Latest news with #CAG)ofIndia


The Hindu
5 days ago
- Business
- The Hindu
CAG flags ₹49,649 crore in pending utilisation certificates in Bihar
The Comptroller and Auditor General (CAG) of India, in its report on the Finances of Bihar for the year 2023-24, has flagged significant financial irregularities, including pending Utilisation Certificates (UCs) amounting to ₹49,649 crore as on March 31, 2024. The report was tabled in the State Assembly on Thursday (July 24, 2025), the fourth day of the ongoing monsoon session. 'The top five defaulting departments included the Panchayati Raj Department, Education Department, Urban Development Department, Rural Development Department, and Agriculture Department,' the report stated. It further observed, 'In the absence of UCs, there is no assurance that funds disbursed have been used for the intended purpose. Moreover, high pendency of UCs is fraught with the risk of embezzlement, misappropriation and diversion of funds.' The audit report also highlighted that Abstract Contingency (AC) Bills worth ₹22,130 crore were pending for submission of Detailed Contingency Bills as of March 31, 2024. It further noted that the State government, through a State Public Sector Enterprise (SPSE), raised ₹53.48 crore as off-budget borrowings that did not flow into the Consolidated Fund of the State but are still required to be repaid and serviced through the budget. 'This indicates lack of internal controls in the administrative departments,' the report said. However, the CAG report also recorded a rise in actual expenditure by the State. 'The Budget Outlay (Actual Expenditure) of the State grew from ₹1,49,641.92 crore in 2019-20 to ₹2,60,718.07 crore in 2023-24,' it stated. 'During financial year 2023-24, GSDP of the State grew at 14.47% over the previous year, and the revenue expenditure increased by 3.55% whereas revenue receipts rose by 11.96%,' the 166-page report said. The committed expenditure, which includes interest payments, salaries, and pensions, accounted for 36.89% of revenue expenditure and 36.35% of revenue receipts during 2023-24. 'The committed expenditure increased at an average rate of 8.86%, from ₹48,477.72 crore in 2019-20 to ₹70,282.32 crore in 2023-24,' it said. For the financial year 2023-24, the State budget stood at ₹3,26,230.12 crore. 'The State spent ₹2,60,718.07 crore (79.92% of the total budget), which was less than its original budget. The State surrendered ₹23,875.55 crore (36.44%) of its total savings of ₹65,512.05 crore,' the report said. The report also flagged unadjusted temporary advances of ₹184.52 crore and unadjusted imprest of ₹25.46 crore as on March 31, 2024. 'These unadjusted amounts from departments such as Building Construction, Public Health Engineering, Irrigation, Road Construction (National Highway), Rural Works, Minor Irrigation, Local Area Engineering Organisation, and Road Construction were required to be adjusted and deposited to the treasury concerned,' it stated. Significantly, the report pointed out that the Public Accounts Committee (PAC) did not hold any sittings to discuss the State Finances Audit Reports (SFARs) during 2023-24. 'Out of 388 paragraphs pertaining to the years from 2008-09 to 2021-22, only three paras were discussed and 385 were pending for discussion till March 2024,' it said. The CAG further noted that the State government failed to discharge its liability of ₹144.29 crore in interest payments towards interest-bearing deposits during the financial year. It also highlighted that off-budget liabilities of ₹53.48 crore were not disclosed in the budget documents or the annual financial statements.
&w=3840&q=100)

Business Standard
19-07-2025
- Business
- Business Standard
CAG flags excise lapses in Maharashtra, cites revenue loss of several crore
The Comptroller and Auditor General (CAG) of India has pulled up the Maharashtra state excise department for serious lapses in its operations, which have led to a substantial revenue shortfall. The CAG report pointed out that due to incorrect assessment of licence renewal fees, the state lost Rs 20.15 crore in revenue and Rs 70.22 crore in interest. The audit further stated that failure to implement revised rates for supervision fees had caused an additional shortfall of Rs 1.20 crore. According to the report, the then Excise Commissioner exempted excise duty on old stock of beer without obtaining prior approval from the state government. The report also highlighted that the delayed submission of mild beer samples for chemical analysis had hampered tax recovery to the tune of Rs 73.18 crore. "Under the Bombay Prohibition (Privilege Fee) Rules, 1954, a provision exists to charge fees for changes in partnership. However, no such provision was applicable to significant changes in shareholding of public limited companies, resulting in a loss of Rs 26.93 crore to the state," the CAG observed. The absence of a provision in the Excise Act for declaring production cost also led to a missed opportunity for the government to earn additional revenue, it added. The audit further revealed that in the case of Canteen Stores Department (CSD), the production cost of 11 products or brands was undervalued, causing a revenue loss of Rs 38.34 crore in excise duty. Additionally, errors in the purchase cost of imported foreign liquor resulted in non-collection of Rs 11.48 crore between August 2018 and March 2022, and Rs 2.89 crore between May 2017 and March 2022. The cumulative effect of these lapses caused a massive revenue loss for the government, raising serious concerns about the functioning of the Excise Department, the CAG stated.


The Hindu
19-07-2025
- Business
- The Hindu
Maharashtra excise department lapses caused revenue loss of several crore rupees: CAG
The Comptroller and Auditor General (CAG) of India has pulled up the Maharashtra State excise department for serious lapses in its operations, which have led to a substantial revenue shortfall. The CAG report pointed out that due to incorrect assessment of licence renewal fees, the State lost ₹20.15 crore in revenue and ₹70.22 crore in interest. The audit further stated that failure to implement revised rates for supervision fees had caused an additional shortfall of ₹1.20 crore. According to the report, the then Excise Commissioner exempted excise duty on old stock of beer without obtaining prior approval from the State government. The report also highlighted that the delayed submission of mild beer samples for chemical analysis had hampered tax recovery to the tune of ₹73.18 crore. "Under the Bombay Prohibition (Privilege Fee) Rules, 1954, a provision exists to charge fees for changes in partnership. However, no such provision was applicable to significant changes in shareholding of public limited companies, resulting in a loss of ₹26.93 crore to the state," the CAG observed. The absence of a provision in the Excise Act for declaring production cost also led to a missed opportunity for the government to earn additional revenue, it added. The audit further revealed that in the case of Canteen Stores Department (CSD), the production cost of 11 products or brands was undervalued, causing a revenue loss of ₹38.34 crore in excise duty. Additionally, errors in the purchase cost of imported foreign liquor resulted in non-collection of Rs 11.48 crore between August 2018 and March 2022, and ₹2.89 crore between May 2017 and March 2022. The cumulative effect of these lapses caused a massive revenue loss for the government, raising serious concerns about the functioning of the Excise Department, the CAG stated.
&w=3840&q=100)

Business Standard
29-06-2025
- Business
- Business Standard
Telangana's growing debt raises questions over fiscal sustainability
Experts say the state's economy is grappling with hidden debt, rising welfare costs, and lack of transparency premium M Sharanya Listen to This Article Recent data from the Comptroller and Auditor General (CAG) of India has validated concerns expressed by Telangana Chief Minister Revanth Reddy that his state is facing a monthly revenue shortfall of ₹4,000 crore. This, Reddy had said, was pushing the state towards 'bankruptcy'. According to CAG data, the state reported a revenue deficit — the gap between current expenditure and receipts — of around ₹4,023 crore in the first month of the current financial year. The state government has projected a revenue surplus of 0.2 per cent in the Budget Estimates (BE) for 2025-26. The state's fiscal deficit is pegged