Govt fails in regulating Corporations, no audit since decades

SRINAGAR: There seems no accountability in the functioning of government owned corporations in Jammu and Kashmir. This could be gauged from the fact that despite running in losses, no audit has been conducted in majority of these corporations for the past many years.

Sources said that the government has made a huge investment in these corporations, but there seems no accountability due to failure of the government in conducting their audit which would have prevented from misappropriation of their assets.

Sources said that all these corporations have been set up to generate revenue and create new job opportunities in the state but most of them are running in heavy losses due to lack of accountability and many have failed to pay salaries to their employees.

It is mandatory for every government department or corporation to conduct audit annually by the statutory auditor to evaluate the effectiveness of the internal records.

However, according to official details available with KNS, the annual accounts of the JK SRTC were audited in 2011-2012 but for the past three years, the authorities have failed to hold audit. The audit of JK Agro Industries and JK Industries Limited was last conducted in 2005 and 2007 respectively.

The accounts of the JKPCC are in arrears since 2000-2001 onwards thus they have failed to conduct the Corporation’s audit.

The annual accounts of JK State Women’s Development Corporation have not been audited for the past many years.

Official documents reveal that the accounts of the JK Horticulture Produce Marketing Corporation are in arrears since 2001-2002. The accounts of the JK Cements Limited were audited in 2008-2009.

JK Minerals Limited accounts have not been audited since long with official attribute to the pendency of statutory audit with destruction of records.

Official sources said there have been a misappropriation of funds in many of these corporations and have witnessed considerable decline in their profit level over the years.

“Actually, the politicians and bureaucrats are creating hurdles in conducting the audit of these corporations for their vested interests,” a senior official said. “How can we expect of reviving these corporations when audit has not been conducted to know the reasons for their losses,” the official said.

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