Govt body’s flat deal under CAG’s lens

MUMBAI: Purchase of a flat by Maharashtra government’s Annabhau Sathe Development Corporation has come under the scanner of the CAG which has found irregularities

MUMBAI: Purchase of a flat by Maharashtra government’s Annabhau Sathe Development Corporation has come under the scanner of the CAG which has found irregularities in a transaction. Government auditor Comptroller and Auditor General (CAG) has said in its report tabled during the monsoon session of state legislature that the corporation paid more than the market price for a flat in suburban Borivali, meant as an accommodation for the visiting officers. Further, the corporation neither has its possession nor the original papers related to the purchase. The corporation purchased the flat with a carpet area of 809 sq ft from a person in November 2013 for Rs 1.86 crore. CAG notes that as per the Department of Registration and Stamps, the then market value of the flat was Rs 84.28 lakh. Lack of transparent purchase procedure resulted in excess expenditure of Rs1.02 crore, CAG has said.

HT Image

In its reply to CAG in October 2015, the corporation stated that its board had authorised the managing director to purchase the flat.