CAG red flags incomplete work on 397 projects worth Rs 1,518 crore in J-K

Jammu: Nearly 400 public welfare projects in Jammu and Kashmir remained incomplete despite incurring an expenditure of over Rs 1,000 crore over the past decade till the end of financial year 2021-22, the Comptroller and Auditor General (CAG) has said.
As many as 378 of these projects were taken up by different government departments between 2019 and 2022, the CAG said in its latest audit report on the Union Territory Finances for the year ended March 31, 2022.
” 397 capital works having original estimated cost of Rs 1,518.66 crore, taken up by four departments (viz Irrigation and Flood Control Department, Jammu (61 works) and Jal Shakti (PHE) Department Kashmir (216 work), Jal Shakti (PHE) Department Jammu (119 ) and Mechanical Engineering Department Kashmir (one) targeted to be completed during the period 2012-13 to 2014-15 and 2017-18 to 2021-22 were incomplete at the end of the year 2021-22,” the CAG said.
It said the cumulative expenditure of Rs 1,095.52 crore incurred on these incomplete works got blocked.
Giving the breakup, the report said one project was sanctioned in 2012-13, two in 2013-14, nine in 2014-15, two in 2017-18, five in 2018-19, 85 in 2019-20, 203 in 2020-21 and 90 in 2021-22 at a cumulative cost of Rs 1,518.66 crore.
The irrigation and flood control department, Jammu, made the highest expenditure of Rs 614.22 crore followed by Rs 246.95 crore by the Jal Shakti (PHE) department, Jammu, Rs 233.65 crore by the Jal Shakti (PHE) department, Kashmir, and Rs 70 lakh by the mechanical engineering department, Kashmir.
The CAG also pulled up the government for poor recovery of loans in the Union territory.
“During the year 2021-22, the Government of Union Territory of Jammu and Kashmir disbursed loans and advances of Rs 73.77 crore and recovered loans and advances amounting to Rs 1.03 crore. Out of total loans disbursed during 2021-22 loans amounting to Rs 40.00 crore was disbursed to J&K Road Transport Corporation Limited (JKRTC) which already had outstanding loans of Rs 439.23 crore ending 31 March 2021 (Rs 383.73 crore received from erstwhile State and Rs 55.50 crore from UT of J&K),” the report said.
It said as per last audited accounts for the year 2018-19, JKRTC booked losses of Rs 117.62 crore.
“Recoveries of loans and advances are not forthcoming from loss-making public sector undertakings. No assessment about potential recoverability of these loans has been made in the Fiscal Responsibility and Budget Management (FRBM) statements,” the CAG said.
It said the government had a total outstanding loans and advances of Rs 168.25 crore ending 31 March 2022.
“In addition, there were loans and advances of Rs 1,740.44 crore disbursed by the Government of erstwhile State which were outstanding ending 30 October 2019 and were yet to be divided between Union Territory of Jammu and Kashmir and Union Territory of Ladakh,” the report said.