Comptroller and Auditor General of India Flags Massive Revenue Arrears in Bihar in 2023 Report

The latest audit report of the Comptroller and Auditor General (CAG) of India for the financial year 2022–23 has flagged significant revenue arrears owed to the Bihar government, raising concerns over weak recovery mechanisms and lack of departmental accountability.

Huge Dues Pending

According to the report tabled in the Bihar Assembly, large amounts of government revenue remain uncollected across various departments. The CAG observed that these arrears have accumulated over several years, impacting the state’s fiscal position and resource mobilisation efforts.

A major concern highlighted in the audit relates to the functioning of the

Mines and Geology Department.

Mines and Geology Department Under Scanner

The CAG noted that the Mines and Geology Department has failed to provide complete details of outstanding dues for more than five years. The audit pointed out that despite repeated requisitions, the department did not furnish updated data regarding pending royalty, penalties, and other recoverable amounts.

This lack of documentation, the report said, not only reflects poor record-keeping but also hampers effective monitoring and recovery of government revenue.

Systemic Weaknesses

The audit further underlined systemic weaknesses in revenue collection, including:

• Delays in assessment and demand notices

• Weak follow-up on recoveries

• Inadequate reconciliation of departmental figures

• Absence of a robust monitoring mechanism

The CAG stressed that without timely action, such arrears risk becoming irrecoverable, leading to permanent loss to the state exchequer.

Call for Corrective Measures

The report recommended that the Bihar government strengthen internal controls, fix accountability for non-submission of records, and initiate time-bound recovery drives. It also called for improved coordination between departments and the finance authorities to ensure transparency and accuracy in reporting dues.

Political and Administrative Impact

The findings are likely to trigger debate within the Assembly, with opposition parties expected to question the government over revenue leakage and administrative inefficiencies.

As Bihar continues to rely heavily on internal revenue and central transfers to fund welfare schemes and infrastructure projects, effective revenue mobilisation remains critical. The CAG’s 2023 report has once again spotlighted the urgent need for better fiscal management and departmental accountability in the state.