CAG finds loopholes in Krishi Vikas Yojana in four fiscals from 2012-13

The nodal agency had furnished utilisation certificates to the Centre for the entire amount released for 2014-17.
Former Andhra Pradesh CM Chandrababu Naidu (Photo | PTI)
Former Andhra Pradesh CM Chandrababu Naidu (Photo | PTI)

VIJAYAWADA: The CAG report for 2018-19 tabled in the Legislative Assembly on Friday exposed the shortcomings of the then TDP government in implementing various initiatives under the Rashtriya Krishi Vikas Yojana (RKVY), whose objective is to ensure four per cent annual growth in agriculture sector.

As per the audit findings, during 2012-13 to 2015-16, the scheme was implemented without the comprehensive state and district plans. The plans were prepared without taking inputs from mandal and village-level units, it said.  

In the four years covered in the audit, sanctions for the proposed projects were obtained only after the start of the year, due to late receipt of project proposals (DPR) from the implementing agencies and consequent delays in screening of project proposals. Consequently, the first instalment funds were received from the Centre only in May/August/September in those four years. Even after receipt of funds from the Centre, there were further delays in release of funds by the State government or nodal agency to the line departments. First instalment of funds reached the line departments/agencies only in the second half of the year and the second instalments in subsequent financial years.

Interest received on RKVY funds amounting to Rs 10.41 crore was diverted to other schemes and activities. Out of this, Rs 2.19 crore was yet to be recouped. Further, it was observed that the implementing departments were keeping the RKVY funds outside the government account, in savings bank accounts. The balance as of March 2018 in the 14 bank accounts of the test checked officer was Rs 35.57 crore. 

Needs of the farmers and their willingness to avail benefits under the proposed projects were not assessed while preparing the district/state plans or while preparing the DPRs. Consequently, the line departments could not implement some of the approved projects. None of the 10 government infrastructure projects (Rs 21.05 crore) allotted during 2014-18 were completed as of July 2018, due to improper planning, revision of proposals/costs and abnormal delays in identification of land, release of funds, identification of implementing agencies among other reasons.

The nodal agency had furnished utilisation certificates to the Centre for the entire amount released for 2014-17. However, the UCs did not represent the actual expenditure, as funds of Rs 25 crore pertaining to this period were not utilised at the time of furnishing the UCs. Monitoring on scheme implementation was weak as the state-level sanctioning committee met only seven times during 2014-18 as against the minimum of 16 meetings and there was no critical review about the shortfall. 

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