E-Paper
Chandigarh MC audit report: Cheques collected for water charges worth ₹40L dishonoured
The audit conducted by the Chandigarh MC has also pressed for necessary steps to be taken to recover the amount of ₹63 lakh along with the penal interest
Cheques worth ₹40 lakh collected for payment of water charges have been dishonoured, an audit report of the municipal corporation revealed.
Conducted by the local audit department for the period of April 1, 2021, to September 30, 2021, the report showed that an amount of ₹22.13 crore has been collected by e-samparak centres from the customers via cheques, while only ₹21.50 crore was transferred by Society for Promotion of Information and Technology (SPIC) through Axis Bank to OBC Bank where the MC has an account.
The amount of ₹63 lakh, which includes the dishonoured cheques’ amount of ₹40 lakh. The audit has pressed for necessary steps to be taken to recover the amount of ₹63 lakh along with the penal interest.
The report also pointed out that the civic body has failed to monitor its receipts of water bills collected through e-sampark centres. The transactions, routed through the e-sampark centres, the Axis Bank and finally the OBC Bank, where MC has its account has resulted in a short receipt of ₹1.1 crore. It observed that a delay in depositing the money in the civic body’s account has resulted in a penalty of ₹2.8 lakh.
As per the report, of the ₹70 crore deposited by consumers as water bills between April 1 and September 30, 2021, ₹10 crore has been deposited as cash and over ₹22 crore through cheques, while the remaining amount has been deposited by other modes.
Senior citizens’ body Second Innings’ Association president RK Garg questioned why the money was routed through various banks, incurring losses, instead of going to a digital mode of transfer. “A high 45% of receipts through cheques and cash, incurs handling expenses, so the MC should encourage digital mode to save handling charges and quick transfer of money in its account,” he said.
The e-sampark centres collect water bills from the consumers through cash, cheques, pay orders/demand drafts, and debit/credit cards-payments. The amount is then deposited/transferred to the Axis Bank and SPIC transfers the collection to the MC’s OBC Bank account.
At present, there are around 1.8 lakh water connections in the city.
Box
The audit also pointed out that Smart City Limited has transferred an amount of ₹42 lakh to division number 2 of the public health department. The department, however, has failed to provide any justification or details to the audit department.
