Chennai: The Comptroller and Auditor General of India (CAG) report has claimed loss of crores of rupees to the exchequer by making extra and extravagant expenditure besides giving undue advantage to contractors in Tamil Nadu. The CAG report was laid on the table of the state assembly on Thursday. These losses were from Tamil Nadu Production and Distribution Corporation (for the year ended 31 March 2019), Tamil Nadu State Marketing Corporation, a Bio Park and a Cement Corporation (all three establishments were audited for the year ended 31 March 2018). are affiliated.
In its report on TASMAC bars being run through private organisations, CAG pointed out the absence of a suitable clause in the agreement for enhancement of license fee in case of extension of license period beyond the agreed period. This resulted in a loss of Rs 18.67 crore to the exchequer and Rs 19 lakh to TASMAC as agency commission during the extended period of license (July 2016-November 2017) in bars attached to 326 retail vending shops.
On the Tamil Nadu Industrial Development Corporation Bio Park (TICEL Bio Park), the report under the title ‘Expenditure Expenditure’ states that laboratory facilities worth Rs 17.32 crore were to be purchased for procuring laboratory equipment without deploying the manpower required to handle them. Was lying idle for over a year.
On the other hand, as far as TN Cements Corporation is concerned, unfair favors and unfair advantage have been cited in the report. The report pointed out that dues of Rs 4.49 crore were not recovered due to appointment of an ineligible agency as consignment agent and extension of credit facility without any security.
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