: CAG detects lack of transparency in Budgetary, Accounting Process in JK #IndiaNEWS #Todays story Lump sum budgetary provision of Rs 3430 cr placed with officers *Excess expenditure of Rs 2210 cr made

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CAG detects lack of transparency in Budgetary, Accounting Process in JK #IndiaNEWS #Todays story
Lump sum budgetary provision of Rs 3430 cr placed with officers
*Excess expenditure of Rs 2210 cr made in 9 months
Mohinder Verma
JAMMU, Apr 11: The Comptroller and Auditor General (CAG) of India has detected lack of transparency in the Budgetary and Accounting Process and preparation of allocations on unrealistic proposals in Jammu and Kashmir. Moreover, it has brought to the fore placement of lump sum budgetary provision of Rs 3430 crore with the Controlling Officers in contravention to the State Financial Rules and excess expenditure of Rs 2210 crore in nine months.
Pointing towards transparency of Budgetary and Accounting Process, the supreme audit institution of the country, in its report, said, “the Jammu and Kashmir Budget Manual envisages that making of lump sum provisions, if at all necessary, should be resorted to only in very rare cases. The inclusion of lump sum provisions in a budget has to be exceptional and not followed as a rule as the lump sum provisions without identifying the exact object of expenditure is against transparency�.
During audit, it came to the fore that lump sum budgetary provision of Rs 3,430. 52 crore, which constitute 17 per cent of total provision of Rs 20,130. 22 crore of the grant was placed with Controlling Officers in Finance Department under two Major Heads—Pension and Other Retirement Benefits and Interest Payments in contravention of the State Financial Rules. “The issue was highlighted in previous years Audit Reports also but remedial action has not been initiated�, the CAG has mentioned in the report.
About the Budget projection and gap between expectation and actual, it has been pointed out that the total provisions for expenditure during 2019-20 (April 1, 2019 to October 30, 2019) was Rs 48,248 crore but the actual expenditure during the year was Rs 50,459 crore and this resulted in excess expenditure of Rs 2219. 95 crore in 2019-20, the CAG said.
“The expenditure control mechanism of the J&K Government was not effective, as overall utilization of budget was 4. 58 per cent over and above the total amount of grants and appropriations during the period between April 1, 2019 and October 30, 2019, the audit body said, adding “Budgetary allocations were based on unrealistic proposals as out of total 36 grants, in six grants savings were more than Rs 100 crore. In four cases, persistent savings of more than Rs one crore in each case and also by ten per cent or more of the total grant, were noticed in one grant in Revenue (Voted) section and three grants in Capital (Voted) section, during the last five years�.
The CAG has stressed that the excess expenditure of Rs 2,210.

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