CAG report flags fiscal lapses in Himachal Pradesh, BJP's Thakur demands answers
Synopsis
Key Takeaways
The Comptroller and Auditor General (CAG) report tabled in the Himachal Pradesh Assembly this week has exposed widespread financial mismanagement and irregularities under the Sukhvinder Sukhu-led government, former Chief Minister and Leader of Opposition Jai Ram Thakur said on Friday, 4 September. The Bharatiya Janata Party (BJP) leader demanded that Chief Minister Sukhu publicly account for the lapses cited in the audit report.
Key Irregularities Flagged by the CAG
According to Thakur, the CAG report identified irregularities spanning online tendering, procurement processes, and tax collection — all of which reportedly resulted in revenue losses to the state exchequer. He alleged that approximately ₹438 crore was spent without budgetary allocation, while provisions totalling ₹673 crore were made for schemes that saw no actual expenditure.
Thakur described the findings related to procurement and tendering through the e-procurement system — covering goods, services, and works by government departments and public sector undertakings — as the 'most serious irregularities' in the report.
Allegations of Selective Benefit and Patronage
The BJP leader alleged that several government decisions appeared to benefit a select group at the expense of the state exchequer. He questioned who was gaining from what he characterised as the government's 'patronage', and claimed that a select few were being allowed to use departmental resources to participate in tenders and secure contracts.
'The government has failed miserably on every front, whether it is online tendering, transparency in procurement or tax collection. The state has had to bear the cost of these failures in the form of revenue losses,' Thakur said.
Appointments and Constitutional Conduct
Thakur also raised concerns over government appointments, though he welcomed the cancellation of one particular appointment and the installation of an eligible candidate in its place, saying the move had checked what he termed the government's 'arbitrary functioning'. He nonetheless alleged that Chief Minister Sukhu was undermining his own stated commitment to 'systemic change' through decisions that, he claimed, did not meet the test of fairness.
'The Chief Minister should mend his ways and function within the framework of the Constitution instead of resorting to dictatorial conduct,' Thakur said.
Rising Deficits and Fiscal Pressure
Beyond specific irregularities, Thakur raised broader concerns about Himachal Pradesh's rising revenue and fiscal deficits, arguing that the CAG findings reflect a pattern of financial indiscipline under the Sukhu administration. This comes amid an already stressed state fiscal position, with Himachal Pradesh among the states facing significant debt-servicing pressure in the current financial year.
Government Yet to Respond
The Sukhu government had not issued a formal response to Thakur's allegations at the time of reporting. The CAG report, now tabled in the state Assembly, is expected to be taken up for detailed discussion during the ongoing session. How the government addresses the audit findings will be closely watched by opposition parties and fiscal watchdogs alike.