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Bangalore: CAG attacks CM's grant of Rs 100 crore each to city corporations

Bangalore: CAG attacks CM's grant of Rs 100 crore each to city corporations

From Our Special Correspondent
Daijiworld Media Network - Bangalore

Bangalore, Jun 6: The Comptroller and Auditor General of India (CAG) has found loopholes in the estimation of works under Chief Minister’s special grant of Rs 100 crore each to seven city corporations and said they had been prepared without proper investigation and also split up to avoid obtaining prior sanction from higher authorities.

The CAG in its report on the financial grants to Local Bodies for the year ended March 2012, which was tabled in the Legislative Assembly on Thursday pinpointed that road works have received a lop-sided priority in action plans prepared by City Corporations.

While the proportion of road works in the action plans of Davanagere and Hubli-Dharwad civic bodies was 59 per cent and 68 per cent respectively, it was 58 per cent in Bellary.

The CAG also found that improvement of parks (Rs 10.94 crore) and improvement of village roads (Rs 5.71 crore) had been included in the action plans of Davanagere and Hubli-Dharwad city corporations respectively, though not permissible by the criteria fixed by the Government.

It also pointed out that no data was provided regarding prioritization of the works in seven city corporations.

The government had approved (August 2008) release of Rs 100 crore each to the seven city corporations over a period of two years during 2008-09 and 2009-10 to assist the city corporation’s to take development works in the respective cities as emerging growth centres and to reduce the pressure on Bangalore city.

The tendering process lacked transparency as controls prescribed for ensuring competitive bidding had been overridden and contracts had been awarded to ineligible agencies, the CAG said pointing out that the contract management was ineffective as many items of work had been executed in disregard of the Indian Roads Congress guidelines, without justification.

Payments to contractors had been made in several instances without following due procedures resulting in excess expenditure of Rs 1.88 crore, it said.

A committee headed by the Minister-in-charge of the district was required to prepare an action plan for implementing works designed to deliver important municipal services.

As the committees only reacted to the recommendations coming from the city corporations, there was no clear articulated minimum threshold measure for the cities' growth expected to be achieved by works to be taken up, the CAG report said.

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Comment on this article

  • Louis D'Souza, Kuwait

    Fri, Jun 7 2013

    CAG will find fault with BJP govts allocation to temples in budget once audit is over. Poor Dinesh his party lost terribly to Haladi in Kundapura. BJP lost deposit. So don't take his comments seriously. Losers must not talk more.

    DisAgree [2] Agree [1] Reply Report Abuse


    Fri, Jun 7 2013


    Mangalore is typing mistake which corrected up on publishing but DAIJI published it bit late.You are in Bangalore and I guess well informed about BBMP.It's gotala started from 20/20 with HDK and it was under the clutches of RA?BBMP's gotala may biggest after mines looting by BJP govt in Karnataka!Don't misguide or feign ignorance citing technical/typing mistake.All 7 corporations were had strictures by CAG and Mangalore's figure is sourced from VB daily.Just wait some other gotalas are on the way(from Bangalore)they even misused Union Govt's JNURM and other SUVIDHAs

    DisAgree [2] Agree [1] Reply Report Abuse

  • Vincy, Bangkok

    Fri, Jun 7 2013

    Not surprised that,CAG could find out the Lapses but Dinesh Poojary -Kundapaura has all the records.
    The other day Shettar wanted the same report,but he himself not aware what they have done because there was not a single day went without internal fight.The whole 58 months of BJP rule was black mark in the history of Karnataka.Not a single day was peaceful for Eddy,DVS or Shettar and how you can expect them to work as CM.They just counted cash,granted crores to temples and discussed how to Ban cow laughter when we need leather seats for the cars we use.

    DisAgree [1] Agree [5] Reply Report Abuse

  • Homer, Mangalore

    Fri, Jun 7 2013

    Questions have been raised about several schemes in Gujarat as well...When you condemn Central govt for alleged misapprpriation of funds are you willing to condemn guj administration as well?

    DisAgree [5] Agree [3] Reply Report Abuse

  • Stephen Pinto, Kadri, Bendore Mangalore

    Fri, Jun 7 2013

    Dear Friends... Whether it is BJP or Congress.. we have now made a choice of a better than worse in our election. Whether a corruption is related to BJP or Congress, two wrongs can not make one right. We should first look at our Local Body and State level corruption to be managed first rather than pointing fingers at the Centre. Both have issues to be managed. By comparing each others corruption, the corruption is not going to be managed and instead parties will start defending on who is the better robber. Can we please stop comparing the status of corruption and collectively start dealing with the problem in hand by assisting the Law Enforcement in whatever little way we can act.

    DisAgree Agree [8] Reply Report Abuse

  • Vincent Rodrigues, Katapadi/Bangalore

    Fri, Jun 7 2013

    I fully agree with the observtions of CAG with regard to grave lapses in CM's grant to city corporations.The BJP's mismanagement has pushed the state from top to bottom in development.BJP's rule has become a curse to the people and if there is any development it is the ministers who amassed wealth enough for their few generation.Hope,the present government expose them fully to the people.Thanq..

    DisAgree [4] Agree [10] Reply Report Abuse


    Thu, Jun 6 2013

    We heard lot of Gotals in BBMP but that report not mentioned in the report specifically.

    DINESH.....have you heard BBMP gotala in managlore amounting @ least 10,000,00 crores?If I AM WRONG CORRECT me.This figure was extract of TOI last year.I don't know CAG audited year 2012-13 financial year.

    DisAgree [15] Agree [15] Reply Report Abuse


    Thu, Jun 6 2013


    I meant BBMP GOTALA BANGALORE in year till 2012 in various projects..It is not budgetary allocations only but included other projects,we heard BBMP officials cleared so many projects by working day and nights!!!!(SUVARNA NEWS 24 x7)

    I just recieved a message in my FB short while ago that MCC (Mangalore) also has some gotala and it paid all dues before work completion that figure was 90.5 crore!!!!!!

    DisAgree [4] Agree [1] Reply Report Abuse

  • Jacob Mendonsa, Bangalore

    Fri, Jun 7 2013

    Dear Ismail,
    As per the Media reports, some of the BBMP, officials in Bangalore,misappropriated Rs.1539/- crores by submitting bogus bills during the BJP regime in the year 2012.

    DisAgree [1] Agree [2] Reply Report Abuse

  • Dinesh Poojary, Kundapura/Bengaluru

    Thu, Jun 6 2013


    Do you know how many zeroes for ten thousand? Secondly BBMP is not in Mangalore. BBMP has not involved in the scams what you claim here. If you think it is true go to HC and appeal...

    Infrastructure of Mlr, Mys, Gulbrg, Hubli etc etc are good today because of 100 Crore allocation per year from BJP Govt. Congress funded only for Bangalore. CAG does not know the truth.

    DisAgree [5] Agree [4] Reply Report Abuse

  • Sunil , Karkala

    Fri, Jun 7 2013

    You mean to say CAG knows the truth only when it comes to the Central government?

    DisAgree [1] Agree [6] Reply Report Abuse

  • Avinash, Kasaragod/Bangalore

    Thu, Jun 6 2013

    Ismail K Perinje

    If BJP Govt. have misused the funds then definitely the concerned persons (whether its yeddy,teddy or reddy) should be punished.

    Can you please show the same concern about the funds misused in central govt. level ??

    During Commonwealth games items were hired at a price which was more than its original purchase price.

    DisAgree [13] Agree [28] Reply Report Abuse

  • Ganesh, Bengaluru

    Thu, Jun 6 2013


    Why you are wasting your time to advicing biased people. Just ignore those peoples comments. There are quiet a few people in this forum are only intersted in commenting against on BJP, may be they are paid Congi supporters.

    DisAgree [13] Agree [14] Reply Report Abuse

  • Sunil , Karkala

    Fri, Jun 7 2013

    The news item is not about the central government but state government ...

    DisAgree [4] Agree [7] Reply Report Abuse


    Thu, Jun 6 2013

    BJP GOVT's 'KARMAKANDA'coming @ fore now and those who flouted std required procedure should be punished.The report says there are no transparencies in awarding contract with competitive bidding to the agencies which resulted in crores of rupees loss to exchequer.I will give you one instance,Department of youths and sports ministry provides 2-3 thousand rupees sports materials to ed yuvaka Sanghas(Reg YOUTH CLUBS in Karnataka)For that amount they need three supplier's quotation for procurement!!!Then how come crores of rupees worth services/products not offered for competitive bidding or has no transference in disposing work order?Put them behind the bar.

    DisAgree [15] Agree [19] Reply Report Abuse

  • Umesh Salian, Uppala / Dubai

    Thu, Jun 6 2013

    First of its Modes operandi after Congi came into power... Aaage aage dhekiye hotahai kya ????? action plans or SOPs are not in their dictionary it seems....

    DisAgree [24] Agree [10] Reply Report Abuse

  • Sunil , Karkala

    Thu, Jun 6 2013

    You better read the report before commenting....

    DisAgree [4] Agree [31] Reply Report Abuse

  • Valerian Dsouza, Udupi/Mumbai

    Thu, Jun 6 2013

    Umesh Salian, Uppala / Dubai

    What you are writing, First of its Modus operandi after Congi came into power?
    After Congress came to power, (CAG) has found/Exposed loopholes in the estimation of works under PREVIOUS C.M.special grant of Rs 100 crore x 7 = 700 CRORES to seven city corporations for the year ended March 2012!
    Hope you can understand this!

    DisAgree [1] Agree [13] Reply Report Abuse

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