Audit Reports
Himachal Pradesh
Report of 2012 - Financial Audit on Urban Local Bodies and Panchayati Raj Institutions, Government of Himachal Pradesh
Overview
The 73rd Constitutional amendment gave a constitutional status to the Panchayati Raj Institutions (PRIs). As a follow up, all the 29 functions listed in 11th Schedule of the Constitution were devolved by the Department to the PRIs. However, funds and functionaries remained to be devolved to the PRIs.There are 12 Zila Parishads (ZPs), 77 Panchayat Samitis (PSs) and 3,243 Gram Panchayats (GPs) in the State. Test check of records of 6 ZPs, 19 PSs and 92 GPs during 2012-13 showed financial reporting issues, viz (a) non preparation of budget estimates, (b) non-maintenance of registers such as stock register,immovable property register, work register, muster roll register, etc, (c) improper maintenance of accounts of own resources and grant-in-aid/loans,(d) non-reconciliation between cash books and bank pass books, (e) non accountal of materials procured, (f) improper maintenance of accounts of works, (g) blocking of funds provided under Thirteenth Finance Commission.
Fifty one GPs did not realize house tax of RS.12.14 lakh. Ten PRIs failed to realize an amount of RS.35.77 lakh on account of rental charges of shops. Thirty GPs did not recover royalties amounting to RS.5.04 lakh from suppliers. Revenue of RS.4.02 lakh on account of installation/ renewal charges of Mobile Towers in 19 GPs remained un-realized. Seven GPs and one PS did not take action to recover/adjust the outstanding advances of RS.12.01 lakh. Forty five PRIs purchased material valued at RS.1.90 crore without invitation of quotations/tenders.
In 14 PRIs, funds of RS.62.87 lakh remained unspent due to non-commencement of works. Six GPs deployed the same labourers on different works in the same period. GP, Bairagarh (Chamba district) paid RS.0.03 lakh as wages for non-existent dates of a calendar month. Mahatma Gandhi National Rural Employment Guarantee Scheme suffered from non-maintenance of wage-material ratio, delay in release of labour payment and payment of extra wages to elected members of Gram Panchayats.