The Comptroller and Auditor General flagged that Nagaland Home Police Department has not recovered INR 54.82 crore from banks for police security between 2018 and 2023.
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DIMAPUR — The state Home (Police) department has yet to recover a whopping INR 54.82 crore from banks and institutions as security charges for the deployment of police guards between 2018–19 and 2022–23.
The department provides police guards to various banks and institutions across the state. In March 1971, the state government decided that 50% of the total cost of police guards provided to banks and institutions should be recovered from the entities concerned from the date the branches are opened, and credited to the government account.
The latest Comptroller and Auditor General (CAG) report, tabled in the state Assembly during the budget session on March 26, stated that security charges amounting to INR 54.82 crore for police guards deployed at 100 bank branches and institutions under 14 banks and institutions during 2018–19 to 2022–23 were not recovered.
The major defaulters include State Bank of India (INR 38.16 crore), Nagaland State Co-operative Bank (INR 7.10 crore), Allahabad Bank (INR 2.81 crore), Nagaland Rural Bank (INR 1.89 crore), Bank of Baroda (INR 1.62 crore) and Central Bank of India (INR 1.16 crore).
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The report reminded that the non-realisation of INR 56.73 lakh towards the cost of police guards had earlier been highlighted in its report for the year ended March 31, 2000.
Subsequently, the Public Accounts Committee (PAC), in its 83rd report dated March 16, 2007, recommended that the Home (Police) department make all efforts to recover the outstanding dues from the banks and deposit the amount into the government account. It also directed the department to report the action taken within six months.
However, the report observed that the department failed to take corrective measures, and the irregularity continued.
It further stated that although the department requested banks and institutions to clear the outstanding dues, payments were not made, even as security guards continued to be deployed in 100 defaulting branches and institutions. The report attributed the non-realisation of revenue primarily to the department’s failure to take concrete action, such as withdrawing security personnel from defaulting entities.
The absence of formal agreements between the department and the banks and institutions was also cited as a key reason for the continued provision of police guards without charge, thereby affecting the state’s revenue collection.
The report maintained that the department’s failure to enforce the government’s decision and provisions of the General Financial Rules (GFR) resulted in the non-realisation of INR 54.82 crore.
It added that the matter was reported to the state government in August 2023, with reminders issued in October 2023, January 2024 and March 2024.
However, no reply had been received from the government as of April 2024.