Audits Comptroller & Auditor General
Six SPSEs in Uttarakhand lose ₹6,588.68 crore, eroding net worth completely
This audit examined the financial performance, corporate governance, and compliance of 32 State Public Sector Enterprises (SPSEs) in Uttarakhand for the period ended March 2023.
₹ 6,588.68 croreCAG reported that the net worth of six SPSEs was completely eroded due to accumulated losses of ₹ 6,588.68 crore.
It also included a specific compliance audit on billing efficiency and revenue realization at Uttarakhand Power Corporation Limited (UPCL).
Who it concerns: Government of Uttarakhand (GoU) and its State Public Sector Enterprises (SPSEs), including Uttarakhand Power Corporation Limited (UPCL).
What the auditor found
- Nine SPSEs incurred total losses of ₹ 1,279.69 crore.
- Six SPSEs had completely eroded net worth, with accumulated losses of ₹ 6,588.68 crore exceeding their paid-up capital and reserves of ₹ 1,796.68 crore.
- CAG comments on financial statements impacted profitability by ₹ 166.93 crore (Government Companies) and ₹ 163.97 crore (Statutory Corporations).
- CAG comments impacted financial position by ₹ 64.96 crore (Government Companies) and ₹ 185.57 crore (Statutory Corporations).
- Seven SPSEs failed to appoint required Independent Directors, and eight SPSEs did not hold the minimum required number of Board meetings.
- GoU budgetary support to SPSEs increased from ₹ 1,284.27 crore in 2021-22 to ₹ 2,097.31 crore in 2022-23.
- Only two profit-earning SPSEs paid dividends, totaling ₹ 25 crore (₹ 20 crore by UJVN Limited and ₹ 5 crore by Power Transmission Corporation of Uttarakhand Limited).
Also in the document
- CAG reported that the net worth of six SPSEs was completely eroded due to accumulated losses of ₹ 6,588.68 crore.
- CAG noted that nine SPSEs were inactive, including eight under liquidation, with a total government investment of ₹ 16.26 crore.
- CAG found that only five out of 23 functional SPSEs submitted financial statements for 2022-23, while two had not submitted even their first financial statements.
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The original document
Comptroller & Auditor General of India (CAG) — audit reports
Audit report · Ref. Report No. 4 of 2025 · 2025
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