CAG pulls up Guj Govt for Rs 2,517 cr losses in 2004-05

Ahmedabad, Mar 8 (UNI) The Comptroller and Auditor General (CAG) has pulled up the Gujarat Government for incurring losses totalling Rs 2517.11 crore, detected during ''test checks'' of records conducted during 2004-05.

The losses were in the form of under-assessment, short levying and loss of revenue in 1,125 cases in the offices of Sales Tax, Land Revenue, State Excise, Motor Vehicles Tax, Stamp Duty, Electricity Duty, Forest Receipts Registration Fees and certain other departments.

As per CAG Report on Revenue Receipts for 2004-05, tabled in the State Legislative Assembly, Sales Tax tops the list with loss of Rs 1775.75 crore, followed by Land Revenue at Rs 578.04 crore.

The cumulative arrears of Sales Tax reached Rs 12744.53 crore as on March 31, 2005, including arrears totalling Rs 2950.72 crore pending for more than five years. Out of that, recovery of Rs 6613.90 crore was stayed by High Court and other judicial authorities, Rs 107.30 crore was held up due to dealers becoming insolvent and Rs 789.33 crore was unlikely to be recovered and hence proposed to be written off.

However, Sales Tax receipt in Gujarat improved marginally over the years, it being Rs 12957.70 crore as on March 31, 2005 up from Rs Rs 11173.43 crore in 2004, Rs 9,520 crore in 2003, Rs 10134.18 crore in 2002 and Rs 9046.83 crore in 2001.

In Land Revenue, the CAG Report pointed out, improper maintenance of registers led to omissions in indexing and pursuing 233 cases involving recovery of Rs 338.69 crore. Similarly, failure to issue warrants for attachment of properties and initiating auction proceedings in 79 cases involved recovery of Rs 84.41 crore.

There has been a drop in the number of pending Inspection Reports (IRs), issued to the heads of the departments when important irregularities detected during inspection are not settled on the spot, but the amount of revenue involved has increased during the last two years.

The number of outstanding IRs as on June 30, 2005 was 3,152 as against 3,908 and 3,624 the same day in 2004 and 2003 respectively.

The number of outstanding audit observations also fell to 8,139 from 9,988 and 9,307 over the same period.

However, the amount of revenue involved rose to Rs 2375.52 crore in June 30, 2005 from Rs 2361.17 crore and Rs 1969.23 crore the same day in 2004 and 2003.

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