CAG audit uncovers underutilisation of Nirbhaya Fund in Gujarat

Audit reveals that Rs 143.75 crore is locked in committed liabilities, with Rs 25 crore unspent at the Ahmedabad Municipal Corporation and Rs 118.75 crore held by Gujarat State Financial Services Ltd.
Image of the CAG office in New Delhi, used for representational purposes only.
Image of the CAG office in New Delhi, used for representational purposes only. File Photo | PTI
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AHMEDABAD: A recent rape case in Calcutta has reignited the nationwide debate on women's safety. Meanwhile, a report by the Comptroller and Auditor General (CAG) has exposed significant underutilization of the Nirbhaya Fund in Gujarat, meant to enhance women's safety.

The audit reveals that Rs 143.75 crore is locked in committed liabilities, with Rs 25 crore unspent at the Ahmedabad Municipal Corporation and Rs 118.75 crore held by Gujarat State Financial Services Ltd.

Furthermore, Rs 57.66 lakh earmarked for the Safe City Project and Cyber Crime Prevention against Women and Children under this scheme has remained unutilized as of March 2023, even after up to five years.

The ‘State Finances Audit Report of the CAG for the year ended March 31, 2023’ audit reveals that an unutilized amount of Grants-in-aid pertaining to the Nirbhaya Fund scheme was parked with the Gujarat State Financial Services Ltd through Gujarat State Police Housing Corporation Limited (GSPHCL).

The Government of India established the Nirbhaya Fund to enhance women's safety through targeted projects. Administered by the Department of Economic Affairs and overseen by the Ministry of Women and Child Development, this non-lapsable fund supports proposals aimed at improving women's security.

The State Government was to formulate proposals factoring in women's safety issues within the public sphere for seeking funds under Nirbhaya Fund.

Between 2018-19 and 2020-21, the Joint Commissioner of Police, Ahmedabad City, received a grant of Rs 220.11 crore from the Government of India and the State Government. According to the Utilization Certificate (UC) submitted in July 2023 to the Ministry of Home Affairs, Rs 76.36 crore (34.69 per cent) was used, with the remaining Rs 143.75 crore listed as committed liabilities.

However, the audit found that of this amount, Rs 25 crores was unspent and held by the AMC, while Rs 118.75 crore was parked with Gujarat State Financial Services Limited through the Gujarat State Police Housing Corporation Limited as of August 2023.

The audit found that as of March 2022, Rs 150.02 crore in unutilized Grants-in-aid under the Nirbhaya Fund scheme was held with Gujarat State Financial Services Limited (GSFS) through Gujarat State Police Housing Corporation Limited (GSPHCL).

According to the scheme's funding pattern, costs are split 60:40 between the Government of India (GoI) and the State Government, and interest earned should be deposited into the Consolidated Fund of India and the State Consolidated Fund in the same ratio.

GSPHCL reported earning Rs 1.47 crore and Rs 1.74 crore in interest for the fiscal years 2020-21 and 2021-22 (up to June 30, 2021), respectively, totalling Rs 3.21 crore. Of this, Rs 1.92 crore (60 per cent of the total interest) should have been remitted to the Consolidated Fund of India.

However, GSPHCL mistakenly deposited the full Rs 3.21 crore into the State Consolidated Fund, violating General Financial Rules. GSPHCL acknowledged this error in August 2023 and stated that from July 1, 2021, it has been correctly depositing interest amounts into the respective Consolidated Funds.

CAG Audit also examined the implementation of “Safe City Project and Cyber Crime Prevention against Women and Children under this scheme.” Safe City Projects are underway in eight cities, including Ahmedabad, to bolster safety for women and children. These initiatives feature advanced measures such as drones, CCTV cameras with facial and license plate recognition, smart lighting systems, and improved infrastructure like women’s toilets. The technology aims to enhance crime detection and alert police to criminal activities.

However, CAG Noted in the Audit Report that "Under Safe City Projects, Rs 57.66 lakh remained unutilized as of March 31, 2023, even after a period of three to five years. The Home Department needs to evaluate the progress of the scheme and, if the funds are no longer needed, instruct the implementing agency to return the unused amount.”

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