Telangana finance babus find ways to outwit CAG

Adarsh Nagar: Auditing teams of the Comptroller and Auditor-General (CAG) have been given rude shocks by the babus of the State Finance department (SFD) on a year-to-year basis, with their sub-heads creating spree.

The clueless CAG auditors are baffled by the ongoing saga of sub-heads creation for the past five years.

According to CAG, the SFD babus were told that such activity was gross violation of the constitutional provisions.

However, no one seems to be bothered. In scathing remarks about the way SFD officials, CAG in its latest reports on 'Financial Management and Budgetary Control' pointed out that Article 150 of the Constitution mandates the prescription of the form of accounts by the President on the advice of the Comptroller and Auditor-General of India (CAG).

Accordingly, the State government has to take prior concurrence of the Accountant-General, Accounts and Entitlements (AG A&E), Telangana, before opening any new sub-head.

However, the government opened 18 new sub-heads in 2018-19 without prior concurrence of the AG (A&E). The total provision made under these unconstitutional sub-heads was Rs 13,891 crore. Against this provision, an expenditure of Rs 10,809 crore was incurred, disregarding the statutory provision, the report said.

However, it was not a one-time happening, Opening of new sub-heads without concurrence was persistent, as Rs 12,910 crore was provided under 223 new sub-heads in 2017-18, Rs 24,165 crore was provided under 137 new sub-heads in 2016-17 and Rs 6,121 crore was provided under 39 new sub-heads in 2015-16.

Taking exception to this, the public watchdog said that it indicates that the trend of opening new sub-heads without the concurrence of AG (A&E) had continued, adding, the government had assured in November 2014 that the concurrence of AG (A&E) would be ensured for the opening of new sub-heads.

But, the SFD babus did not walk their talk for the past five years. The sub-head creation activities continuing for the past five years, it rued.