Pending Utilisation Certificates Reveal Financial Strain in Jharkhand's ULBs
A CAG report highlighted that ULBs in Jharkhand have pending utilisation certificates worth Rs 7,592 crore as of March 2022, indicating a lack of proper fund monitoring. It also noted financial struggles due to short receipt of finance grants and the ineffectual handling of state projects by the JSBCCL.
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- India
The Comptroller and Auditor General (CAG) report has revealed that utilisation certificates amounting to Rs 7,592 crore remain pending with various Urban Local Bodies (ULBs) in Jharkhand as of March 2022. These delays, dating back over a decade, point to a significant breakdown in monitoring mechanisms for fund utilisation.
Between 2017-18 and 2021-22, records from 20 selected ULBs and the Urban Development and Housing Department were audited. The report underscored financial dependency on government grants, highlighting a deficit of Rs 488.45 crore in 14th finance commission grants during 2015-16 to 2019-20. This gap adds to the financial pressures faced by these bodies.
The report doesn't stop there; it flags inefficiencies within the Jharkhand State Building Construction Corporation Ltd (JSBCCL), where 112 projects valued at over Rs 194 crore have been dropped or stalled. These projects suffered due to land unavailability, public resistance, and contractual delays, impacting state development efforts.
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