Assam's Zilla Parishads Sidestep Budget Approval, Raises Audit Flags

Assam's Zilla Parishads operated without budget approvals from 2018-23, violating expenditure rules. A CAG report highlights this financial oversight along with unmet devolution of funds and functions to Panchayati Raj Institutions. With pending audits and declining revenue, a systemic reform in financial discipline is urged.

Assam's Zilla Parishads bypassed the mandatory approval process for annual budgets from 2018 to 2023, as revealed in a critical report by the Comptroller and Auditor General (CAG). This evokes serious concerns about the fiscal governance within local bodies, despite funds being regularly released and used.

The CAG report, brought before the assembly, underscores that inadequate financial discipline prevails among these Parishads. The report further points out the state's sluggish progress in devolving complete control over funds, functions, and functionaries to the Panchayati Raj Institutions. As of October 2023, no function had officially been transferred.

Adding to the alarm, the report notes 456 outstanding utilisation certificates for significant sums remain unverified. The failure of PRIs to boost their own revenue streams while unchecked assets management issues are highlighted as systemic inefficiencies requiring urgent rectification.

(With inputs from agencies.)