This story is from April 2, 2015

'Delay in MPLAD projects led to wasteful spending'

The Comptroller and Auditor General (CAG) found that projects taken up with MP local area development (LAD) funds in the state suffered from slow progress.
'Delay in MPLAD projects led to wasteful spending'
BHUBANESWAR: The Comptroller and Auditor General (CAG) found that projects taken up with MP local area development (LAD) funds in the state suffered from slow progress.
In its recent report, the auditor said only 52% to 67% of MPLAD funds were utilized during 2010-13. The collectors of Khurda and Cuttack had requisitioned funds from the Centre based on which Rs 13 crore was released.
"Poor utilization of funds coupled with requisition of funds despite availability resulted in accumulation of Rs 29.06 crore," the audit report said.

The report also mentioned that the district collectors received utilization certificates for only Rs 65.99 crore against the release of Rs 123.86 crore.
Though tenure of 13 Rajya Sabha MPs expired on March 31, 2013, unutilized sum of Rs 4.07 crore under MPLAD was lying with collectors of Cuttack, Khurda, Mayurbhanj and Sundargarh.
Coming down heavily on Cuttack collector, the CAG said 15 projects, costing Rs 50 lakh, were awarded to six private agencies without having adequate expertise.
The auditor also found abnormal delay in sanction of works and non-completion in stipulated time, leading to wasteful expenditure.

Though a committee headed by development commissioner was constituted in July 2007 to monitor implementation of MPLAD projects, it did not meet even once, the CAG noted.
It also took potshot at the state government over functioning of self help groups (SHGs). While more than hundred crores of rupees were sanctioned, no eligible list of SHGs was maintained at BDO, CDPO or municipality level.
There was no documentary evidence in support of the visits of block level authorities to different SHGs. There was also no database of defunct SHGs.
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