CAG report flags Rs 382 crore budget overrun, delays in Delhi hospital projects
NEW DELHI: A recent report by the Comptroller and Auditor General (CAG) has raised concerns over financial mismanagement and significant delays in the construction and extension of three major hospitals in Delhi during the tenure of the Aam Aadmi Party (AAP) government.
The report highlights that these projects exceeded their original budgets by Rs 382 crore, pointing to possible irregularities.
The hospitals in question—Indira Gandhi Hospital, Burari Hospital, and Maulana Azad Dental Hospital—were all delayed by several years, far beyond their initial deadlines.
Indira Gandhi Hospital faced a delay of five years, while Burari Hospital was delayed by six years. The extension of Maulana Azad Dental Hospital’s Phase II took three years longer than planned.
As a result, the costs for each project escalated significantly. The Indira Gandhi Hospital exceeded its original tender amount by Rs 314 crore, Burari Hospital by Rs 41 crore, and Maulana Azad Dental Hospital by Rs 26 crore.
Meanwhile, the CAG report also revealed that around 70 per cent of the funds provided by the Centre for purchasing medical supplies, including PPE kits and masks, remained unutilised by the AAP-led Delhi government during the Covid-19 pandemic. Of the total Rs 787.91 crore released by the Centre for tackling Covid-19, only Rs 582.84 crore was used.
The report further noted significant underutilisation of funds allocated for human resources. “Significant among the underutilisation of funds released under several heads was the expenditure over human resources. Rs 30.52 crore of the total Rs 52 crore released for the same remained unutilised, demonstrating underpayment to health staff and lower deployment of health workers for this purpose,” the report stated.
Additionally, funds meant for essential medical supplies remained largely unspent. “Rs 83.14 crore of the released Rs 119.85 crore for drugs and supplies, including PPE and masks, remained unutilised, which clearly illustrates deliberate inaction towards a severe shortage of medical infrastructure during the period,” the report added.
The CAG also found that despite the Delhi government’s budget announcements between 2017 and 2021 promising an additional 32,000 hospital beds, only 1,357 beds—just 4.24 per cent of the target—were actually added.
“Against the budget announcement in the four budget years from 2016-17 to 2020-21 of adding 32,000 beds, only a minuscule 1,357 beds (4.24 per cent of the budget announcement) were added,” the report stated.