MTNL posts revenue loss due to accounting failure

New Delhi, Mar 14 (UNI) The Comptroller and Auditor General (CAG) of India today pointed out that service provider in Delhi and Mumbai, MTNL has taken a revenue hit of Rs 1.16 crore due to an accounting failure.

The latest report released here has said that the failure of Telecom Revenue Accounting (TRA) wing to issue disconnection orders in time, as also delay by four exchanges of the Mumbai unit of MTNL, in disconnecting Wireless-in-Local Loop (WLL) telephone connections for non payments of rentals has resulted in the loss.

The report said as per rules, telephone connections are to be disconnected in case of non paymenty of bills and rules provide that the Accounting Officer, Telephone Revenue (AOTR) is to issue disconnection orders and on receipt of the same, the exchange officer is to disconect such telephones on the dates indicated.

In respect of 282 WLL connections, there were delays up to 390 days out of which in 81 per cent cases, delay was upto 160 days in sending the disconnection lists to the exchanges.

In respect of 435 WLL connections, though the disconnection lists were sent in time by the TRA wing, the exchnages disconnected these WLL conections after delays up to 499 days, out of which 77 per cent cases delays were more than 120 days.

The delay, which resulted in the loss were for the period October 2004 to October 2005.

Also on account of inadequate mail addresses of the subscribers, more than 50 per cent of the legal notices, issued by MTNL had been returned undelivered.

UNI