Quick Summary
The Principal Director of Audit (Central), Chandigarh, has uncovered significant financial irregularities in a streetlight project executed by the office of the Executive Engineer, Electrical Division No. 3. The audit, covering the period from April 1, 2022, to March 31, 2024, and conducted between March 26 and April 2, 2025, found that the project for installing streetlights via underground cabling on the slow carriageway witnessed a steep cost escalation of 44.75% from the original tendered a
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FAQ :
The audit found significant cost escalation, with the project exceeding its original tender amount by 44.75%, and also uncovered irregularities in GST payments to the contractor.
The tender work was awarded at Rs 30,04,430, but the final project cost reached Rs 43,49,110.67, an increase of over 44%.
Yes, the audit highlighted irregular GST payments totalling Rs 2,63,769. The contractor had not filed GST returns for recent periods and their GST registration had been cancelled.
No, the final project cost exceeded the permissible 20% variation allowed under departmental norms.
The audit report emphasised that proper preparation of the Detailed Notice Inviting Tender (DNIT) could have avoided such escalations and minimised malpractice related to non-scheduled items.
The audit report noted that the Electrical Division had not yet responded to the findings, and final action on the matter is still awaited.
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