IT News
Imphal, Jan 15:
The Horticulture and Soil Conservation Department is under audit scrutiny for procuring goods worth Rs. 3.37 crore without following mandatory open tender procedures. These purchases were made under the Model Horticulture Centre project implemented at Ngarumphung, Tupul, and Haipi.
According to the audit report, the project was sanctioned on March 16, 2016, under North Eastern Council (NEC) funding, with an estimated cost of Rs. 12 crore and a three-year completion target. The project aimed to promote the sustainable use of natural resources, enhance productivity, and increase rural farmers’ incomes.
Audit findings revealed that goods worth Rs. 3.73 crore were procured from 10 suppliers between November 2016 and April 2019 without adhering to open tender procedures, in violation of General Financial Rules (GFR). The GFR requires e-tendering for purchases exceeding Rs. 20 lakh. Additionally, no purchases were made through the Government e-Marketplace (GeM) portal, despite the requirement for procurement above Rs. 25,000, as outlined in the Office Memorandum dated September 27, 2017.
The NEC released Rs. 10.80 crore to the State Government in three installments between March 2016 and February 2020. However, Rs. 5.97 crore of NEC funds and Rs. 41.36 lakh of the State’s share had not been transferred to the Department as of March 2020. Only Rs. 4.83 crore of NEC funds and Rs. 78.64 lakh of the State share were disbursed to the Department, of which Rs. 5.62 crore had been spent by March 2020.
The audit further noted that structures and machinery worth Rs. 84.76 lakh were missing at three project sites. Moreover, contour earth bunding, gabion work, compost pits, and water harvesting ponds—valued at Rs. 45.64 lakh and meant for beneficiaries—were not executed. Additionally, eight naturally ventilated polyhouses, worth Rs. 1.32 crore, were found lying idle and unutilized.
The report highlighted that the lack of transparency, competitiveness, and equitable treatment in procurement processes undermined the financial integrity of the project. These findings also raised serious concerns about governance lapses in the utilization of funds.