」 」 」 」 」 l g 勾＿〔一！！討一件不一！ J’一需；：需魚！沐”上州伶’祕！不而喘斗一 磯州！汗、 ×》州熙〕：二：：二二：一，、，、兀 了鼾州刁抽馴取一鼾淤『騙弓研耳＿－一久 、、中訕一二一你無、、】弘藝或鱗＃!：權‘;!&&&&，·’ 啊不阿q. 斤計千叮喂汗！以叩：蒙取，斤日，i刁不訕名！n二」叮j 丰禹牌兀汝j方弄斗！&&―一斤。‘’萬】響；、熙〕＇’寫‘｝〔’叩’一T黑”! 一棘：：萬以騙一、’一。■必、j斗州蕊】論二渠斤l、、？、、 譯！斗叩寫邸件．勿不〕！一，一二魚、中：際丰一鳥州＇方他，’認‘一‘〕‘ 了新攤J了不不辮？’哉’戶：叮方取于‘州。；&& 、→f屹 ’才 波〕刁記劉不一方，、；勺作黑．&(’一煩’訓k 、祈方兀；不：；購認h取私·l 耳，：痲．拿．，·購，甲方計目、“,j、一卜！權叮州。兀潤必仄編。’織’〝、、‘’且呂：，·、；&，州 。』、甲二派·以Iit、」州州州沐”‘禿；．萬．｀、．。、一 針：切梯舟訌訪汰合馴。織n負魚小、；州；：。‘,’。！丫；寥·中州不州緘＇ 魚沐辟齋1不婉：黃： 〕，！付蔥叩卜！:：江！一叩：不！厲才t了薇”,&&&！■“ 騙！斤，州！邢：→‘滷、：：以―認川一不一《括．偶汗州；&;＿一。，- 中州．州；卹然計‘，祕『1’一謫―不豔 、取勿州■中馴。r斗〝，一方．叔州沙’”下了．&7。。J，一＇：。物久沐‘ ,&1 J.＇、‘、 &，化。 Draft Audit and Inspection Report on the Accounts of the PmJect Director, Ilimachal Pradesh Horficulture Developinent ProJect, Shimla (C'i-edit No. 5838 IN) for financialyear 2020-21 PART-I IJKTRODUCTION The Hiiiijchil PrAesh HýýrlicultiirL: De\ elopniem ProJect w-is cý,,tihllshed on 21' Junc 2016 in Ilie SLate 01 k\ itli ,t viev, to suppori Ilie (4 HortICUltUre scetoi, throtigh Ilie 'IPPlic.,tlloll ot JICýÅ leclinology and 'IppvoýIchc" timl Xk 111 colltl,i[-)Llte to C11[11ý11C I-esillerlc\ [Ile c CIPlcit\, of Til-oý[Llccr" ',w d their oriý'anizmlons imel f.icilit,,tte icecý,.s to nut-ketý, wid vitlue uldition. A DCý eloi)iiieiii Credit A,,reeiiieiii (eredit No.5S3ý, IN) wäs ýlgned on 21` June 2016 betxk cen Go\ i. of IndiKt ýand De,ý,elopil '_-[11 foi Dexel(ý1-)iiieiit of' ElorticLil[uii-e 111 Hinl,tebýtl Pmclc,ý11 Staie. The I)ei-loel kýxs for ,e'ýen ve-av Irom 10 2016 to 30 Junc 2023, The pt-ojtet I)cciiiie Jfeciiý e fr,om 16 . 0(1.20 l 0 To mect out Ilie co,ýi throägh this ägreement IDA ha,, agiced to iý,ruvklc USD 135 million SM per (vm slitre ofc11,27WC exp.iiclitui-e. The 1)1-0 j ect is, being Camed out 13-, 'lic sttte of, I 11111,1e11a1 Pi.,[(1c"ll throu.'ý'11 "Hiiliztchtl i -- - Pradesh Horticulture Development Society- wid HY. Horticuiltut-e KoCILICC Mýirketin,-, & Proce,,,,jii,ý, ("oi,13orýitioji ~MC). Comple\ N1,gam ý, ffian Slili-)ilt. The detulls ofeluinge of Office ol Ilie Pn-ýleet Director, Hiiiitch,tl Dc,,-clol)iiieiii PmjCCI (IUrin£ý tl-IC IX:110d COX UrCLIL U11LICI- 'ILICIII 11, Sr. No.- Name From To - - ----------------------- --- --- NI,, DeKsNýeui Lktnik, LAS 0 1.01INI. 20 19 19. 10, 2ý l 20 Sh. Goel. LAS 19. 10. -20 20 lo till daw f A) Oj-ganizational Set Up: The fuuclionýtl body of- ffit, prol -el conlpriscý' of Ilie Bod\ (GW' illk: I-ACCULJkC C011111IIMCC (EC) d11(1 Ilie Pro lect M"trlý1('Cll]Cllt U1111 (IIMU). PI-oVci Co- ordin,mon Unit (PCU). Proicct Implemennition Ltnits un(1 Block Implenmulition Units (BIU,), The ()rLylltilotjl"llll helow vINKIly depiels Ilie 111,,,tllulio11ýll u], Ilie socim. showinc Ilie I-oles, lincl ot "lnd iiiecli,til',Nill. to ýICCOIYIPIVý11 Ilie oll'ccli\cs of Ilie soelel\. Organizational Chart I PHDIP Governing Council P ti,, inigeitt unit (PIU'f 11>1V xw ' 11 UJ > ucu HPHDP PCU I I - Techn)ical anid Capacitv Budidingl Ageies: t Hon ulu t F. HMC •International u~~J I L)c~~Dpt. ef 1-lorijciilurC. 111F. 11PC ntrlifd > IHPSAM Cnsultancy 1- Services For- o Nurseries - - o Orchard D[)islriet Coord inationl Comm ittees, Df. niInd~fen tn nu o Posit-harve\i _________r____e_______mo______n____Manauememn and B -e mieefttin1 ni -s -n o rrigation Biockmn- . Inte rnational Fields Facilitaors NGOs Partner ler - - TCentre el o -Excellence F rmer beneficiaries through * Service -cmmu ni tIv-based organiations Provider for CSC-s A) Activities and Functions The rex ied Precl ut lav atter eancellaii of USD 20 million bY the DEA. Gol and WB is eiiited at Rs. 1006.49 ewie including contigetincies of Rs.19.89 erore to be euneted nmie lIowiit compenen ov er a pe iød up-to Finaneial Year 20_3. S. Coniponent Total Allocation Allocation Expenditure No. Fun PI-ercentage during during 2020- i 2020-21 21 - Horiculture 5 i-- 48.- - , ¿ 107.08 Crore o Hoiculure l 3- ' 200.00 Producien and erore,r D versi icaiion_- - - - 2 ii) Value Addition and 331) 3 30.97 26.07 Crore Acmr-centerpriscs crOrcs. De elopment 1in) NI Lci Dc\ clopicti .8-.8840 (*c iNx) Pioj cct NIn Anrcgcnc in 1 1 It).14 t)\1 f)-4.( Iotal 1046.60 200.00 158.25 crore _______ rurecrore (ontingencies 1).$9 G Total 1066.49 200.00 158.25 crore ore C0roe (B) Performance of the Project Total Budget proposed Revised for Year Compo s rvedt fr YActual Expenditure Shortfall Achievement (in Pojt 2020 Incurred percentage) Cost 2021 (from 01- 07-2020 to 30-06- 2021 Cumulative during Cumulative During upto the year upto the year march 2020-21 march 2020-21 2021 2020-21 A. Horticulture Production and Diversification A.1 Enhancing 21169.66 availability and adoption of elite planting materials and horticulture technology transfers, 9264.29 11343.78 3950.16 5314.13 53.58 42-63 A,2 Promoting 30507.13 Climate Resilient Technologies and Adoption 12091.66 7473.01 6758.05 5333.61 24.49 S5.9 A.3 Facilitation of 50 access to financial services and building financial capability 0 0 0 0 0 0 Subtotal 51726.79 21355.95 18816.79 10708.21 10647.74 36-37 50.14 B. Value Addition and Agri-Enterprise Development B.1 Product 1605.5 Aggregation and Sale through Producer Associations 1296.93 225.05 225.05 1071.88 14.01 17.35 3 B.2 Supply Chain 26614 Infrastructure Support and piloting Negotiable Warehouse Receipt 11833,46 2934.67 2151.16 9682,3 11.02 18-17 B.3 Agri-Business Promotion Facility 4812 07 1539 694.63 230.92 1308.08 14,43 15 Subtotal 33031.57 14669.39 3854.35 2607.13 12062.26 11.66 17.77 C. Market Development and Sector stewardship C.1 up gradation and modernization of agricultural wholesale markets 7523. 12 3515.6 905.8 846.57 2669.03 12,04 24.08 C.2 Setting up Economic and Market nformation and nteligence (E M]j cell 465 0 0 0 0 0 Subtotal 7988.12 3515.6 905.8 846.57 2669.03 11.33 24.08 D. Project Management, Monitoring and Learning D1 Project Management 11914 28 1450.06 5994.35 1664.41 Nil 50.31 114.78 Total 104660.76 40991.01 29571.29 15826.26 25379.03 28.25 3860 (0) Scope of Audit Tbe1 Certification Atdit of Xorld Bank ssised 1.P. lortieiliure Development Project (Credit No. 5S3-lN) Shimi for the year 2020-21 was conducted during Ite period -1-l -.1-2 t o 2 032, 1221- D) IParti composition and period of audit 1e½I check anld general exeainamio on bhe account of Project Director. H-.P 1orticulture Development Projecl Shimfla lor the year -019-20 was condUcted by an aueit partk consistIn Mhri Kaniml Deep Singh. Sr. Audi Officer (from 28-0i2222 to i 102-2022), Sh. Jaicer. Ausistam Andit Officer. Shr. Hari Prakash. Assistant Audit Officer ( join the party on 19-03-2022) and Sh. Kishori Lail Assistani Supervisor w..f. 28-02-22 to - 4-3-2< 2 2 in accordance with Ie applicable Auditing Standards of the Comptroller and Audi1tor GICnertal of India. L Fund lanagenent The figunres o budet and expenditure incurred there agains duringm last tree yCars \S a under: Year Budget Budget Expenditure in Variation in 4 Allocation in received in Crore Crore, Crore Crore 2018-19 1001 91.1 49.1- 41.4 24)19-20 12)(m<) 40,00 05.20 2020-21 20fJ 2t1< 15K26 -41.~4 (F) Repavment of Schedule: Repayment of Schedule was commenced on Ist November 2021 61 2.5, of the Principal Amnoumn as per the tgreement The period et Repaymenm Schedule is Ist November 2021 to Ist Max 2041 and duc dattes of p mcm are Isi may and Ist November of every year. (G) Sampling Procedure: The month selection in respect of ilie audit of The Chief Project Director. Himachal Pradesh Horticulture Development Project Shinla, 1limaehal Pradesh has been ione on the basis of higLest expendirurn incurred during thle nionth and it is September 2020. The Inspection Report has been prepared based on the information furnished and made avaiable by the Project Director. The officer of the Principal Accoutant General (Audit) H1.P. Shimla disclaims any responsibi lt lot any misinio rmahion or non- information on the part of audited enity. PART-II AUDIT FINDINGS Audit (es( checked the records (9eween 28.2.2022 to 28.03.2022) maintained in the office of the Project Director. Himachal Pradesh Horticultire Dexvelopmem Projeci, Shimla (Loan No 5838-IN) for the period 14 21201 to 013 21021 and Ilie irreularities notiecd during the Local Audit and Inspeetion of this Projeci have been incorporaied in the succeeding paragraphs of the current audit and inspection repori of Proje.CL Part-It (A) Serious Irregularities Para:1 Short utilisation of fund due to slow progress of priect and non- achievrement of targets-Rs. 41.74 lakh A Dexvelopment Credit Agreemeli (Credit No.583 IN) was signed 2 l2' .1Ln 201 beiween Gox t. of India and Intena onal Dex elopliew ssciation Ior Demehpnm if HorticultUre in Himachal Pradesh State. The projcci period was for sexen x ear stiartiII from 16 June 2016 to 3<) June 2013 Everye The Pec pepares the UCnual action p\an fi the aclxines lo be coUmpleted during the year and gets approv al from t he w orld bank. The proj cc[ rece il es the funds from the state governinet and lies ihe fund,s aspr tppi ed nnlu1 action plan. To mCC out the projecI cosi through this agreenent IDA hts agreed to provide USD 1-35 miilfion 80 per Cent share of1 eligibl expenditure. IH veXCr, considering the slow progress of the expenditure tie total outlay u the projec! Xwas reduced to USD Il 5 million in Junie 20210. 5 Aukd 1esl checked lie jecorlds (betw eeii 28.02.2022 to 28.03.2022) mailinined in the Jl lice f [Ie Project Dir>er. Hijmach.l Pradesh Horticulture De\elopmmciit P- liecI- Shila (L_jl No 8 rN r the period 04 2020 to 03 2121 and noticecl ih- ihe annual xction pix fo Rol -.91 WrOIcel of the project s got äppro\,ed ide -mii dt v ¾10-t 20<1 irom [he wrtld Wank [In Impkmting the \uflous 1i1 lies under 1h1 a1c proed componin'. The projeli received ihe fund,, of R. 201 coics Prom 11h K1lIe ' cl1me1 D !ebs the Lairels Of annul action plan 2020-21 (1 om <1l =0 2<120( to 3(-1 -2021) ouIt al hich th p ject could titlized onlv RS,. 15824 erie agtainstL the app(ro\ d budget of Rs.4 . 1 l re 1us on Ilie 5 arious acm ies as detailed beln: Total Budget proposed Res ised for Year cRese 2020- Actual Expenditure Shortall Achievement Post 2021 Incurred in percentage) ( ost k from 1- 7-2020 to 30-6- 2021) - Cumulativ during (umulatii During e upto the year e upto the year march 2020-21 March 2020-21 2021 2020-21 A. Horticulture Production and DiAersitication A. Enhaning I I fiObitli 21 [ nl iantd dpin oj elLe plantiing materils and honicuhure vehn''esiranlerN, _ 2(14.29 11343.7 39536 5314.3 53.5s 42ie ~2 Promi 'ug Climm~ie 31151071 Resilieni TechnologIies and Ad'pen _ 12191A_ 743,y i t7585 5333.ol 24.-.9255 A.3 F:ieilitauien a' cidess I 51 f inaniia] servece and hilding, -irtanei:i epahil ni'i lit i1 Subtotal 51726.79 21355.95 18816.79 10708.21 10647.74 36.37 50.14 B. Value Addition and Agri-Enterprise Development 1 Produet Aggregfil tn and 16115.5 Sak ihouih Pndue1r .\seaiiiuns ___96.9______ An 225.i5 225.05 107188s [4.11 1 7.35 It iphl ('hin 26h14.- ________ himaLnuture 0-tui an pi] line l er ie \\ ieus Rupt i833.46 293 2151.1 ) 9682 3 11.112 1 K lFlL1 c i< 4812.07 15 694o ( .92 1308.0o8 14.44.3 Subtotal 33031.57 14669.39 3854.35 2607.13 12062.26 11.66 17.77 C. N'\arket Development and Sector stewardship C. i I rada i1 a d mi dernw<:J in' eri uliur:i _ _a1 _ _ 'see na m Ls -53j 1 .6 905.n i 46.57 1 2669.03 12.04 24.08 ('.2 Se un up mi Le neeand .d \Nrket Ir 1i.mauiin and Subtotal 7988.12 3515.6 905.8 846.57 2669.03 11.33 24.08 6 D. Project Management. \Monitoring and Learning -<-1 D 1 P fee \Man en 1_14 4 S 1 543 __() 1164.4 1 214.35 Total _ 14660.76 40991.01 29571.29 _ 15826.26 25379.03 28.25 38.60 II could be seen from thx abo( e Ii l ha h fO lat ol Ili pro cCI a \e 1 jid b- :\ay foml the targets iand thlLtIme ffi projecl iplemiietiaoln) xwas :de 1' 11ref1 no satisflacIor ap per the approxed \nnual Acol-n Pkul 201-2L The progr1 h e 11 project durinu the year x:as 38. per ceN against ie approxd \nual Aton pLtn 200-21. Further, the kMnure O the pJeCC Ih is end1i in June J121)23houe e Cla Iii ntve atcliiexvemeult l r Nktich 221 wa ly S /onK n! .an hh 1 tal outläy of the proJec in spite ol te 1act the total ouitax of Ilhe projt! kfs fl reaily heCII reduced u mm USD 1 millii , if the pest of dicease is not exotie and permit the releatse of the affeeted populatimO from the post-entrY quarantine only after curative ineasures have been observ ed to be successful. Otherwise, the plants shall be ordered io be destoyed. Where destruction of any piant population is ordered by thbe inspection au>thority. thbe importer shall dlestroy the sarne in the manner as ma be directed b. tbe inspeedion authoriy and under his supervision. The inspection authority shall permii tle release of pb1mts from post-etr qluatie, if they are Ioun1td (o be free from pests and diseases for the period pecilie;d 1i the permit tor itniportation. Pre-reqiuisite for Preparation und Inspection of PEQ sites: As per the requirement of Plarm Protection Advisor Govt of India. Ilie importer would have to create [ile folingITKt facilii,es in tbc PE) hie. w lere ihe plant material is destined to be kept for observalton for one kear. i Facility is dis,ntictil located in an offshore island and or isolated from .imilar related crop species up to a diameter of 5 ,00 to 1000 in S The feld is ene]oNed around viti barhel wkire fencing with lockable gate to pr\l ent any unauthorize( erltf\ 3 The field of bordered around with a high density polythene film up to a heichi of 10 tt without anl oponings or gups and or raised around xwith 3-4 rows thick harrier crop such a" Daliieb & Se sbania to serve as insecl harrie r. 4. Suiltable sigm board sch a a Post entrN Quarantine Arca-No Entry wlihout Perinssioi 'is displayed near the entry cate to pre\ent trees passes. - he fiel dis localed in an elevated area and properly levelled with adequate draining conditions ft. The ater used for irrigated the field is of good quality and appropriatelv trewed to render it pest-frec. -Soil beds ue appropriatel treated by pasteurization or furnigation to render pestIrec 8. Te 1iCLd is watered ihrough a drip irrigation system and or furrow or basin or bed irrigated :1d no oxerheacd irrigation (sprinkler) systen used. 9. The field is frec from weeds and refuse of previous crop. if any 10. Security sufficien! to prexeit uiautithorized access I1. Doeientation Standard operating procedures in place for the operation of the facility (intciiudiig record keepingt 1st moniitorng & sanitation praetice 8 〕汙 - --- - --------------------------------- - - - --------- ... . ........... .... .... (jue to inortality to the prqject. Ncedful action Tim be taken Und id Ilie jos, er 111(1111:111011 to duclit, Part-ii (111) Other Irregularitics Pa ra: 3 Non-remittance of Interest accrued on Project Funds as liabillity Rs. 86.31 lakh. I-lic Proýjeci Financial NLnual vide eknise 6.7 (e) on ztceotintin- policy stales that Interesi Eurned on balances in Project 5ýwk ýtccounts and Other Inconie such as tender fets etc. from the Project tre to he recognised as liabilltv in the Balancc Slicei i -c Committec. The Execuli,,,jc Conu l l itS 't.Ild deall with as deckled Ký the Execut i\ -TT'tice "n interest acerued on Projeci Funäs \k -1 be depositc(1 mto S" mecting decitled thal Ilie - -oul( the relevant Recelpt Head of Ilie Department of I-forticulture. GoHP. Akl(111 lc'ý elicelýý,ii dic J-CCLýIkl" lo 28.0).2022) maintalnell Hi dic ot'IK'L- ol- the proleel 1)11-cclkli, Hlimichal Prådesfi llc)rticLilture Deýelojmicm Project. similla (Loan tor [Ile period 04 2020 tt) 03 2021 and noliced thät ,is Ilie Balance SK ul. iii Ilie I)ct-yiiisiiii(:, of the finajic'al vear '1020-91 the Prolect, liad accTued interel.11 "t]-noulltillcy to Rs. 66156077 - ås liabillty and amued intere,'-t amotinling to K, 1270/1SS - (Iiing Ilie year. 71-he Project depostied the acemed intercý,r ammintinu to Rs. in the relevant head of GoHP durino the vear '1020-21 the halancc anioiint of Rs. 155683167/- was. pending outstan(11112, 'tS liatillity at Ilie en(] of financial yeav 11020-21, The Proýjecl deposited an arnount (if Rs. 6937 IS-2:- (ii [lic i-elevarit Head of tiie Depariment of Horticulture on The halancc aninunt of R,,. 8'()'ý l 18-ý - lias tiol been deposned till Ilie date of audit [11 vickx of Ilie reply of Audit nienio No- 01 Datc(1 08-0-1-2022 the projeci, has stated that Ilie ýicertie-,] interest at the lexel ol'PIU-s is to be Jcjýý-ltccl in the Go\t. Account as and it is recelved in Ilie 1)CU office. Ncedful inav be done under intimation to MICEI. Para:4 Non-utilisation of rýjnds duc to lackadaisical approach in pkinning and execution of Rs. 170.08 crore. Tbe l litnachal Pradesh HorticultuiLý Developnient Prqject was e,,t.,il-yll,,hed on 21ýý Julie 9016 in the State of Himachal, Prade0 with a vickk, to support the i-nodernizýttioti of Horticulture sector throligh Ilie application ot new technology and approaches that will C()lltrit)(,110 to clilll,lte resilienc\ strenutheli the productive c:Ljmcäy of proclucer,ý and their ý)i-(2.triiztiloiis and fýtcilitý,itc access to niarkets and valuc addition. A Dcýelopmert Creclit Aurvcillent (eredit NJo.5838 IN) kvas slulled on 21` Julie -2016 Kt\\ U:U11 (,'$ov(. of India and International DeN-el(-)1)iiieiit Association for Developillent of Heýrticulture in Hlmachal Pradesh State. The project perlod was for seven vear marting- frorn 16 Julie 2010 to 30 June _'073. The projcct becarne effective froln 16.06.2016. The Project T-eceives thý fundý, Lrýý7it-in-md froin World Bank as well as frorn state government for the i,llpjciiieiitilion of Ilie aciix Ilies as clefined iii the ýipreernetit. 10 Aidit lest ClieckCtd the reeords (beiwen s2~212 t 283 3 i"a il " Otffie ot the Prete Divclr. [ial lrdesh 11nrilture De\ e tn1nIUC11 P1 'ii el Sliila il an No t3 II t hn UOC period -14 212 tu 11 2 tk21 and noeck il:! Ii opening balance for the xear 2120-21 was Rs.42,38 crore as per Balance Sheet L0ir lhe xear 2020-21 and the Director Hortilture, Himacal Pradesh xide letier N 5-1 _ 1- 20(-Udvan-V dated 14-04-)010 and letter No.HTC-F (5)- 101 2014- xol-N led 24-0- 2021 had provided gram-in-aid of R.120 crore and o ere rspeuti undet Horticulture Dekelopment Project during the fitancial, rs l ya20J20-21. Out et to 1 ax allable funds of Rs. 242.38 erore ( Rs. 2100 crore + Rs. 42.38 crore) out of vhich the Project could ulised only Rs. 57.' crore leat In behind unspent amount of Rs.l (18 ceroe as on 31.03.2021. This indicates that the funds for the ucar 20211-21 vere preded recee without accessing the actual requirement. Due to lackadi,sical approach in planning and esecunon el projeei had not only bloeked te funds to the tune of Rs. 17< re2 e, but also benetis of the projeu w eite not ald anced to e ctekt benet1iejnries. In v iew of the reply of audii memo no.-)3 dated 08-021-2012 ffe project staied that the financial year of the w orld bank is Iron July to June xw hereas in Himachal Prade,h it is Irom April to March. The project uilzed 75 crores arom \pril to June quart et 2021- 22. The reply of the project is not acceptable because during aud prore el to Jul to June of FI nancial vear 210 J-21 has also been ineluded m audl. So. Step e [forts ma\ now be made to acceleratc the prmlect acti\ itles. so that tbhe iended bene1ieianes idertified under the prm.et could be bene tited. Para:5 Procurenent of Conputer Tablets in excess of requireiment out of project funds of Rs 13.21 lakh. Under Himachal Pradesh Hurticulture Dex,elopnieni rej-ci.t bhe Departniet [e 1Hlorticulture Iliimachal Pradesh is implementeg I megiated b Hmnuculiute Seteor Managemelt & Monitoring System (1 1SMS) across the State of Himach,l Pradesh and for the purpose of achiexitmu the bjectixe of ILSNIS. 1land Held (ompute tOhk were procured for distribution e Horticulture Extensiern Ofhe DDH and otlit- Äutli test he ked tI [tt11 I (I t xen -S.02.21C L Ž4 th t itice el the Prmleei Director. 1ihail P ,itdeh ltml lit t 1 Shim1la (I n, No lor-IN 11r thn peiiod 04 212H m fli In tied that tIhe IHPHDP procured 423 number of Hand Held Computer Tablets in M arch 1019 at 1total cost of Rs 139,67 lakh imelusive of taes and annual maintenance for fivxe N ear. These lablets were distributed in peace ieal to lifferent users during the period from March 2019 to March 2021. lowexer, audit observed that 40 nurmiber of Hand Hell Cminputer Tablets valuing Rs 13.21 lakh rem-tained untiliz ed even afer 11apse t of period of more than 28 months since the Hand Held Computer Tablets were proeured mnd HPD[ 11 in August 2021 transfetred hese unut-ilized stock of Hand 1Hell Computer Tab1es io ie IT cell of Horticulture Department for Uilization as per rCquirermentt at tir entl, 11 Thus. procurenet of Handheld Computer Tablets without accessing the requirement properly not only resulted in blockade of funds but the considerable ~nnual maintenance period for which the cost was included in the price was lapsed witlout anv utilization. Apart from this, ihese tableis beconie obsolete with the passage of time due to fast changing technology. In viewx of the reply of audit memo no. - 114 dated O8A03.2122 the projcet stated that the tablets procured are as per the quantity and specifications finalized in RFP as these tablets were supposed to perform field operations on IHSMS application developed for Horiculture department and have been distributed after ensuring proper traiing to concerned staff. Further the department stated thal they have been purchased keeping in vicw the sanctioned strengti of the prolect and handed over to the Horticulture department for distribution among the concerned staff and some staff retired durinu Ilie intervetning period. The reply of the project is not acceptable because the project had oer elooked the fact that some officers were going to retire in the coning nionths and actial requirement was nol assess. Furthermore. training should have been provided to the concerned staff well in time before placing the order. Duc to this, these 40 computer tablets were remained unutilized fot 28 months and annual maimenance period was also lapsed without utilization and resulted in blockade of the unds. Project should take a conscious view to avoid tie unnecessarx blockade of funds and similar cases may be reviewed under inlimation to audit. Para:6 Non claiming of GST deposited against exempted services. Rs 2.80 crore. As per tbe IGST Act. 01 7 generally, tbe supplier of goods or services is liable to pay GST. Hewever, in specified cases like imports and other notified supplies. the liabilitv may be east on the recipient under the reverse charge iechanism. In the mechanism. liabillit to pay ,ax ts on Ilie recipient of supply of goods or services instead of the supplier of such goods or services in respect of notified cutegories of supply. As per the provisions of section 9-(3) of CGST , SGST (UTGST) Act. 2017 the Government ma. on the recommendations ol Ilie Council. by notification. specify categories of supply of goods or services or both, the tax on which shall be paid on reverse charge basis by the recipient of such goods or serxices. Himachal Pradesh Hlorticu-ure Dcvelopnient Project avails agriculture consultancy service from foreign service providers (non-taxable territorv) to carrv out Horticulture Development Project activities and to proxide consultanc services to farrners and to train the officers of the departinent as master trainers for further sharing of Horticulture and agriculture related knowledge. Audit ltet checked ie records (bewccn 28,02.2022 to 28321022) mai imi aincd in fie office ol ie ProjIet Dirct. Himachal Prades1 Horticulture Dkelopment Projct Sh11iL (1 n NO-kIo 01 er bhe period 04 212( te 113 2021 Ind noticed that Himachal Pradesh Horticulture De-elopnient Projeci office sought clarification from a firm of Chartered Accoutamt regarding exernption fron reverse charge mechanism ot GST against the panienits made to foreign consultants. Ilowever. the chiarlered 12 accountant firm gave (Septernber 2018) its opinion that these services are covered under section 9 (3) of the CGST act as services are received from non-taxable territory. The payment to consultants who rendered services from out of Inda wsill be covered under reverse charge under section 9 (3> of CGST Act. Accordingiy. the HIPIDIP started depositing the GST under reverse charge mechanisn of GST against the payments made to foreign consultants. H1PHDP deposited GST under reverse charge mechanism amounting to Rs 2.80 crore from December 2<>018 to March 2021 out of Project fund. However, on obtaining (August 2021 ) advance rulinu from the taxation authorities it was held (October 2021) that the services pro ided by foreign consultants to HPHDP which are used further for armers~ educaion and research. are squarely coVered under -'Agricultural 1-xtiension Serv ices" and \griculture Extension Services are exernpted under GST and as such no GST will be applicable on the supply of these services. However, audit observed that 1IPHDP authority has not taken an action to seek the refund against the GST deposited against exempted services. In view of the reply of Audit memo no. 05 dated Il83.2022 the project stated that the matter for reimbursement of already deposired RCM is in progress through CA concerned. The suitable action max be taken to get the refund back under intimition to auit. Para:7 Liability of Maximum Commitment Charges duc to Non-adhering the Prolect Apprial/Finance Agreement Instructions of Rs. I crore. The Financial Agreement dated 21 6, 2016 entered into between India (Recipiet) and INTERNATIONAL DEVELOPMENT ASSOCIATION (IDA), vide \which the Association aurees to extend recipient on the terms and conditions set 1o1th or relerred to this agreemet . a credit in the anount of one hundred and thirty five million United State Dol iars( Credit) to assist in fiinancinog the project the recpient had autihonsed to withdraw the proceeds of the eredit in accordance with section IV of Schedule 2 to this agreerment as well as according to IDA Project Appraisal Documem on a Proposed Credit PAD DATA SHEET. Credhi Article 21.03 of Financing Agreement further reads the maxni um commitmetmt charge rate payable by the recipient on the Un-\ithdrawn Credit Balance siall be one-half of one percem (1 2 of 1'( per annuM . Aud1lit te, checked the records (b meen tO 20 Ii 2?> mntird i i l office of the Project Diretior. Hii machl Pradesh it tInituue Dvelotpmli Priee Shiila (Lotn No 1i38-[N tor ti perod 114 20ii to 13 2o21 Ind noticed that the project was authorised to withdraw Rs. 327.93 crore (801_r of AAP Rs.40),t)lcrore) for the year 2020-2' 1 for horticultural developnent activities. 1over, it was noticed that the project incurred expenditure of Rs. 158.64 crore against the tpproed Anual Action Plan of Rs. 409.91 crore during the year 2020-21 and eligible for the reimbursenteo of Rs. 126.91 crore (81 of Rs.158.69 erore) during 2020-2 1. Tie Balance amount of Rs. 251.27 crore out of Rs. 409.91 wts not spent during the e:tr. Funds amounting to Rs. 201.01 crore (80r of 25 1.27 Crore) were to ie reinbursed b the World Bank as per the agreement but had not beeni withdrawk\ n duc to non- 13 ieliereiet of the target. This bamc funds created he liability to pay maxirmum1 commitmenl charges (0.5 r pa. Rs. I crore (201.01 crore*(L5 ) to the Intemional Development Association (IDA) apart from interest duc as per agreement. ld the project withdraxwn the total approved aunoum by World Bank/Association for the yar ii wvould laxve been utilized in welfare of Ghe farmers/,beneficiaries. In reph to Audit Memo no.06 daled M8.32022 the projeci stated that as per PAD expected Annual dishursemei targets were fixed at the very beginning of the Project but acual disbursement made on the basis of actual expenditure incurred. It was further stated that the funds were withdrawn keeping in view the urgent requirement of the PILs but due to bhe pan-lndia Covi-19 lokdoiIn. all the acilvitiles at the field level of ilie Project xere held up and the bill couldn~t be processed and the payment could not be released. Further it is alm) apprised that the (isbursemient target set for FY 2020-21 endinig in June 30,2021 is 14.5 Million Dollar and the project has nehieed 24.55 Mil]ion upo Juie 2021. Reply was not acceptable as annual targets for withdrawal of lunds should have been achiev ed to complete the project in a time bound manner and as saed by the project about disbursenent target achievement romi March to June it w ould be considered in the next year audi. Step etorts may, now be made to accelerate the horticulture acti\ ities. so that the intended benefciaries identified under the project could be be e fited and the elause of commitment charges may not arise. Para:8 Delay in implementation of iork related to Pack house at Giabong and Blockade of funds of Rs 1.30 crore. Hinachal Pradesh ltrticulture Produce Marketing and Processing Corporation Ltd (IP IPMC) one of the projem implemnenting unit. änvited (September 2020) tenders for Design. Supplv and installoäi of 5600 MT Capacity Pack House including Civil Works on Turn kex basis at Giabong under HPHDP at estimated cost of Rs 12.28 crores. After finalizing the tender process the wvork was awarded to Mis Frick India Ltd at total cost of Rs 14.52 erore. As per ihe contract agreement entered (February 2021) into with the contractor the ~ork wvas to completed by August 2022 i.e. 18 tm1ombt1l1s of Ilie contract agreemenet. Audi ilt elucked 1he retmds Wetwecen 28.=>2022 to 28.3.2022) maimtned in Ilie Sti (d tu Pryjec Difectr. lieaehal Pradesh Horticulture Developmet FnrjecL öhimla (Lom No 513W-N i lr the peruiod 4 2021 to 13 2021 and noticed lt ih IPHIDP ga: lebrur 2021) d nce Rs 1ä.30 ersrU th ie cOmtraetor. The Sdoane e a b Ättadjued in ihe iierni jp niens against the RA Bills e! the wsork w lt Lr lutlin mdin it was iher bsek led thän thut,h n period tyi more than One Near has p eired ruc Ihe grem y xniwi as signed w ith ilie conta1to1 be nt progess regaring eN ii ik. små pp o pmi mi tite haN been scheved till te. It wkas lurther. tbsen ai pmli c tconsi dt fetu iifret cämn hopntets in. 1. Ci il woks 2. Deäign Sen in-, 1 lmi m! linmei Supp 1 nulnaiouni ric. Huow\te O en in the cnmaci w ineuline it th, dutr womjsunis has been detined, is ni ensure etlemit. moniei eu er ti completin t thSe lrvject ithin the scheduled time. 14 Thus duc to delav in implemcimationi of the prjeci, non only resu ltedi in blockade 11 fundof Rs Ln3 cre hut the inleitintg ictfs of the projecit wud ast h dei Iii \iew of tbe repl ofl audit nicmo nti. 07 datd ] i L1022 the l ( WP sniltt the work ciuld n lie phsic:tly comnxnced t sil duc tt harsh clintie oiti 1inhtspitabe erriini Covid 1) pndcmic restrictios. The IVMC sinld fici 1pj ts expecced to completc by end tf Nt lember 2022. The repkl is t i aceptatble binc N Mted ab c auditn progress gardin i\ wrsuppty tt pL:mi i ie has ,n ,ICIeleCd till date. St efft s m1ax nw be made to complie t t trk in [miv -0 h ilie iiended betneiciaries idiiked under le proiject could belfcil. i>ra:9 Non-Iei of liquidi( ate(l (amantge charges as er the termis and condition of the aeement lle ranting eRtension- Rs. 1.09 Crore. ider litmachil Pradesh iiicuiire DPc lem Frpject t s 0ppl hin inirastructUrc VuppOn hs blei n iri gni t a, Iiimch;lildt litnile P1l Marketing and Pricssing prprtti id (HP HPM0 :d i theNiOe 1npdtiin mi oderniztaton il Agriculiuial \\ !nle'c ark t,s hts been urier:k tw Ht1 Siai Pradesh State Agriculturl Markletinv lord (HP SAMBL As per the projct inpleinentation plan thlexecutiI* omi ee coi u d it tt r ihe projec1 i, respinsihk for mionitoriit the liPhsical ind finenial progies of ih IMA =t dehlwi t ni Projeci. Hiaiteli Pradcsh 1rticulure Proddc Marketin i :md smeeing ( trpidjin u1 (IP HPM() one of the imipletmeing units of ithe projecu. tiber im i[in tbc ndiers br upgrIdatio. Exlnsin and stren,tn ing f \iing Pi 1 innem Intäsruciure a Oddi in Disit Shimla and Paikll in Diisti Kilu. NYwIid lt wt1ri . int it R-s 1.92 crtre :aid Rc. 7) jt Lkh r eetix cl tt \ s LImi Eng i r I i br llIn. Tii tomtrttct ag.reemis for bofithwrs werc signled tn <1 1-2< 1l u t completed \ithin 12 mfmibk (Scptimbr 2021) aet siening td atrumun. in Citni ihe cotractior had to Design. Silplt and inIstailalion 6of iachitl ry is I hd 'k and 4 of the agreemiem. Audi 1 checked the recirds (htwen 251.022 io 0te ' 2()22) miaiiidii in iv tince of the Prjeci Dirlect liiuchal Piroesh lrictulre D3uelieni Frj-e ShimA A lian N> 5:1 ) IN the periti t4 201t t 03 221 Wnd witied Ilh Colrftt r was required it t:i pt he itterii tindi & Tru run t the iämi in en roi nt.h and Fh)al c mlnittoning i th ie åan t ipie jl \1 e t 4i1n 1 i,,_ by Selitebiiher 2(21 Itut the tmriito uiild nI c mpitciS ilie p ithe -cuy upi Septeiber 2021 htt ihe instLiai iA t. mchinee cul it i Leiltel tbc suppl\ yi stme ot the pats spires Nt still 1iitn and tit !YiH t w,ii Ilie nimachinery requiiL repTekmt T iiiieir ithl . tik 21 l cxtension upto Julre 2022. DuU no delej in comnpkutin s the sva th upnåu i ReI.44 crnne und Rs. 5 fakh inurrvd nqv) Sepiomb 2f 21 iKr Odd1i w i rk i -to Paiiikuil wotrk respetiiely. As pier te rms l t e œ tiuntet gsens ie vuitvr was requred t) pay liquided datag s f du PY in empiinetn s an k x I m of 0.5 pt[eremti jiet Nek subiett I m innn tluf) percent. fon tt Itb 11 15 Sithout iaking specific approU d of Ilie Executive Commiltec for waiver of liquidated tnages anmiiounnig to R. 77.10 akh granted (September 21121) extensäin b) ti tnilorel upto April 2022 wil tbet)i leix ig the llquidated damages. SmilarIX. 1 Himachtu Prdes Siaie Agriculural Markeiing Board (HP SAMH) ene Of thi implcineniting units a the poject. alter n itingi te tenders for upgrYah(lion. Expniin and st rengåenin g i exisiling Whelesale Fruits and Vuegeable Mirkets 1 lamipuir in 1Disr. Kangra. Sht in DistL Kullu and Kanuni in Distt. Mndi aarded lite fotrk amcuming o R , 1.77 crore. Rs. 4.04 crore and Rs 2.42 erere repeciix c to Sh. I 1m Pau Saini. Mehatnur. Distl L na. liiachal Pradesh (Palamnpur Contractc Sh. Om raksh Surinder MNhan. Shifla. Hiimacha radesh (Shat & Kangni Contracts Ile comrl agreemeis fdr ihere wornks vwen sigted on 26-05-2020 anld were to he cwmleted as per the dimtion l the w orks (wiiiin 12 to 21 memlbs) alter signing of LUgreIememiis as dc-tail led helo mm "mcm t the completitt ol the centracts and eensin t as urated in copi1ncc 1 the notifliation e Min istry of Road 1 rainsport k- ihwayS G hich i tit accepitahk1 becatse that nojficaiont pertains tt thle Rt iomad projeC ctlracs 'n nii \khil G P h 111as not tetiied such Lind o liietiet ler th reliCI t tttl C tttor w ht hte bh11t assigned be i erk tiudet G.1P i Furtlier. it x t oxi ef the teplx t au.dit iem110 no. 12 dated 23 03 'N-_ tht f efic Officer, HP SAN113 stated that duie to non-alalabiit o abour wxhichbelonts te ses like Jhr ndUP. i3ihat in that peiodm and ute projutet ba grtid tt emtiin a Pt the cl anse io. 42 of tbc tgree -ndliGi(1e meniorand i: tIt tLd 1< > c,re, nIas : i ailable w%iti District lmplememing Units [I imur i n i Iare (I> and P 0's as n0 10 20.21>. li I t w90 ii ei s were stil 'x mvie. I ]wevcxer. Etilization (ertilieates ol the remninlg amfloumt were required io be iibiained in or [befor: 314 Mreh 2442 x whicheeb i nt reeivedi Th a. in cotravTiLnii ofi ibuid agrænem.lr. The dietail is as udr IFunds released Iby \IS Itilization Funds releas,ed , Balanc a, (iertiticates N ear P(DO Persom (luring the year . on 31- r,ecei,ed Iim tiln rupeelpel 220220 2020-21 001 DDT ia 370 2020-21 1) ll I 13925479 11920729 2004750 unis re esed i PU tiii lotal Opemnn -di- ' tion earne 'l during t`he o ilbl Bla Pe.o on eatc,? ear during 011.04.2020 recen1 e 2020-21 -IT 12 i 2 < 15 li 124519 > 4 i I t4 i < . 2020-21 t-0(22> tA 18 - 18 〕… ！計耑精計辭一！烏計一一編／一〕！’斗－-－一 ～、、一＿一斤不一：，一州、一：一二－一一 一1。 不可可而不啊，I，韶一一？不神贏而一――一認而兩h『？一―一―一 、”,!,&,I,l&c，·‘1&“、”11&,b Ic 、d,1 in錢A句u、tcd Ba：、。·‘。。‘.& 《，l〔》嘍·z《計。《，d。，ri,，鞏d,,:i。抑the&，膩，·、生一3- 〕一 !_―了 一，一不一州叫’一‘么山，l(f’二，),“川州m,,！州叫， 一劉上土’二面．柑二曰二一曰匹日曰二亙＿二二匹上亡匹匹日－ 一20 i Sn Openin- Tolal fund No i balancc u,, (lit < 111.04.2112(1 tile wi 31-3- . ........ . jo i i -11i )1 11 j! i PaI 41). Inc11,1 Liý il( 1)0 l [Iii i - - ---------------------------------- 411 fnd iý)n p( .1)() 1([1)(11) 42,' fi-id 11-,- K DO [Ji Lu 1ý 43 1 lliciýýit,-,L, 13( N '01 ý1, i 44, 11 1, J^~ p( 1)( s -- ---- - - -------- 46. 47. 1 C] l -i] L,' 1)0 10 48- 11 1-1% 49. Nktr, 'MA1;111 '01100 I C Of- . .... .. ..... . 0 1, K n75 -i --- - - - -- - ----------- - - ---------- 56. 22 the Nodal officern HPSAN13 stated that due to Covid-19 pandemic restrictions, rush at market yaurds of larmers during wkorkinu hours, harsh wveather conditions the works were delayed. The reply of Ilie project is not acceptable becaiusc covid-19 restrietions were sIarted after 20t March 2020 and unlocking of lockdown was started on Ist June 2)020 with relaxaliois in the restriciions. Furth, i- when the DPR were being prepared. the weather conditions of the tiate and rush at he market yards were well known to the project. So. te sincere cfforts max bc madec to complete the works in time so that the benefits of ilie projci max be adxanced to Ilie bnefieiciares. Para 13 Non-reco-erY against retained Laptop on transfer and after retirement Rs. 2.66 Lakh. Rule 172 of HP0R(Volume-1) 209 provides that in case of transfer or retirement ot official-in-chare of tbe store. the transferred or retired Officers: Officials shall see that the goods or niaterial are handed oxer correetly to his successor. Autlii te,[ checked tihe reeords (be'een 2Kt2.2122 to 2S03.2022) iaimaind in ie lice- et thle Piljc( Director, Imache1 PrVdeshJ oticu Itur Dcvelopmei Pojecl ial (; -oan No )3l for t6 c rerol <14 2020 to 0>3 2011 and noticed that tour 1p w . xi erc iiueiI o i1e project ugccj is m ll. AudLiObserxed that department bad 24 neither taken back the laptops issued nor the residual value after charging the depreciation of the laptops were gt deposited trom the concerned Officers. In view of the reply of audit menio no. 14 dated 24-th3- the project staied that duc to rush of wvork. office could not maintain proper store and stock accouit and neessar action wvould be taken thereafter compliance would be shown to audit. Needul may be done under intimation to audit. Para:14 Non disposal of Condenined/ Dismantled Store arlicies Rs. 0.86 Laldi. Rule 15.3. of HPFR(Volume-I) 2009 stipulates that the unser\iceablc store articles scraps should be disposed off so as to avoid their further deterioration and \astge ef labour and space and their auction value should be depoesited into Govt. Accoum. Audit test cIeCked [lhe recordk tS'l0en2W') 1. tu ' t3t22) m:i invn] in 1b1 Qtfice if lic Priject DietCr. H;ma:itl Pradesh HorticiIJI ID\ v] Vi iic lvi condemned Dismantled unseieabL store art icles xuuin Rs 3 - wr en tistiding in Ihe sture Siin lnflu am of disposal bi hi ionul Ii im* mu ta till March 202 as letailed ieIi :v Sr. No Name of item Period since when v Amount (in rupec lying un-utilised Q I Heat Pillar 2018 7 5735 2 Wall Clock 220 6 4700 Hleaer (Russel ?1111) 3 2020 1500 Hobs) 12 fin 4 vater purifier 2))0 4800 5 ltduction 219 40110 6 Convection OVen 212) 1 2200 7 Fax Brother 2365 2019 l780 ADF Tohiba F Stde .3o 2 2 0 S00 9 Printer MFP 1136 2)2)0 4 3 504) 10 Kettles 2019 2 2200 Total 96935 In iew of ilie repI ef audit mem no. 15 dlte( 25-03-2022 the projeet ,t :tted that duC to rush of work, office could not maintant proper store and stck accout and necessr action vould be taken hereafter compi1ance wo uId be shon tt oe aUdi'. NCved>LII 'lIV be done under intiation te audlit Pa ra:15 Blocking of funds under Training component- Rs. 13. 52 akh. 25 Under the training component 1lP IDP project, during the year 2019-20 and 2020-2- training programnie on ee breeding. Demonstration on role of managed pollinailon ini apple orchards, refresher course for trained Bec Readers, awareness camp on managed Bee polination and training prograrnme on buible bee rearing were to be conducted. Adit te clhecked lie records (bewecn 28[2.2022 lo 28.>3.202') maitined in the o1ice f lic Proec Di recol. Himah:al Prdesh [llr l icuture De\elopmeni Projvet. Shimla (Loan No 5838-IN l r the period 04 202 to (13 2021 and scrutinx oli records olfie lDirector Reearch-cu- Nod3l Offiuci. HP IIDP-PI Lt w N as noticel hat lot:Il budget aimounti ng io Rs.34.5 1akh1 ats approved to> tfrai purpose out of \X hic xpeidltute of Rs.4.98 Lkh w1 icured whLereas an am,ount of Rs,.29.52 laki wkas stil reimi ned 1hL eLcd a en 3 1.1>3.2>2 1 . n de tailed beli : SiNo Year Budget Exp enditure B a la n c e 201 1- | 18.5 2.5 1610 2o10-21 16.0 2.48 13.5? TOTA L 434.5 4.98 29.52 In view of the reply of audit memo no. 03 dated 26.03.2022 the Director Research. UHF Nauni stated that the facts and figure would be examined in the light of projeci nuidelines and suitable reply on the above would be subrmitted to tie audit. Needful may be done under intimation to audit. Para: 16 Niscellaneous Irregularities. I1> Improper Maintenance of Stock and Issue Registers Under Rule 15.6. of HPFR(Volume-l) prov ides that when materials are issued from stock for departniental use. manufacture, or sale etc., the Government servant in-charge of the stores should see that an indent in HPFR Form24 his been made by a properd authorized person. examine ii carefulff w ith reterence to the order or instructions tor the issue of stores and sin it. During test check of records, it was noticed that five Computer (PC) Intel Dual Core were purcuhased vide Bill No.106k6 Dated: 5.6.2015 and taken in Stock register. out of which iwo Compulers wVerc shown issued and remaining three Computers were not issued as per the stock register duc to this these computers have rernained unutilized. Thus. due to non maintaining proper stock register non getting proper signatures which subsequently resulted in shortage of item. Ii wkas further noticed that 200 Nos. Desktop Computers. 266 Nos Printers (HP) and 203 Nos. UPS w ere purchased amounting to Rs.1.16.60,010/-. Rs.60,98,688:- and Rs.2060044a respeciv elk on 13.3.2019 and further distributed to PIUs. but as per the rules. the details of distribution of these iiems were not found entered in the stoch register. (11) Iniproper inaintenance of attendance records for dishursement of salary amounting to Rs.110.23 Lakh 26 - R¯\ d¯¯ ¯¯ an¯n dbhurs TRK.\éad Finane oto e aa ihreL aent A \rchnIa- (b uhat 1) Departmemt JLtdhl ('band HID> Sihi BnantPen \I 1-i-i innnen SpLiitiAKh00 UHF - k A runm. Specialist 1 0 i - l58000 hiNi' tu ¯1 hakur S Specialis 1 9 1 1311,0 - - er Resource 5S.349 Gaut - - r l3 1ing and Finance 55.349 kN' iLltih adel R Ma1lånager _ -hh Bt0a P.8rammer 4 00 ,000 o an S¯ d Pr ¯eureicili Speciilist 1 7'01,000 -J,ncNkiae 7 i0,00000 AT s yush Sharma [mnc rfCManager 151154>.01 Neam Kuna r Fn r mrnenI Oicer - 55,80 2 Total I-1-,488 DuC to non-naintentnlce of the ArenllcC register, the attendice perid and regular presence in the office of these eiploxees couldl not be ascertained. Furthernore. Ilie szlar\ (App. an amoun ing to Rs. 11093488;- ) disbursed to these erplyees during te financial year 20021 could not bi- scrutinized properly. In this regard audir me ino 16 dated 5-13-222 w,as issued to the proect but no replk was furnished to auidit. Needoful may be done under intimatiol to audit. Para: 17 Excess payment of account of Purchase-Rs, 0.08 lakh. lite Director Research, HP HDP-PlU, UHF, Nauni had purchased Mulch Mat from Ms Sbiwxak Agro Engineers. Solan (1AP) on dated 28.08.2020k under HP HorticulLure Dev elopmnent Project. geeofthePrjec DretosHiachl radshih icul ture DeeommPoeL j~ ii''I 1 1IriDe Ii t(1IllPrk,ltL1ri skimia < Loan No IN) for 1 LoeyWiod 04 20201113 2121 and noliced that whille purehasing the avorementioned item the department had made an excess paYmffeni of GST as deailed belco\k Sr.No Item Bill NO. Bill OST ducG ST paid Excess paid < name & date amount N(559 59400) 2970 10692 7 2 mat> __- - - --_ __ 10TAL 2970 10692 7722 t xiew of the reply of auldit menr no. 011 dated 26.03.2022 1 he Director Researcb 1UHF Nauni siated tha the facts and figure would be examned in the light of project 28 -* [ . .... ...... ..... . .. .......... gmelellrics and sultable reply on Ilie ,ibovc would lic sullinitted to the ýiudli. Ncedful niwv be done under intänation to) MICIlt. Parn: 18 Non-reconcitiation of cash book ivith Ihe Bank -Rs. 0.19 As per provisions contalned iii Rule 9.2 (V) of ILV Financial RLIICý, V(ý1-1 1971. stipulittes fflat when goverm-nent money [s depositecl into Ilie treasury Kmik. Ilie lietd of Ilie office should compare Ilie such amount deposiled into Ilie, treasur\ Kink witli Ilie Cillrics 1,11;1(1e iii Ihe dally C(-)llecllol) vc,,ý,isicr before and Smi,, l i fied liinrýClf 11u11 the amourit liaý -,iciultllý- licen erecificel Imo Govt. itecount. Aueffi LCý,1 elleckell 111,: office (he Pro cel Dircciýýi. llijii-(cliii 1,1ýitic,,14 ILýnlcufiurc Siiitiilýi (Lntn Kir ffi, 11i-,liml (14, -I(Co 1,) W, "o' I :Illkl climm til of Ilie Director Rescarel-t-cum- Nocktl Officer. HP HDII-PIU 11 xvt,, noticed ihý,tt ffic el os i i) g balancc in i he b ii lik pass lm o k w as Rs. 1 02.00. 9 3 ) 1. 6 7 w Ii e reas, ýt s pe r cash 1) (m k i t w as s flow ii as 1 -02. 20, 2 3 0 - 6 - - i 1-i 11, (11 L i e \\ ý i,, -, t ý1 i ffc re i i cc o f R,, 19 2 o) 9 Iii ýIev, of Ilie reply of iii-idit niemo nö. 04 daied Ilie LJ1117 Nattni staled tliat ffic facis ýiiid ligure, \voul(1 1)(- CV1IIIIIIE1,1 il] 111L 112ht 1 jeel cul(lel'lncs and x111-v on Ilie Xvould be- siibliliL[cli to Ilie aueln. Nccullul IILIý 13C (1011C 1111(IL'i' 11111111ýitioll lo Part-111 Rcý iexi ofold obiections. Audit and Inspection report for the year 2016-17 Rura I Ineligible expenditure or :uslotn k-lut\ R4ý, 22.40 lakli. Compljance awaitc(1. pz[]-ý[ ý;,fwäls Pant 3 Iticli<-yible pavilierit o1 hoM mit Rs, 0.50 kikli. Compliance awaited. Kii-ýi Audit and Inspection Report for ffic scar 2017-18 I e Ileye(] pjijjpý Rtra I Non- ýiceount-,tl of xýliip f al i to dried dead 1)1-tTits Rý, 1.7_2 civre. Pant 21 1 ne I igi b I e C XpC 11 d i t LI 1-C 0 r1 IÅlSt 0 111 d Li t v Rý,. 2ý 1. 14 1 ý,t k- h. The depuninent simed LI-nit inatter Ki,, already heen taken xýIth (lepýtriiiieiii. Outcorne ýN its akvälicel. Hence pitni slanels Para 6 1,.1ýttilllix Mimmurn Coiiiiiiitiiieill C51t- lo [liv pr(ý'c o-'! Ärl, prai,,,,tl Financc Agreeiiieiii liýsiruciloný, R,,35.71) lakli. C'(4111p11"111CC akvalled. p,j-j -,7 exl)ciidI'ILIrC (411 IllkiCI-1,11 01'Xý ýt11)111 ýk01(11 R,, lakb. COIIIPILýncc Para ',tallds. Pam S Ilie on proeurernerir olplanis Rý,.0ý6 l !,Lkli. Coinpljåncc awalled, Rýnl Panl II Irreofflar Clalm of dcl)rt:ci-,ttloji or) Med Rs, 0.70 kikli. Compliance tkýailed. Para ,tajids. Andit and Inspection report for ffie year 2018-19 pavt I Non- accountal of ý,kcping budde(1 \ Aii"ý_, R,",,- 13 5 1 cro re anel l oss (-1 u e to el r] e d ý dc,, td p I ý i ii t.,, Rs. e ro re, Compliancc uwalled. Ktni sninds. 29 Para 2 Ineligible expenditure on custons dutv Rs. 60.33 lukh. Compliatce awaited. Para suands. Para 6 Irregular payment of GST on labour wages to firm amount to Rs. S4 kl Conipliance awaited. Fara stands. Para 15 Non adhering terms of aigrecement on account of manpower supply Rs. 9 1.12 lakh Compliance awaited. Para stunds. Audit and Inspection report for the year 2019-20 Para: l lreular excess payment to supplier duc to less receipts of Plants - -o .3 Liakh and loss of funds eue io mortality of Plants- t 2.98 crore Compla nec awated. Pa-a stands. Para:4 1labilliy of Maximum Commitmeti Charges duc to non-adhering the Projec Appraisa? Finance Agreeient Instructions -ý 64.88 lakh Para is updated in the C-rrent JR as Para no. 07. lence para may be deleted [rom here. Para:6 Non-adjustiment of Advncec/Imprest Monev Rs. 59.70 Lakhs. Para is updated in the ci,-rent IR as Para no, i1. -ence para na be deteled froi here. Para:? Ineligible reimbursem if [claims of expendiiture incurred on payment of outsunding office rent -ad electricity expenses of 1HJPMC buildinig at Nicam Iihar before the proJec per!od -ý082 lakh Compoliance awailed. Pal utands. Part-IV Best practices. Nu significm besi practices were noticed during the period covered under audit. Part-V-Acknowiedgement Project Director limachal Pradesh 1lorotculture Development Project Shimla and his taff extended all po ssiblco Lperation und the records called for audit. The Cavirenent of audi( was very c:udal und professiou ~n the either sides. At the time of audit. Shri Rajeshv ar Goel. lAS was holding charge of the office of Project Director H-machal Pr;Idesh Hjriculr» Dseiopmm FrecciL Shimia. Seen. discussed and facts verified. Pro ject Director Assist. Audit Officer HPIHDP.Shimla Camp at Shimla 30l