and approval. Finalisation of the list of projects to be taken up under the GGY vests with the DPC. “Audit, however, noticed that in three ZPs (Keonjhar, Jajpur and Ganjam), out of the seven test-checked districts, 1,002 projects, with an estimated cost of Rs 19.64 crore, had been sanctioned by the Collectors without approval of the DPCs and funds had been released to the PSs for execution. The absence of approval of the competent body – DPCs – resulted in unauthorised sanction of Rs 19.64 crore. This defeats the purpose of the 73rd Constitutional Amendment Act, 1992 which aims to empower PRIs as autonomous decision-making bodies at the grassroots,” it said. “Confirming the facts, the CDO-cum-EOs of these ZPs, stated June 2022 that the projects approved by the Collectors could not be placed in the DPC meetings, inadvertently,” it added.

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During 2017-22, five PSs diverted Rs 2.82 crore out of GGY funds for expenses not admissible under GGY. Out of it, Rs 0.40 crore was pending for recoupment as of March 2022, it said. As per GGY guidelines, deductions from works such as royalty, labour welfare cess are to be remitted to the appropriate authority. However, an amount of Rs 80.29 lakh received towards deductions from works since FY2017-18 had been retained by eight PSs in their bank accounts, the auditor found.

In 20 PSs, 219 works could not be completed despite utilisation of Rs 7.90 crore. Delays in the completion of these works had ranged from 30 to 1,438 days, it added. On utilisation of funds received by PRIs from State Finance Commission (SFC) Grants, the CAG said, six PSs and one GP had utilised Rs 1.09 crore on items (stationery, inverter and air conditioner) not admissible under SFC Grants. In 12 GPs, assets constructed during 2017-20 at a cost of Rs 1.05 crore remained idle, resulting in loss of revenue to these GPs, it said.

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