CAG Report Exposes Financial Misconduct in Delhi's Liquor Supply Chain

A CAG report uncovers financial irregularities in Delhi's Excise Supply Chain Information Management System, highlighting an undue benefit of Rs 24.23 crore given to the implementing agency. Payments for liquor bottles lacked proper barcode authentication at points of sale, leading to overpayments between 2013 and 2022.

The Comptroller and Auditor General (CAG) of India has flagged financial irregularities involving the Excise Supply Chain Information Management System (ESCIMS) in Delhi, spotlighting a financial discrepancy amounting to Rs 24.23 crore.

According to the report, the irregularities stem from payments made for liquor bottles that were not properly authenticated via barcode scanning at the Point of Sale (POS), as required by the system's protocol. This financial oversight was traced from December 2013 to November 2022.

The report also reveals systemic weaknesses, pointing out that a Departmental Committee had recommended ad-hoc payments to the implementing agency (IA) without requisite verification. Despite a commitment by the Excise Department to rectify this by reconciling barcode data, satisfactory reconciliation was never executed.