Rs 33,682.86 crore diverted from USO fund to other puposes: CAG

NEW DELHI: The Department of Telecom (DoT) diverted Rs 33,682 crore from the Universal Service Obligation ( USO) fund, formed to provide telephone and broadband services in rural areas, for other purposes from 2002-03 to 2013-14, the Comptroller and Auditor General ( CAG) has said in its report on Accounts of Union Finances.

The USO fund was set up in April 2002 and is administered by DoT. The fund is to be utilised for services like provision of public telecommunication and information services in rural and remote areas, and broadband connectivity to villages.

"Against the total collection of universal access levy (UAL) of Rs 58,579.35 crore during 2002-03 to 2013-14, disbursement of subsidy of only Rs 24,896.49 crore was made from the fund during these periods. Rest of the amount was spent for other purposes," the CAG said in its report.

The levy received towards USO is first credited to the Consolidated Fund of India and then the Centre credits the proceeds to the USO fund in the Public Account of India for being utilised exclusively towards stated objectives.

The report said disbursement of amount also include the reimbursement of licence fees and spectrum charges to loss-making state-run firm BSNL amounting to Rs 6,948.64 crore over the period 2002-03 to 2005-06 for fulfilling rural obligation.

NO PARLIAMENT APPROVAL SOUGHT

The Central Board of Direct Taxes (CBDT) incurred an expenditure on interest on refunds of Rs 6,598 crore without the authorisation of the Parliament during 2013-14, the Comptroller and Auditor General (CAG) has said in its report on Accounts of Union Finances.

The report said a total expenditure of Rs 42,903 crore on interest payments was incurred by CBDT over the last six years without obtaining approval of the Parliament through necessary appropriations.

IRREGULARITY IN TRANSFER TO PSK

Pointing out irregularities in transferring amount for several other schemes, the CAG report said that against the total collection of Rs 130,599 crore as primary education cess, only Rs 119,197 crore was transferred to the Prarambhik Shiksha Kosh in public account from 2004-05 to 2013-14, resulting in a short transfer of Rs 11,402 crore in the Prarambhik Shiksha Kosh.

Research and development cess aggregating Rs 4,876.71 crore was collected from 1996-97 to 2013-14, out of which only Rs 542.41 crore was utilised towards the objectives of levying the said cess, the report said.