This story is from August 30, 2006

Road money thrown to the winds

A test-check of the expenditure of Rs 1,594.98 cr in audit has revealed that funds amounting to Rs 312.34 cr were not utilised for the intended purpose.
Road money thrown to the winds
BANGALORE: Why are roads in the country of sub-standard quality? Because funds meant for road development programme across states were spent on works like shifting of electric poles or buying printers!
A test-check of the expenditure of Rs 1,594.98 crore in audit has revealed that funds amounting to Rs 312.34 crore were diverted, parked in authorised accounts or not utilised for the intended purpose.
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The Comptroller and Auditor General report of 2006 on the Pradhan Mantri Gram Sadak Yojana indicts most states for rampant audit lapses and a lackadaisical attitude in utilising funds judiciously.
Why throw away crores on revamping the shining Rajpath Road in New Delhi or M G Road in Bangalore or the Malabar Hill Road in Mumbai? Echoing this sentiment the report points out that funds have been spent on works already completed.
Not just that. Karnataka, Himachal Pradesh, Arunachal Pradesh and Nagaland diverted Rs 1.34 crore towards construction of roads not included in project proposals. Worse, they were utilised for schemes like watershed and social forestry!
Karnataka, along with Tamil Nadu, West Bengal and Kerala has been lambasted for not establishing quality control laboratories.
The report highlights a major deficiency in the system adopted by most states in calling for tenders and road maintenance and upkeep.

It states: "Although the Indian Road Congress specifications adopted by the ministry prescribed that frequent tests need to be carried out for seeking additional assurance on the quality of road material, the states have followed a system of visual inspection of roads.
Against 6,064 inspections carried out between July 2004 and March 2005, 3,134 inspections or 52% roads were graded as unsatisfactory."
And why are projects delayed unduly? The report says 1,623 tenders were finalised with delay extending up to 25 months, with subsequent funds escalation of Rs 1,607.08 crore. Reasons: non-response to tender calls, rejection of tenders due to higher rates, parliamentary elections etc.
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