The comptroller and auditor general (CAG), which keeps tabs on the finances of Union and state governments, has slammed the Bihar government for its poor performance and irregular spending in the social and economic sectors for the year ending March 31, 2012.
The CAG has found fault with the state’s flood control measures, award of Pradhan Mantri Grameen Sadak Yojana (PMGSY) roads worth Rs 853.45 crore to ineligible contractors, absence of long-term planning for acquisition of land and development of industrial infrastructure in the state, non-formulation of any specific plan to uplift the minorities, financial indiscipline in Patna University and the erstwhile Bihar State Electricity Board’s failure to install working meters that led to a revenue loss.
“Irregular award of works worth Rs 853.45 crore to ineligible contractors resulted in dismal programme implementation of PMGSY in seven divisions and even after the lapse of two to 22 months from stipulated dates of completions, not a single road was fully completed after incurring an expenditure of Rs 119.77 crore,” accountant-general (audit) P.K. Singh said.
Singh, who was accompanied by Sanjay Kumar, accountant-general (accounts), was talking to reporters after the CAG report was laid on the table of the state legislature.
It also said that the imprudent decision to invest funds of Rs 268.71 crore allocated under the Mukhya Mantri Kanya Suraksha Yojana in a mutual fund without instituting any monitoring mechanism had exposed the scheme to market risks. Singh said the government’s investment in MF was not a “sound” decision.
Owing to the withdrawal of Rs 921.32 crore without proper planning and implementation, the funds for specific projects kept shuttling between the bank accounts of implementing agencies at the cost of rural healthcare, Singh said.
The flood control department did not execute long term plans and ignored the enactment of the flood plain zoning bill in the state. Against the target of construction of 1,535km of embankments during the 11th Plan, the government could construct only 61.47km of embankment.
Lamenting the sorry state of affairs of Patna University, the CAG report said the audit was severely hampered owing to non-production/non-maintenance of records while the furnished records revealed failure of financial discipline.
The teacher student ratio at the university, which is functioning with 448 teachers against the sanctioned posts of 1,004 in 31 PG departments and 10 colleges, has reduced to 1:42 as against the UGC norm of 1:10 to 1:30. The CAG lauded the government’s initiatives, such as the industrial incentive policy, but said there was no long-term planning for acquisition of land and development of infrastructure.





