Rs709 Billion in Bihar Funds Unaccounted: CAG

28 Jul 2025 CW Team

The Comptroller and Auditor General’s (CAG) report on State Finances for 2023–24 was tabled in the Bihar State Assembly on Thursday, highlighting serious lapses in financial accountability.

According to the report, 49,649 utilisation certificates (UCs) amounting to Rs709 billion were outstanding as of 31 March 2024. The report noted that in the absence of these UCs, there is no assurance that funds released were actually used for their intended purposes.

"High pendency of UCs poses a significant risk of embezzlement, misappropriation, and fund diversion," the CAG observed. Notably, Rs145 billion of the pending amount pertained to grants released before 2016–17.

The departments with the highest number of defaults include:

Panchayati Raj
Education
Urban Development
Rural Development
Agriculture

Additionally, the report flagged that Detailed Contingent (DC) Bills were not submitted for 22,130 Abstract Contingent (AC) Bills, amounting to Rs92.06 billion. Non-submission of these DC bills violates financial discipline and raises the risk of public funds being misused.

For FY24, Bihar’s total budget stood at Rs3.26 trillion, of which Rs2.60 trillion, or 79.92 per cent, was spent. The government surrendered only Rs238.76 billion of its total Rs655.12 billion in savings.

The report also noted that Bihar’s overall liabilities grew by 12.34 per cent year-on-year, with internal debt forming 59.26 per cent of the total liabilities. Net internal debt itself saw a 13.51 per cent rise compared to the previous fiscal.

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