This Article is From Apr 01, 2016

National Auditor Raps Ahmedabad Metro For 'Wasteful Spending'

National Auditor Raps Ahmedabad Metro For 'Wasteful Spending'

MEGA spent Rs 373.62 crore on development of three sites -- Indroda and Chiloda and Motera in Ahmedabad -- which were later abandoned because the route was changed. (Reuters file photo)

Gandhinagar: The government-owned Metro Link Express for Gandhinagar and Ahmedabad (MEGA), which is implementing the project, wasted crores of rupees due to mismanagement, said a report tabled by Comptroller and Auditor General (CAG) in the Gujarat Assembly today.

As per the CAG's audit report on state public sector undertakings, MEGA spent Rs 373.62 crore on development of three sites -- Indroda and Chiloda and Motera in Ahmedabad -- which were later abandoned because the route was changed.

Work orders related to planning, designing and material procurement were given before the Draft Project Report (DPR) got approval in December 2012. The routes suggested in this DPR were later changed and work for earlier phase-1 of the project was stopped in 2013.

"The company incurred expenditure of Rs 445.86 crore towards various works for the old phase-1, which was scrapped. Out of the above expenditure, Rs 373.62 crore was incurred towards three sites, which were to be used as depot, casting yard and test rack sites," the CAG report said.

"In the new phase-1 route, these three deports do not figure...it resulted in infructuous expenditure of Rs 372.62 crore," it said.
 
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