CAG report points to 'discrepancies' in MLACDS implementation

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Chennai, May 16 (UNI) Comptroller and Auditor General (CAG) today charged the Rural Development and Panchayat Raj Department with discrepancies in the implementation of the MLA Constituency Development Scheme (MLACDS).

Talking to newspersons here, Accountant General-Commercial and Receipt Audit, Tamil Nadu, S Murugaiah said unutilised funds released during 2002-04 were retained though no work was pending and Rs 30.75 crore was diverted to an unrelated scheme. It also found that execution of works prohibited under the scheme had resulted in 'ineligible' expenditure of Rs 23.80 crore.

Fund utilisation during 2006-07 was poor with an estimated Rs 173 crore, out of Rs 282 crore, remaining unutilised.

On physical achievement, the report said out of the 56,228 works taken up, only 25,916 were completed.

The report found that funds amounting to Rs 23.18 crore and Rs 48.17 crore, related to 2002-03, were released to the districts only in April and August 2003. Besides, 50 per cent of the funds relating to 2003-04 was released only in February and March, 2004.

The CAG found that though the department reported that no works relating to 2002-04 were pending, Rs 20.50 crore was retained by the District Rural Development Agencies without justification.

The CAG took special note of the poor performance of the scheme in Chennai, where Rs 16.94 crore out of the Rs 18 crore outlay remained unutilised. Most of the works relating to 2002-03 and 2003-04 were completed after a delay of about two years. Five works (2005-06) and 57 works (2005-06) were pending and none of the 122 works, taken up during 2006-07, was completed nor specific reasons assigned.


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