CAG finds ₹7 crore in sports grants mismanaged under Karnataka policy

Who it concerns: Karnataka State Government, Department of Youth and Sports (DYES), State Athletic Federation (SAK), and GETHNAA (adventure sports academy).

What the auditor found

• CAG found that SAK released grants totaling ₹7.94 crore, which exceeded the annual financial ceiling of ₹25 lakh prescribed in its own code.
• ₹5.21 crore in grants was released to the Karnataka Olympic Association (KOA) contrary to policy provisions.
• ₹94.40 crore in grant-in-aid funds were released to SAK and GETHNAA without the submission of required Utilisation Certificates (UCs).
• ₹84.20 crore in unspent balances and ₹6.49 crore in interest earned were retained by SAK, GETHNAA, and District Stadium Management Committees (DSMCs) outside government accounts.
• ₹8.46 crore in cash awards and scholarships were distributed without furnishing records of beneficiaries to the audit.
• CAG noted that 154 out of 229 districts (64%) had no land available for stadiums, and 64 districts (26%) had stadiums under construction.

Also in the document

• CAG reported that the Government's claim that funds were released per directions was not acceptable because the expenditure violated the SAK GIA code and Sports Policy 2018.
• CAG observed that four out of eight sampled District Stadium Management Committees earned revenue from user fees but did not undertake any stadium maintenance activities during the audit period.
• CAG noted that the Karnataka State Commission for Protection of Child Rights has not submitted annual accounts since 2019, creating a risk of undetected financial irregularities.