Audit report 19-20
Puliyoor Grama Panchayat
Audit Report 2019–20
Introduction
This Audit Report has been prepared by the Kerala State Audit Department based on its examination of the financial transactions, implementation of schemes, accounting system, and utilization of funds of the Puliyoor Grama Panchayat for the financial year 2019–20.
In addition to assessing the Panchayat's financial operations, the progress of development projects, and the implementation of welfare schemes, the report also identifies deficiencies and irregularities that require corrective action.
Financial Overview
| Item | Amount (₹) |
|---|---|
| Opening Balance | 1,05,19,141 |
| Total Receipts | 3,59,86,193 |
| Total Expenditure | 3,67,10,652 |
| Closing Balance (Year-end) | 97,94,682 |
The Panchayat's financial transactions were generally carried out in an orderly manner; however, the audit detected certain accounting discrepancies in the annual accounts
Project Implementation
- Projects Approved: 177
- Projects Implemented: 169
- Project Implementation Rate: 95.4%
The Panchayat demonstrated excellent efficiency in project implementation during the 2019–20 financial year, achieving a project implementation rate of 95.4%, with 169 out of 177 approved projects successfully completed.
Welfare Schemes
| Scheme | Beneficiaries |
|---|---|
| Old Age Pension | 1,308 |
| Widow Pension | 606 |
| Agricultural Labour Pension | 422 |
| Disability Pension | 229 |
| Unemployment Allowance | 32 |
| Unmarried Women Pension | 14 |
MGNREGS (Mahatma Gandhi National Rural Employment Guarantee Scheme)
- Successfully implemented a number of public works.
- Registered new workers under the scheme.
- Administrative expenses and workers' wages were disbursed in a timely manner.
Major Audit Findings
Errors in the Annual Accounts
- Loan details were not recorded accurately.
- Discrepancies were found in the grant accounts.
- Certain advance payments were not reflected in the annual financial statements.
Profession Tax
Profession tax was not fully collected from:
- Ration shops
- Dairy Cooperative Societies
- Financial Institutions
Property Tax
The data cleansing recommended in the previous audit had not been completed.
Non-Utilization of the GeM Portal
Procurements were not made through the Government e-Marketplace (GeM) as mandated by the Government.
LIFE Housing Scheme
It was found that the construction of a beneficiary's house remained incomplete.
Purchase of Glucometers
Although payment had been made, the glucometers and test strips had not been supplied even after more than one year.
Anganwadi Nutrition Programme
Discrepancies were found between the stock register and the distribution register.
Failure to Recover Statutory Deductions from Contractors
Statutory deductions, including GST and Labour Welfare Fund contributions, were not recovered from contractors as required.
Public Works
Penalty was not imposed on public works that remained incomplete even after the stipulated completion period had expired.
PHC Medicines
Although ₹3,00,000 had been spent, medicines worth ₹37,061 were still pending for supply.
Advance Payments to Implementing Agencies
Utilization Certificates for the funds advanced to implementing agencies, including KSEB, were not available.
Amount Under Audit Objection
| Subject | Amount (₹) |
|---|---|
| Equivalency Examination Scheme | 44,700 |
| Glucometer Scheme | 2,76,246 |
| Grow Bag Scheme | 1,00,000 |
| Advance Payments for Works | 1,28,934 |
| Total | 5,49,880 |
Conclusion
During the 2019–20 financial year, Puliyoor Grama Panchayat achieved an impressive 95.4% project implementation rate and effectively implemented various welfare schemes and the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS). However, greater attention is required in the areas of accounting accuracy, tax collection, compliance with government procurement regulations, contract management procedures, record maintenance, and monitoring of implementing agencies.
Although the audit did not report any direct financial loss, an amount of approximately ₹5.50 lakh was held under audit objection until satisfactory clarification regarding the supporting records and utilization of funds is provided.
Addressing these deficiencies will further strengthen the Panchayat's financial management, internal control system, and overall administrative efficiency.