The report of the CAG (Panchayat Raj institutions) - 2009, tabled in the Assembly on Tuesday, points out that non-utilisation of grants on time resulted in the loss of assistance to the tune of Rs 1.99 crore.
The objective of the Centre-sponsored scheme is to lift poor rural families above the poverty line and to ensure sustainable level of income by organising them into self- help groups.
The CAG found that the SC/ST and disabled beneficiaries were not adequately covered under the scheme.
There were instances of non-utilisation and consequent return of subsidy to the tune of Rs 32 lakh.
Diversion of funds
An amount of Rs 1.3 crore out of the funds earmarked for the scheme had been diverted for an exhibition by the rural artisans society.
Ineligible work costing Rs 19 lakh was executed under infrastructure grant.
In the Mysore Zilla Panchayat (ZP), the CAG found that there were several instances of financial irregularities, non-achievement of intended objectives of development programmes and wasteful expenditure during the period 2004-09.
The Chief Executive Officer of Mysore Zilla Panchayat operated multiple master bank accounts in contravention of instructions issued by the Union government, the report states.
Further, execution of drain works under Suvarna Gramodaya Yojana, contrary to guidelines, resulted in an avoidable cost of Rs 71.53 lakh.
The CAG report said that the failure to acquire land for a water supply scheme for Gotegalli and nine other villages by the Executive Engineer, Panchayat Raj Engineering Division, Karwar, before the commencement of work, had resulted in unfruitful expenditure of Rs 7.13 crore, besides cost escalation and denial of safe drinking
water facility to these villages.
