Rs 16.98 cr loss to Pawan Hans after failing to provide choppers to ONGC: CAG

NEW DELHI: Lack of proper system for timely recovery of Rs 171.87 crore debts of state-owned Pawan Hans Helicopters Limited has necessitated implementation of credit control procedure, the Comptroller and Auditor General ( CAG) has found.

Also, the helicopter company suffered a loss of Rs 16.98 crore after it failed to provide choppers to its largest consumer ONGC for offshore operations, due to shortage of pilots.

The company had shortage of nearly 22 pilots during 2009-12 for its Dauphin fleet of helicopters, which was catering to ONGC.

"ONGC deducted an amount of Rs 16.98 crore (fixed monthly charges and other liquidated damage) towards aircraft on ground of helicopters due to non availability of helicopters mainly shortage of pilots," the CAG observed.

During audit, it also found that PHHL has procured in excess AS-4 kit, a modification kit required for safety in offshore operations introduced by ONGC as per requirement of its aviation advisors, sliding doors, engines, and delayed procurement of critical items resulting in loss of fixed monthly charges.

"This indicates the need for an efficient inventory control system," the CAG said.