Punjab town planning dept caused ₹22cr loss to govt by delay in receiving CLU: CAG

Chandigarh The Union Comptroller and Auditor General (CAG) has noted that an imprudent decision by the town and country planning department, Punjab, caused a loss

Chandigarh The Union Comptroller and Auditor General (CAG) has noted that an imprudent decision by the town and country planning department, Punjab, caused a loss of ₹22 crore to the state. The report adds that the department delayed receiving the Change of Land Use (CLU) charges from a private developer, who came with a proposal for developing a housing colony on around 109 acres at Palheri and Raihamanpur villages in Mohali. The matter pertains to December 2015; later, the CLU charges were drastically reduced.

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“Around ₹3.2 crore was lost for not allowing the developer to deposit the CLU charges; undue extensions beyond permissible limits led to a loss of ₹3 crore and due to the delay, a loss of ₹16 crore was caused to the Greater Mohali Area Development Authority (GMADA) over the action of the town planning department,” the report, released to the media on Thursday, adds. The audit observations were referred to the government in March 2018, but a reply was awaited until August 2019, the CAG report also adds.

A state government notification says that the CLU is to be charged at the rate of ₹8 lakh per acre, plus 10% moratorium, along with other charges for residential colonies falling under the jurisdiction of GMADA.

“Had the town planning department not given extension to the project for paying the CLU beyond the permissible five months; the developer would not have got benefit of the reduced CLU, ...leading to losses to the state exchequer,” the report adds.

USELESS EXPENDITURE ON AMPHIBIOUS BUS

The CAG has also noted that the ₹8.6 crore incurred on the amphibious bus project in Harike Wetlands had been rendered unfruitful as the buses operated for 10 days only. The report also brings on record that a deputy secretary level officer of the state tourism department admitted in April 2019 that no feasibility report was prepared, but the feasibility of the project was discussed in the meetings of the technical committee constituted in October 2015. The CAG, however, rejected this reply as it said the site had been selected for the implementation of the project, without a feasibility study.

IRRIGATION DEPT CAUSED ₹3.9 cr LOSS

The audit report points that by not obtaining prior clearance from the railway authorities for laying a pipeline below a rail track to connect Mehangrowal distributary in Hoshiarpur, an expenditure of ₹3.9 crore was also laid waste. The report notes that in the absence of clearance from the railways, water could not flow in the distributary and 750 hectares fed by it were left unirrigated and there was no use of making such huge expenditure on a water course. The matter was referred to the state government for comments in May 2018, but a reply was awaited until August 2019, the CAG report notes.