CAG detects 1759 misappropriation cases in Odisha
"Utilisation certificates for Rs 27920 crore had not been received from the grantee institutions for the grants-in-aid paid to them at the close of March, 2012," the CAG said in its report on state finances for the last fiscal.
The report, tabled in Odisha assembly on Thursday, said delays were noticed in submission of annual accounts by the commercially managed departmental undertakings.
There were 1759 instances of misappropriation and defalcation which involved Rs 17.09 crore up to the period ending March 2012 on which action was pending, the CAG said.
During 2011-12 there was overall saving of Rs 7258.40 crore but the savings were mainly due to slow programme implementation and largely contributed to surpluses on the revenue account, the CAG report said.
There were instances of persistent savings, excess expenditure and expenditure without provision of funds, unnecessary/excessive supplementary provision, substantial surrenders, non-surrender of anticipated savings during the current year, it said.
Observing that there were instances of rush of expenditure during the last month of the financial year, it said, "Budgetary controls should be strictly observed to avoid such deficiencies in financial management."
The CAG said abstract contingent bills for Rs 62.18 crore were lying unadjusted for up to eight years as of March 2012 by various drawing and disbursing officers, while Rs 656.07 crore was lying unspent in 889 personal deposit (PD) accounts and were not credited back to Government account.
Though the state had a huge surplus cash balance, the same was invested in Government of India treasury bills with Reserve Bank of India with low interest rates, it said.
In view of comfortable position of cash balances and with a revenue surplus of Rs 5607 crore and a fiscal surplus of Rs 622 crore, the surplus cash could have been utilised in providing more funds under capital sector/creating assets, the CAG report said.
Since keeping huge idle cash balance is against prudent cash management, steps may be taken for spending on capital projects for asset creation, it said.