CAG accuses state Govt of misusing gas relief fund
The M.P. Chronicle (Bhopal) 11th November 2000

The comptroller and auditor general of India (CAG) has dragged Madyha Pradesh government to court over keeping of large portion of money made available to it for gas affected people in banks and using it for other purposes.

The CAG has drawn the attention of the state towards the following irregularities in its report. It said that a project had been approved following the gas tragedy to rehabilitate, carry out relevant research and to aid the victims and under it Centre had to give 75 per cent of the amount, the remaining 25 per cent had to be arranged by the state government from its own resources. According to the state government Rs 325 crore had been spent on these activities till March 19999.

The CAG says that review of the same revealed that the state government has been ineffective in implementing these schemes. Majority of the sum is lying unused in personal bank accounts. Whereas a large part of the sum was spent on activities not concerned at all with the project.

The review also revelaed that the medical aid provided by the state government was grossly inadequate. Also the government lacked the will to rehabilitate the victims added the report.