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After 2G, CWG, Fertilizer Subsidy Scam: CAG Ready With Report

PTI 02 Aug 2011, 22:54:25 IST

New Delhi, Aug 2 : The Comptroller and Auditor General of India (CAG) is ready with its report on fertilizer subsidy and reportedly found that at least Rs 50,587 crore of subsidy was disbursed without proper verification of claims, The Times of India reported.

As a matter of fact, over the next few days, the government is expected to table another CAG audit that may raise politically uncomfortable questions for the UPA government.

The CAG report on fertilizer subsidy disbursed by the central government is ready for tabling, sources said.

The audit agency has picked several loopholes in the way the government has been utilizing the subsidy, and has found that at least Rs 50,587 crore of subsidy was disbursed without proper verification of claims.

In its report on fertilizer subsidy, the auditor found that companies which received subsidy from government for non-urea fertilizers did not submit evidence of sales and verification certificate from respective state or union territory administration.

Coming at a time when the issue of corruption remains centrestage, the CAG's adverse observations about the PMO's role in deciding the leadership of the Organising Committee for Commonwealth Games will fuel the government-opposition duel on graft.

Minister of state in the PMO V Narayanasamy said there was no finality to CAG's observations which were required to be vetted by Parliament's PAC.

However, leader of opposition in Rajya Sabha Arun Jaitley said the auditor's questions showed that there was no proper scrutiny of Suresh Kalmadi's credentials to oversee allocation of hundreds of crores.

Besides, the CAG also listed out several shortcomings of the central government, the Delhi government, CPWD, DDA and other government agencies involved in organizing the Games. In another report to be tabled this week, CAG is critical of the way Coast Guard handled its purchases post-26/11.