Major lapse exposed in CAG report: liquor revenue worth ₹195 crore missing

by Kajal Luthra |
Major lapse exposed in CAG report: liquor revenue worth ₹195 crore missing
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Jaipur (The Uttam Hindu): A major scam has been uncovered in the Rajasthan Excise Department, sending shockwaves throughout the administrative machinery. A report by the Comptroller and Auditor General of India (CAG) has shockingly revealed that a staggering ₹195 crore in revenue from liquor sales remains unaccounted for. The CAG has recommended strict action in this matter and the recovery of the entire amount.

In its report, the Comptroller and Auditor General urged the state government to immediately address this serious financial irregularity and take strict action. The CAG clearly stated that the Excise Department must ensure strict compliance with its own rules, regulations, and policies to ensure no laxity in the collection of fees and penalties.

According to the CAG report, during the year 2021-22, a thorough investigation was conducted into 7,512 cases involving 2,663 liquor contractors in the state. Serious irregularities were found in approximately 72 percent of these cases, or 5,391 cases. This data points to the ongoing mismanagement and corruption within the department.

According to the Comptroller and Auditor General (CAG) report, these financial irregularities occurred at multiple levels. The largest losses were due to under-collection of excise duty and license fee, resulting in a direct loss of ₹100.96 crore to the exchequer in 1,908 cases. Additionally, discrepancies in computerized systems and ledger reports led to under-collection of additional duty, resulting in a loss of ₹72.88 crore in 1,954 cases.

Furthermore, gross negligence was observed in the collection of license fees, fines, and interest on foreign liquor and beer, resulting in a loss of ₹15.25 crore in 1,190 cases. The report also revealed that interest of ₹5.98 crore, due to delayed payments by contractors, was not collected in 267 cases. Furthermore, an additional loss of ₹3.4 million was recorded by overstating losses in liquor and beer stocks.

After this CAG report, serious questions have been raised on the functioning of the Excise Department and now it remains to be seen what action the government takes in this matter.

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