CAG report flags ₹3,500 crore irregularities under Kejriwal's Delhi govt

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CAG report flags ₹3,500 crore irregularities under Kejriwal's Delhi govt

Synopsis

A CAG report covering the Kejriwal government's tenure up to March 2023 has flagged ₹3,500 crore in irregularities — from 1,185 illegal manual tenders with 97% of contract files missing, to ₹42 crore in allegedly ineligible power subsidies and bogus e-way bills worth ₹68,680 crore. Delhi's BJP government is now signalling formal investigations.

Key Takeaways

The CAG report released on 7 August flags irregularities worth ₹3,500 crore under the previous AAP government in Delhi, covering the period up to 31 March 2023 .
1,185 manual tenders were allegedly conducted in violation of online tendering norms; contract files are missing for 97% of these tenders. ₹42 crore in electricity subsidies was allegedly disbursed to ineligible consumers, including 50,000 with zero bills for 12 months .
Bogus e-way bills worth ₹68,680 crore were reportedly generated by businesses with cancelled GST registrations. ₹70,410 crore in outstanding tax revenue was allegedly left unrecovered for over five years .
The BJP-led Delhi government claims 24 CAG reports have been received in 18 months , each exposing alleged corruption.

Delhi Public Works Department (PWD) Minister Parvesh Sahib Singh on Sunday, 9 August said that a Comptroller and Auditor General (CAG) report released on 7 August, covering the period up to 31 March 2023, has flagged irregularities worth ₹3,500 crore under the previous Aam Aadmi Party (AAP) government led by then Chief Minister Arvind Kejriwal. The report was tabled in the Delhi Assembly two days before the press conference.

Key Allegations in the CAG Report

Addressing a press conference at the state BJP office, Parvesh Sahib Singh alleged that the previous government conducted 1,185 manual tenders — in violation of mandatory online tendering norms — receiving 14,527 bids that he claimed were decided through pre-arranged bidder coordination. He further alleged that contract award files were traceable in only 3% of these tenders, with documents for the remaining 97% reportedly missing from Delhi government records.

Singh also alleged that arbitration clauses were inserted into tenders to facilitate what he described as large-scale irregularities and destruction of contract-related files.

Power Subsidy Irregularities

The CAG report, according to the PWD Minister, found that 50,000 electricity consumers whose bills had been zero for 12 consecutive months were nonetheless provided subsidies totalling ₹17.81 crore. An additional 90,000 consumers who had reportedly not resided at their registered addresses for six to 11 months received electricity subsidies worth ₹11.88 crore. In total, Singh alleged, ₹42 crore was released from government funds in such ineligible subsidy cases, and the matter would be investigated.

LNJP Hospital Cost Overrun

Singh alleged irregularities in the construction of LNJP Hospital under the previous administration. The per-bed construction cost, initially projected at ₹33 lakh, reportedly escalated to ₹72 lakh per bed — an increase he linked to repeated site visits by then Health Minister Satyendar Jain. The allegation has not been independently verified.

GST and E-Way Bill Violations

The CAG report also flagged significant GST compliance failures. According to the report, 8,334 businesses whose GST registrations had been cancelled continued generating e-way bills. Bogus e-way bills worth ₹68,680 crore were reportedly generated during the audit period. A further 4,076 GST non-filers generated e-way bills worth ₹11,635 crore. Of the ₹6.10 crore e-way bills examined, only 0.10% were scrutinised, with 344 instances of non-compliance found — carrying a revenue impact of ₹3,071.92 crore and a turnover mismatch of ₹3,710.17 crore.

Singh also noted that around ₹70,410 crore in tax revenue remained outstanding from certain Delhi businesses, with the previous government allegedly failing to recover this amount for over five years.

BJP's Broader Audit Charge

Singh claimed that within 18 months of the current Bharatiya Janata Party (BJP)-led Delhi government taking office, 24 CAG reports have been received — each, he alleged, exposing corruption running into thousands of crores. He argued that audits had been systematically blocked during the Kejriwal tenure. The AAP has not issued an immediate response to these specific allegations. The press conference was also attended by state BJP Media Head Praveen Shankar Kapoor and BJP spokesperson Yasir Jilani.

The CAG findings are expected to become a focal point in Delhi's ongoing political discourse, with the BJP signalling that further investigations are planned.

Point of View

But the framing at a party press conference — rather than through a legislative or judicial channel — deserves scrutiny. Several of the figures cited, including the ₹68,680 crore bogus e-way bill figure, relate to GST enforcement that falls partly under central jurisdiction, raising questions about shared accountability. The 97% missing-files claim, if verified, would be among the most serious administrative failures documented in any Indian state audit in recent memory. With AAP yet to respond substantively, and no independent verification of the allegations on record, the full picture remains contested.
NationPress
9 Aug 2026

Frequently Asked Questions

What does the CAG report on Delhi's previous government reveal?
The CAG report, covering the period up to 31 March 2023, flags irregularities worth ₹3,500 crore under the previous AAP government led by Arvind Kejriwal. Specific findings include 1,185 illegal manual tenders, ₹42 crore in allegedly ineligible electricity subsidies, and bogus e-way bills worth ₹68,680 crore.
What are the manual tender allegations against the Kejriwal government?
According to Delhi PWD Minister Parvesh Sahib Singh, the previous AAP government conducted 1,185 manual tenders in violation of mandatory online tendering rules, receiving 14,527 bids. Contract award files were reportedly available for only 3% of these tenders, with the remaining 97% of files missing.
What electricity subsidy irregularities did the CAG find?
The CAG report allegedly found that 50,000 consumers with zero electricity bills for 12 consecutive months received subsidies of ₹17.81 crore, and 90,000 consumers absent from their homes for six to eleven months received ₹11.88 crore in subsidies. Total irregular subsidy disbursement was alleged at ₹42 crore.
What GST violations were flagged in the CAG report?
The report found that 8,334 businesses with cancelled GST registrations continued generating e-way bills, with bogus e-way bills totalling ₹68,680 crore. A further 4,076 GST non-filers generated e-way bills worth ₹11,635 crore, and 344 instances of non-compliance with a revenue impact of ₹3,071.92 crore were identified.
How has the AAP responded to the CAG report allegations?
As of the time of reporting, the AAP had not issued a formal response to the specific allegations raised by PWD Minister Parvesh Sahib Singh at the BJP press conference. The allegations are attributed to the CAG report and to the minister's statements, and remain contested.
Nation Press
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