Audit Reports
Madhya Pradesh
Report No. 2 of 2014 - Report of the Comptroller and Auditor General of India on Public Sector Undertakings for the year ended 31 March 2013 - Government of Madhya Pradesh
Overview
Audit of Government Companies is governed by Section 619 of the Companies Act 1956. The accounts of Government Companies are audited by Statutory Auditors appointed by CAG. These accounts are also subject to supplementary audit conducted by CAG. Audit of Statutory corporation is governed by their respective legislations. As on 31 March 2013, the State of Madhya Pradesh had 55 working PSUs (52 Companies and 3 Statutory corporations) and 9 non-working PSUs (all Companies), which has employed 58459 employees. Investments in PSUs
As on 31 March 2013, the investment (Capital and Long Term Loans) in 65 PSUs was Rs. 46365.94 crore. It grew by 181.47 per cent from Rs. 16472.66 crore in 2007-08. Power Sector accounted for 93.30 per cent of total investment in 2012-13. The State Government contributed F12156.08 crore towards Equity, Loans and Grants/Subsidies to State PSUs during 2012-13.
During the year 2012-13, out of 55 working PSUs, 26 PSUs earned profit of Rs. 275.94 crore Seven PSUs neither earned profit nor incurred losses and 18 PSUs incurred loss of Rs. 4307.57 crore as per their latest financial accounts as on 30 September 2013. Four PSUs did not submit their first accounts. The losses are attributable to various deficiencies in the functioning of PSUs. A review of three years Audit Reports of CAG shows that the State PSU losses of Rs. 458.22 crore and in fructuous investments of Rs.62.97 crore which could have been controlled with better management