CAG AUDIT EXPOSES MISMANAGEMENT, FRAUD IN MADHYA PRADESH

A CAG audit of Madhya Pradesh government's 2021-22 operations exposed severe financial mismanagement and corruption.

- ABHINANDAN MISHRA

A detailed audit of the Madhya Pradesh government's operations for 2021-22, conducted by the Comptroller and Auditor General (CAG) of India, has revealed severe financial mismanagement, fraudulent activities, and systemic inefficiencies.

The findings expose multiple failures in the administration of disaster relief funds, land allotments, and welfare schemes, highlighting widespread corruption, delayed disbursements, and significant losses to the public exchequer.

The audit report was recently made public, and the Chief Minister of the state during this period was Shivraj Singh Chouhan.

One of the most alarming revelations in the report is the fraudulent disbursement of Rs 23.81 crore in relief funds to unauthorised individuals across 13 districts.

The audit found that government employees and their relatives fraudulently received relief meant for victims of natural calamities, including floods, droughts, and hailstorms.

This was facilitated by forged sanction orders, fake beneficiary names used for e-payments, and unauthorised individuals receiving payments directly into their bank accounts.

The key factor enabling such fraudulent activity was the failure of both the global budgeting system and the Integrated Financial Management Information System (IFMIS), which allowed employees to siphon off funds undetected.

With the word "fraudulent" mentioned 184 times throughout the audit, the CAG report has called for immediate reforms, including disciplinary action and exemplary punishment against the responsible officials, a thorough review of the budgeting and financial systems, and an overhaul of the procedures governing land allotment and welfare schemes.

The report has emphasised the need for action against officials responsible for these fraudulent activities to ensure accountability and discourage future violations.