CAG report: TMC govt inflated Amphan losses to claim higher central relief funds

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CAG report: TMC govt inflated Amphan losses to claim higher central relief funds

Synopsis

A CAG report tabled in the West Bengal assembly has found that the previous TMC government inflated Amphan cyclone losses to claim higher central relief — and that ₹125.07 crore was disbursed across 1,44,175 transactions with mismatched bank records, suggesting systemic failures in the DBT process. The findings put the Mamata Banerjee government's post-Amphan relief management under its sharpest official scrutiny yet.

Key Takeaways

The CAG found the previous TMC government projected inflated, unrealistic Amphan losses to secure higher central relief funds.
Compensation for partially damaged houses was anomalously raised from ₹20,000 to ₹25,000 after June 2020 with no satisfactory explanation.
Duplicate payments were identified across 1,44,175 transactions totalling ₹125.07 crore , with mismatched bank account records.
The highest number of duplicate-payment cases came from South 24 Parganas , Nadia , East Midnapore , and West Midnapore .
Super Cyclone Amphan struck 16 districts on 20 May 2020 , killing 99 people and causing extensive damage across sectors.
All 28 CAG reports were tabled in the West Bengal assembly on 26 July by Finance Minister Swapan Dasgupta .

The Comptroller and Auditor General of India (CAG) has found that the previous Mamata Banerjee-led All India Trinamool Congress (TMC) government in West Bengal projected inflated and unrealistic losses from Super Cyclone Amphan (2020) to secure higher central relief assistance. The finding is part of one of 28 CAG reports tabled on the floor of the West Bengal Legislative Assembly on Saturday, 26 July, by state Finance Minister Swapan Dasgupta.

What the CAG Found

According to the report, the projected post-Amphan losses were not only inflated but also lacked substantiating evidence. The CAG auditors noted that the state government failed to provide adequate documentation to justify the figures submitted for central relief, making it impossible to independently estimate the actual scale of damage caused by the super-cyclone.

The report identified a significant internal inconsistency in the compensation structure. Until June 2020, the state government had projected a uniform payout of ₹20,000 to families whose homes were damaged — whether completely or partially. After June 2020, however, the compensation for partially damaged houses was revised upward to ₹25,000, while the amount for completely damaged homes remained at ₹20,000. The CAG auditors received no satisfactory explanation from the state government for this anomaly despite repeated queries.

Duplicate Payments and Beneficiary Fraud

The report flagged a pattern of multiple compensation payments being made to the same individual — a lapse the CAG described as indicative of serious failures in the beneficiary selection process. The highest concentration of such cases was found in South 24 Parganas, the district most severely hit by Cyclone Amphan, along with Nadia, East Midnapore, and West Midnapore.

Investigators also found mismatches between bank account numbers listed in the beneficiary records and those reflected in actual bank transaction data. This discrepancy was identified across 1,44,175 transactions, with a combined value of ₹125.07 crore. The CAG said these inconsistencies pointed to the absence of adequate controls in the Direct Benefit Transfer (DBT) mechanism before disbursements were made.

The Scale of Cyclone Amphan

Super Cyclone Amphan made landfall on 20 May 2020, battering 16 districts of West Bengal. The storm was among the most destructive to hit the eastern coast in recent decades, with official figures recording 99 deaths. The cyclone caused widespread damage to housing, agriculture, fisheries, forests, power infrastructure, irrigation systems, health facilities, and industries — particularly in coastal districts.

Significance and What Comes Next

The CAG findings carry political weight in West Bengal, where the Bharatiya Janata Party (BJP)-led central government and the TMC have been in prolonged conflict over relief fund utilisation and governance standards. The tabling of all 28 CAG reports in a single session is itself notable, as audit reports had accumulated over several years. Critics argue the findings validate long-standing allegations of irregularities in Amphan relief distribution. The state government is expected to respond formally to the CAG observations, and the matter may be taken up by the Public Accounts Committee for further scrutiny.

Point of View

44,175 transactions is not a rounding error; it suggests the DBT safeguards that were meant to prevent exactly this kind of duplication were either bypassed or non-functional. What is missing from the audit trail — and what the Public Accounts Committee must now demand — is accountability at the individual official level, not just aggregate figures. The broader pattern of audit reports accumulating for years before being tabled also raises questions about the health of legislative oversight in West Bengal, regardless of which party is in power.
NationPress
26 Jul 2026

Frequently Asked Questions

What did the CAG report say about Amphan relief in West Bengal?
The CAG found that the previous TMC government projected inflated and unrealistic losses from Super Cyclone Amphan to claim higher central relief funds. The report also flagged ₹125.07 crore in suspicious transactions across 1,44,175 cases where beneficiary bank records were inconsistent.
What was the discrepancy in compensation amounts flagged by the CAG?
Until June 2020, the state government projected a uniform ₹20,000 payout for all damaged homes. After June 2020, compensation for partially damaged houses was raised to ₹25,000 while fully damaged homes stayed at ₹20,000 — an anomaly the government could not explain to CAG auditors.
Which districts had the most duplicate payment cases?
South 24 Parganas — the worst-affected district — recorded the highest number of cases where the same individual received compensation more than once. Nadia, East Midnapore, and West Midnapore also reported significant numbers of such cases.
How large was the financial discrepancy identified in the CAG report?
The CAG identified mismatched bank account records in 1,44,175 transactions with a total value of ₹125.07 crore, indicating serious lapses in the beneficiary selection process and inadequate controls before Direct Benefit Transfer disbursements.
When did Cyclone Amphan hit West Bengal and how severe was it?
Super Cyclone Amphan made landfall on 20 May 2020, affecting 16 districts of West Bengal. Official figures recorded 99 deaths, with extensive damage to housing, agriculture, fisheries, forests, power infrastructure, and health services.
Nation Press
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