Successive reports of the Comptroller and Auditor General of India (CAG) through its audits of the Government of Nagaland’s financial management, administration and performance continue to find gross financial irregularities, manipulations, fraud, anomalies and negligence embedded within the system. The most recent findings was stated in the Report of the Comptroller and Auditor General of India (CAG) related to matters arising from the Performance Audit and test audit of transactions of various departments of the Government of Nagaland pertaining to General, Economic and Revenue Sectors for the year ending March 31, 2019 under Government of Nagaland Report 2 of 2020. In the process of auditing an auditable unit it covered the areas of Compliance Audit, Performance Audit and the Financial Attest Audit.
The Accountant General Office is responsible to officially present its report to the State Assembly through the Public Accounts Committee (PAC), and for the committee to recommend the course of action at the appropriate government level. In a news report by The Morung Express entitled Ensuring Accountability – II, the Principal Accountant General, A Pihoto Chophy said, “our duty is to ensure that our report is accurate, timely and actionable. Our role ends with reporting, we cannot do anything beyond that, the action part is the committee.” In the same news report, former Accountant General, Kohima, Sword Vashum, who retired as Additional Deputy Comptroller points out that “PAC plays a very vital role because they do it for, and on behalf of the state government.” He adds, “Of all the committees, PAC plays a crucial role to enforce accountability and also financial discipline and recommend that they deserve definitive action.”
A close reading of the CAG reports indicates that the audit findings were examined through the broader lens of participatory democracy which is accountable to its citizens. The government and its employees are mandated to serve the public through its institutions which includes their accountability for public funds. While the audit findings have shown that vast amounts of public funds have not been expended according to plan, nor are they fully accounted for, it is unfortunate that there is no real demonstration of political will or political action in addressing this menace. All this negatively impacts the quality of public accountability and democratic governance. What is even more disturbing is the public silence in the face of such systemic corruption which means that it is being given tacit approval. This is ironic because anti-corruption bodies such as ACAUT, community groups and social media blogs that raise their voices against systemic corruption have failed to make a sustained effort to take up cases cited in the CAG report. However, it should be noted that discrepancies cited in the CAG report can be used by investigating agencies to press charges against mismanagement of public finances.
To refresh our memories and appreciate the seriousness of the lapses identified by the CAG in its audit report, here are some important findings in 2018-2020. In the Performance Audit (PA) on RMSA in the Education Sector it is reported that out of 391 Special Education Teachers appointed only 360 were genuine. Furthermore, out of the 3,695 students under “Children with Special Needs” only 650 students (or approximately 18%) were eligible for benefits under Inclusive Education for Disabled at Secondary Stage. The CAG reported that none of the 11 girls’ hostel constructed during 2012-2013, were operational.
On the Performance Audit on Implementation of NEC funded projects, the CAG detected incorrect utilization certifications for Rupees 49.20 crores were submitted. Also, Rupees 44.29 crore were paid without actual execution of works and an excess payment of Rupees 22.50 crore was made by inflating the rate of materials/equipment. In another matter pertaining to the Performance Audit on Construction and Maintenance of Government Buildings, it was found that in 55 projects, payment of Rupees 15.74 crore was made for works not/short executed.
Given the unpredictable conditions that we live in related to the climate and natural disasters, it was disheartening to read the Compliance Audit on Disaster Management. It was found that the Nagaland State Disaster Management Authority “was not adequately geared up to handle disasters in the State for want of plans and a robust organization equipped with manpower and equipment to deal with disasters.” To highlight a few more findings, it was reported that the Department of Power, paid Rupees 8.88 crore in excess over actual costs to procure a transformer. Also, two Public Works (Road & Bridges) Division paid Rupees 18.08 crore to the contractor without execution of works. To add to these concerning figures, it detected that Four District Rural Development Agencies did not observe the Financial Rules for public purchase which resulted in fraudulent payment of Rupees 6.21 crore. Also, the BDOs recorded fictitious entries in the MBs and Rupees 14.68 crore were paid without actual execution of works.
These are just a few instances, but they present a broader pattern of gross misuse of public resources. It smacks of arrogance of power and impunity because they behave as if they are not accountable to anyone. In this way the CAG reports in Nagaland indicate how structural violence in the form of systemic corruption is becoming more institutionalized within cumbersome government systems. This means that the violence is deeply embedded and supports a culture of impunity enabling rampant systematic corruption to take place.
These conditions rob every citizen of Nagaland of public resources from which they could benefit directly, and which could improve the overall living conditions. The sad reality is that within a culture of impunity nearly everyone is complicit and contributes to corruption in one way or another. The challenge is in creating community participation and ownership of valuable public resources so that those occupying public offices must be held to account. Only then, will the voices against corruption find relevance and behaviors change that support a shared culture of transparency and accountability.
