State’s biggest health hub—Rajendra Institute of Medical Sciences (RIMS procured dental equipment valued at Rs 27.17 crore during 2014-19, which was 400 per cent of the budget. Against an original proposal of Rs 5.80 crore for procurement of dental equipment and approved by the Governing Council, the RIMS director submitted a detailed budget of Rs 9.49 crore, but the procured equipment valued at Rs 37.17 crore.
The health hub’s financial irregularities were detected by the Comptroller and Auditor General of India (CAG) annual report. In the Audit report of the CAG, social and economic and revenue sectors including SPSEs, Jharkhand for the year ended 31 March was presented to the state legislature. The CAG was asked to carry out the audit report of RIMS as there were reports of financial irregularities by the health hub.
Principal Accountant General (A&E), Anup Francis Dungdung said, “There were several financial irregularities/ negligence in the procurement of machines, equipment and accessories for Dental Institute of RIMS. Though instructed by the health minister, the director RIMS neither cross verified the compliance submitted by the accused supplier nor surveyed the market price or procurement price of similar equipment in other medical institutions prior to payment of outstanding bill of Rs 5.40 crore and further procured equipment valued Rs 11.40 crore from the same supplier without obtaining the approval of the health minister.”
The CAG apart from audit of health hub also carried out detailed audit of rural electrification schemes in Jharkhand. The CAG in its report detected that there were several discrepancies in planning by Jharkhand Bijli Vitran Nigam Ltd (JBVNL) as the power supplier company did not maintain a database regarding the status of electrification of villagers except consumer database. While conducting field surveys in the seven tests checked districts before commencing the electrification works, the Turnkey Contractors (TKCs) found that 260 electrified villages and 678 non-existent villages were included in the DPRs.
Also the Atal Gram Jyoti Yojana (AGJY) was foreclosed after providing free households electric connection to 1.86 lakh APL households against the target of 3.64 APL households as JBVNL could not provide list of beneficiaries to the Turnkey Contractors (TKCs).
In the State Finances Audit Report of the CAG, anomalies were detected in projects of state government departments.
As many as 125 projects of the road construction department are incomplete in Jharkhand while the state spends more than Rs 2800 crore on it. The blocked amount is more than 50 per cent of the estimated cost of the incomplete projects.
This is the highest figure in the department wise list of incomplete projects. The department is followed by the rural development department with 102 incomplete projects, water resource department with 84 incomplete projects, the drinking water and sanitation department with 42 incomplete projects and the building construction department with 21 incomplete projects.
The blockage of funds in incomplete projects not only exposes the poor quality of expenditure but also deprives the state of intended benefits for prolonged periods. Apart from this, it is also leading to extra burden in terms of servicing of the debt and interest liabilities on funds borrowed for implementation of the project. But officially no one is available to comment on it.
The CAG report highlighted that the State had a revenue deficit of Rs 3,114 crore in 2020-21. The fiscal deficit of the State was 4.70 percent of GSDP at the end of March 2021.
Post audit, the revenue deficit and fiscal deficit was understood to be Rs 188.18 crore . Thus the revenue deficit and fiscal deficit stated as Rs 3,113.86 crore and Rs 14,910 crore in the finance accounts, would actually be Rs 3,302.04 crore and Rs 15,098.92 crore respectively.
