₹321.84 crore in MGNREGS wages unpaid in Jharkhand, CAG finds

Who it concerns: Government of Jharkhand, specifically the MGNREGA Commissioner and the Jal Jeevan Mission implementation bodies.

What the auditor found

• Outstanding wages of ₹321.84 crore to unskilled labour for the period 2019-20 to 2023-24 remained unpaid as of March 2025.
• ₹32.62 lakh was irregularly incurred on inadmissible items such as maintenance of old vehicles and salaries of functionaries in three test-checked districts.
• Only 27% of the 1,02,68,484 works proposed during 2019-24 were completed, while 49% remained incomplete after an expenditure of ₹2,633 crore.
• Funds for the scheme were released by the State Government with delays ranging between 40 and 55 days.
• Discrepancies were found between NREGASoft portal data and certified financial accounts.
• Mandatory records like Measurement Books and Muster Rolls were not maintained, and the NREGASoft portal lacked application controls to prevent payments without validated data.
• The Grievance Redressal Mechanism was ineffective, with complaints not disposed of in time, and Vigilance cells were not constituted.
• Recommendations include adopting a bottom-up approach for planning, minimizing wage payment delays, ensuring proper maintenance of work files, and strengthening accountability mechanisms.

Also in the document

• CAG reported that ₹321.84 crore in wages owed to workers remained outstanding as of March 2025, causing financial hardship and defeating the scheme's objective.
• CAG noted that 49% of works proposed during the audit period were left incomplete despite an expenditure of ₹2,633 crore.
• CAG found that the NREGASoft system allowed payments to be released even when measurements were not recorded or were incompletely recorded in Measurement Books.