Hyderabad: The Comptroller and Auditor Genera’s report for the year ending March 31 2010 pointed out that despite facing serious power shortage the government had failed to cancel the allotment of land in Visakhapatnam district to the Hinduja National Power Corporation limited. The report said the though the company failed to set up power plant, the government had not taken action to cancel the land allocation and re-allotment of the same to other parties who were willing to supply power at a competitive rates.
ALIENATION OF GOVERNMENT LANDS
CAG said in the report that scrutiny of 50 (out of 77) transactions in four districts (Chittoor, East Godavari, Karimnagar and Visakhapatnam) relating to cases of lands transferred by the government to various parties revealed that undue benefit of Rs. 101.43 crore was passed on to the parties and there was lack of transparency and fairness in allotment of lands.
MOBILIZATION ADVANCES PAID TO CONTRACTORS
Audit scrutiny of mobilization advances paid to contractors in eight irrigation projects revealed many deficiencies including incorrect payment of advances of Rs.111.84 crores and loss of revenue of
Rs. 33.07 crores, due to incorrect stipulation of interest rate the report said. Due to starting of civil works without addressing the issues such as statutory clearances like forest and environmental clearance, land acquisition and rehabilitation and resettlement, the report pointed that the progress of works was hampered and also resulted in blocking up of huge amount of Rs. 702.70 crore with the contractors. (NSS)