CM Conrad clarifies claims of budgetary irregularities, says CAG report being misconstrued

Sangma's defence came in response to the Comptroller and Auditor General's (CAG) audit of state finances for the year ending March 31, 2020. The report was tabled in the recently held Autumn Session of the State Assembly.

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SHILLONG:

Chief Minister Conrad K. Sangma on Monday asserted that the nomenclature used to highlight that the state government has "surrendered" funds of over ₹5,200 crore is incorrect.

Sangma's defence came in response to the Comptroller and Auditor General's (CAG) audit of state finances for the year ending March 31, 2020. The report was tabled in the recently held Autumn Session of the State Assembly.

The report states that, of the total savings of ₹6003.39 crores, ₹5242.30 crores was "surrendered on the last working day of March 2020". The report further states that the "surrender of funds on the last working day of March denied utilization of savings for other developmental purposes".

Sangma, however, claimed that the budget estimate is prepared by every government across the country and is followed by actual expenditure.

“The difference between that is what the surrender is being referred to. So it is not an actual cash surrender or scheme surrender”, he said, adding that amounts up to ₹4,000 crores have been surrendered in the past by the state.

Sangma pointed out that in the past, Nagaland had surrendered ₹3,000 crores, Manipur surrendered  ₹4,000 crores, Uttar Pradesh surrendered ₹18,000 crores, and Assam surrendered over ₹30,000 crores.

Calling the procedure "normal", he added that the budgets are made with the aspiration that the state "will be able to raise taxes and collect the amount."  

Sangma further highlighted that the pandemic affected the government's ability to utilise funds, where the state faced a loss of taxes to the tune of ₹1,200 crore to ₹1,500 crore.

"It is not as if we surrender a scheme that was already sanctioned and then we give it back. It is a notional amount which is there in the budget which cannot be spent," he said.

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