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CAG Report reveals Poor Implementation of MGNREGA

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The Comptroller and Auditor General (CAG) in its audit report on the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) revealed irregularities in the rural job’s scheme in India.

The report shows sharp decline in rural household employment generation in the last two years. It says that rural household employment has declined from 54 days in 2009-10 to 43 days in 2011-12. Only 30% of NREGA works over Rs. 1.26 lakh crore approved in 14 states were completed. The states like Bihar, Maharashtra and Uttar Pradesh used only 20 per cent of funds.

The CAG audit report, which was tabled in Parliament on Tuesday, showed several irregularities in the implementation of the scheme. It was found that works worth over Rs 4,070 crore were incomplete even five years after the launch of the scheme.

The report blamed the ministry for relaxing all the conditions and releasing a sum of Rs 1,960.45 crore in March, 2011 to the states, that violated the norms of financial accountability.

The ministry had released an amount of Rs 4,072.99 crore during 2008-12 to the states for its use in the subsequent financial year. The report says that it was the contravention of budgetary provisions and General Financial Rules.

The report held both the Centre and state governments responsible for not implementing rules.

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