CAG points out loopholes in CAPD department

CAG Audit has come down heavily on the Consumer Affairs and Public Distribution (CAPD) Department in the state of Jammu and Kashmir, as the Audit Report has highlighted certain grey areas in the Department.

In the Audit Report it has said that the department did not review the list of BPL families leading to issue of food grains valuing 17.89 crore to ineligible families while depriving eligible BPL families. Further, 1.09 MTs additional adhoc food grains allocated by GoI for ‘not covered BPL families’ had been distributed among existing BPL card holders during 2010-12.

Proforma accounts were in arrears, according to the report, since 1973-74, adding that 2934.64 crore was released to Food Corporation of India (FCI) and the department had not carried out any reconciliation with the FCI to ascertain the extent of actual advance payments made and quantum of food grains lifted.

The Department has distributed Kerosene oil to LPG consumers, which as per the report, has resulted in the huge losses to the state exchequer, “Distribution of Kerosene oil to LPG consumers resulted in an avoidable burden of subsidy of 459.24 crore on Government exchequer,” the report said.

The report further says that the expenditure of 1.50 crore incurred on construction of laboratories turned unfruitful besides, 5.61 crore, released under end-to-end computerization of PDS scheme, remained un-utilized.

“The Scheme was time bound and the expenditure was to be incurred by the end of 2011-12. The Department belatedly acquired land (2011-12) for setting up of two laboratory buildings. Till then funds amounting to 1.50 crore remained parked with Finance Department.”

Audit Report alleges that the Department without seeking the concurrence of the Government of India, CAPD decided to setup laboratory buildings, one each at Srinagar and Jammu, “Instead of constructing laboratories at six district headquarters, the Department decided to set up two laboratory buildings, one each at Srinagar and Jammu, without seeking the concurrence of the Gol,” the report reads.

Work of construction of laboratories was allotted (March 2012) to Jammu and Kashmir Housing Board at an estimated cost of 102 lakh (Srinagar) and 95 lakh (Jammu). The Project was to be completed within the approved cost for which 1.50 crore were released to the Board.

Thereafter, the report says “the Department had not monitored the progress of execution of the Project and had not released the balance amount of 47 lakh. As a result, the Project had not been completed.”



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