The Comptroller and Auditor General has found several lapses in the Government's urban infrastructure development scheme, the Jawaharlal Nehru National Urban Renewal Mission.
The auditor's report, which was tabled in both the Houses on Thursday, said there were delays in releasing the matching share to implementing agencies by some State Governments. "Similarly, we found delays in release of the matching share of the urban local bodies towards execution of projects," the report said.
It said State Level Nodal Agencies of 25 States and Union Territories have not created Revolving Fund for meeting operations and maintenance expenses of the assets created under the scheme.
The report said utilisation certificates of about Rs 10,000 crore of various categories were outstanding in Union urban development and housing ministries from States and Union territories.
The Opposition said the CAG report proved that JNNURM failed to improve urban infrastructure. "Our stand on JNNURM has been vindicated. The Government made general allocation without considering the specific requirements of urban local bodies," CPI(M) MP, P. Rajeeve, said.
He said local bodies should have freedom to choose the nature of the project and added that no funds for acquiring land were provided under the scheme. "Suggestions of funding agencies were blindly accepted by the Centre. There were no proper discussions," he added.