Defence Ministry Audit

No rules were violated: Army on defence audit report New Delhi: A Defence Ministry audit report has raised questions on Army Commanders, on the issue of money being spent for urgent procurement. The audit has found 55 cases where procurements were made without consulting centralised agencies. The Army Commander of the Northern Command has the power to spend up to Rs 125 crore in emergencies, while the Eastern Command has Rs 50 crore limits. And now the scanner is on a questionable Rs 125 crore expenditure. Taking a strong view of it, Defence Minister AK Antony has decided to impose strict checks and balances on the expenditure made.

The Army, however, contested the loss of Rs 100 crore in procurements and insisted that no rules have been violated. The Defence Ministry had ordered the Controller of Defence Accounts (CDA) to audit expenses made by the Army commanders under their special financial powers of up to Rs 125 crore to procure urgently-required items for troops.

The audit report has assessed 55 transactions made by the commands between the period 2009-11 when present Army Chief Gen Bikram Singh was heading the Kolkata-based Eastern Command.

The report suggests that certain equipment, including Chinese communication equipment, has been purchased from grey market. Mismanagement in milk procurement in Northern Command has also been suggested by the report. ...more    
08:22 AM, Oct 24, 2012

Army Chief, top generals wasted crores: Defence Ministry audit New Delhi: An internal audit report of the Defence Ministry has detected a loss of over Rs 100 crore in spendings by six Army commanders between 2009 and 2011, prompting Defence Minister AK Antony to order strict checks and balances on expenditure. The Army, however, contested the loss of Rs 100 crore in procurements and insisted that no rules have been violated. The Defence Ministry had ordered the Controller of...  
08:55 PM, Oct 23, 2012