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Psus Madhya Pradesh Report of the Comptroller and Auditor General of India on Public Sector Undertakings for the year ended 31 March 2016 Government of Madhya Pradesh Report No. 1 of the year 2017 Table of Contents Particulars Reference to Paragraph(s) Page(s) Preface (v) Overview (vii) – (xiv) Chapter-I Functioning of State Public Sector Undertakings 1-15 Chapter-II Performance Audits relating to Government Companies Performance Audit on the Implementation of Feeder Separation Programme in Madhya Pradesh Paschim 2.1 17-48 Kshetra Vidyut Vitaran Company Limited Performance Audit on the Working of Madhya Pradesh State Electronics Development Corporation 2.2 49-84 Limited Performance Audit on the Working of Madhya 2.3 85-115 Pradesh State Civil Supplies Corporation Limited Chapter-III Compliance Audit Observations 3 Government Companies Madhya Pradesh State Tourism Development Corporation Limited Loss of revenue 3.1 117-118 Madhya Pradesh Madhya Kshetra Vidyut Vitaran Company Limited Unjustified exemption of Electricity Duty 3.2 118-119 Madhya Pradesh Power Transmission Company Limited Short recovery of labour welfare cess 3.3 119-121 Madhya Pradesh Road Development Corporation Limited Loss of Revenue due to ineffective implementation of 121-122 3.4 agreements Extension of undue benefit to the contractor 3.5 122-126 Excess payment of price adjustment 3.6 126-127 Extra expenditure due to excessive thickness adopted 3.7 127-128 Avoidable payment of interest on income tax 3.8 129 Report on Public Sector Undertakings for the year ended 31 March 2016 Particulars Reference to Paragraph(s) Page(s) Madhya Pradesh State Agro Industries Development Corporation Limited Extension of undue benefit 3.9 130-131 Industrial Infrastructure Development Corporation (IIDC) Limited Irregularities in allotment of land 3.10 131-133 Madhya Pradesh State Mining Corporation Limited Avoidable idling of mines and payment of dead rent 3.11 133-134 Madhya Pradesh Power Generating Company Limited Loss of interest 3.12 134-135 Idling of funds in railway freight account 3.13 135-137 Award of contract at higher rate 3.14 137-139 Avoidable expenditure 3.15 139-141 Annexures No. Particulars Summarised financial position and working results of Government Companies and 1.1 1.1 & 1.15 143-149 Statutory Corporations as per their latest finalised financial statements/accounts Statement showing investments made by 1.2 State Government in PSUs whose accounts 1.11 150 are in arrears Statement showing name of districts and 2.1.1 divisions covered under Phase-I and 2.1.2 151 Phase-II of Programme Statement showing physical and financial 2.1.2 progress of FSP (Phase-I & II) as on 2.1.2 152-153 30/06/2016 Statement showing short recovery of labour 2.1.3 welfare cess on supply portion as on May 2.1.14 154 2016 Statement showing short recovery of interest on mobilisation and material 2.1.4 2.1.15 155-156 advance against contracts awarded under the programme as on April 2016 Statement showing the details of delay in 2.1.5 completion of turnkey contracts under the 2.1.19 157-158 programme ii Table of Contents Particulars Reference to Paragraph(s) Page(s) Statement showing undue extension to 2.1.6 2.1.24 159-161 contractors Statement showing the value of envisaged benefit in the form of T&D loss was not 2.1.7 2.1.27 162 availed due to delay in termination of contract under FSP IT Parks/POPs/CSCs visited during Joint 2.2.5, 2.2.23 2.2.1 163 Physical Verification & 2.2.26 Details of departments for which horizontal connectivity provided under SWAN project 2.2.22 & 2.2.2 164 and details of data/application hosted under 2.2.27 SDC project Performance of Calibration labs at Indore 2.2.3 and Bhopal during the period 2011-12 to 2.2.36 165 2015-16 Target for procurement of foodgrain and 2.3.1 actual procurement against it during the 2.3.10 166-167 years from 2011-12 to 2015-16 Types of agreements done with the 2.3.2 2.3.20 168 transport contractors Statement showing comparison of transportation rates of LRT (procurement & 2.3.3 2.3.21 169-170 PDS) and HLRT contracts for local leads upto 25 Kms Statement showing the financial position 2.3.4 2.3.28 171-172 and the working results of the Company Dues recoverable from FCI against surrendered wheat and Dues recoverable 2.3.5 2.3.32 173 from FCI against carry over charges and purchase tax Statement showing Idling of Assets due to 3.1 not finalising of tender for newly created 3.1 174-175 Way Side Amenities Control Sheet of excess PV amount paid 3.2 3.6 176 against Bitumen in the road projects Statement showing the details of wheat and rice allotted in MTs, lifted in jute gunny bags, the realisable value of retained gunny 3.3 3.9 177 bags not considered while finalising the production cost of RTE products in MP State Agro Industries Development iii Preface This report deals with the results of audit of Government companies and Statutory corporations for the year ended 31 March 2016. The accounts of Government Companies (including companies under Section 139 (5) and 139 (7) of the Companies Act, 2013) are audited by the Comptroller and Auditor General of India (CAG) under the provisions of Section 143 (6) of the Companies Act 2013. The accounts certified by the Statutory Auditors (Chartered Accountants) appointed by the CAG under the Companies Act are subject to supplementary audit by officers of the CAG and the CAG gives his comments or supplements the reports of the Statutory Auditors. In addition, these Companies are also subject to test audit by the CAG. Reports in relations to the accounts of a Government Company or Corporation are submitted to the Government by CAG for laying before State Legislature of under the provisions of Section 19-A of the Comptroller and Auditor General’s (Duties, Powers and Conditions of Service) Act, 1971. The instances mentioned in this Report are those, which came to notice in the course of test audit during the year 2015-16 as well as those which came to notice in earlier years, but could not be reported in the previous Audit Reports; matters relating to the period subsequent to 2015-16 have also been included, wherever necessary. The audit has been conducted in conformity with the Auditing Standards issued by the Comptroller and Auditor General of India. v Preface This report deals with the results of audit of Government companies and Statutory corporations for the year ended 31 March 2016. The accounts of Government Companies (including companies under Section 139 (5) and 139 (7) of the Companies Act, 2013) are audited by the Comptroller and Auditor General of India (CAG) under the provisions of Section 143 (6) of the Companies Act 2013. The accounts certified by the Statutory Auditors (Chartered Accountants) appointed by the CAG under the Companies Act are subject to supplementary audit by officers of the CAG and the CAG gives his comments or supplements the reports of the Statutory Auditors. In addition, these Companies are also subject to test audit by the CAG. Reports in relations to the accounts of a Government Company or Corporation are submitted to the Government by CAG for laying before State Legislature of under the provisions of Section 19-A of the Comptroller and Auditor General’s (Duties, Powers and Conditions of Service) Act, 1971. The instances mentioned in this Report are those, which came to notice in the course of test audit during the year 2015-16 as well as those which came to notice in earlier years, but could not be reported in the previous Audit Reports; matters relating to the period subsequent to 2015-16 have also been included, wherever necessary. The audit has been conducted in conformity with the Auditing Standards issued by the Comptroller and Auditor General of India. v Preface This report deals with the results of audit of Government companies and Statutory corporations for the year ended 31 March 2016. The accounts of Government Companies (including companies under Section 139 (5) and 139 (7) of the Companies Act, 2013) are audited by the Comptroller and Auditor General of India (CAG) under the provisions of Section 143 (6) of the Companies Act 2013. The accounts certified by the Statutory Auditors (Chartered Accountants) appointed by the CAG under the Companies Act are subject to supplementary audit by officers of the CAG and the CAG gives his comments or supplements the reports of the Statutory Auditors. In addition, these Companies are also subject to test audit by the CAG. Reports in relations to the accounts of a Government Company or Corporation are submitted to the Government by CAG for laying before State Legislature of under the provisions of Section 19-A of the Comptroller and Auditor General’s (Duties, Powers and Conditions of Service) Act, 1971. The instances mentioned in this Report are those, which came to notice in the course of test audit during the year 2015-16 as well as those which came to notice in earlier years, but could not be reported in the previous Audit Reports; matters relating to the period subsequent to 2015-16 have also been included, wherever necessary. The audit has been conducted in conformity with the Auditing Standards issued by the Comptroller and Auditor General of India. v Preface This report deals with the results of audit of Government companies and Statutory corporations for the year ended 31 March 2016.
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