Comptroller and Auditor General (CAG) has raised red flag in transfer of ₹500 crore raised by the public health and engineering works (PHED) department to Jal Jeevan Mission (JJM) as state government's contribution without depositing it in the state's consolidated fund.
The CAG during audit has found that finance department has first transferred ₹500 crore collected from water distribution to Rajasthan Water Supply and Sewerage Corporation (RWSSC) Board and then directly to Jal Jeevan Mission which is a 50:50 joint programme of central and state government aimed at providing tap water to every household.
The CAG has found a procedural lapse in this whole transfer of money. As per the rule, the money collected from water distribution should have been first deposited in the consolidated fund of state government before transferring it to any government body.
This is not the first time CAG has objected to the transfer of money in JJM. The apex auditor body had earlier also cautioned state government against this practice which violates constitutional laws.
CAG finds Direct transfer of money as violation of provisions of constitution
The CAG has written that the money from the accounts of RWSSC are being transferred directly to escrow account of Jal Jeevan Mission as share of the state government. Due to this transferred amount could not become part of state's consolidated fund. This bypasses the scrutiny of assembly also, which is clearly violation of provisions of constitution.
“Transfer of amount directly to escrow account bypassing the deposit in consolidated fund can't be recorded as state revenue and thus exempted from any kind of audit.
The CAG has also asked the finance department as to who will own the revenue generated from water supply projects besides cautioning the department to deposit all such money in consolidated fund before transferring to any programme.
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