PHONE:2213-31511315213163 FAX: (033) 2213 3174 -l4f gVtr H61AURO ( wIwr-1 3ht WMTD-!55 &T51, #CMff WWIT), q~R Thml 2<; ~%lcriiV, 2, RkffLcl- (tiM~P). z0ic3iai - 700 uui INDIAN AUDITAND ACCOUNTS DEPARTMENT CFFICE OF THE PRINCIPALACCOUNTANT GENERAL (GENERAL & SOCIAL SECTOR AUDIT), WEST BENGAL TREASURY BUILDINGS, 2, GOVT. PLACE (WEST), KOLKATA- 700 001 No.FAW/FASS-V/53/EAP/NHP-I & WD/2018-19/403 Date : 01.02.2019 To The Chief Engineer (D & R) &Nodal Officer, National Hydrology Project, West Bengal (SW), Irrigation & Waterways Directorate, Jalasampad Bhaban, Western Block, I". Floor, Saltlake, Kolkata-700 091. Subject : Audit Report in respect of World Bank assisted National Hydrology Project (Loan No. 8725-IN) for the financial year 2016-17 and 2017-18. Sir, I am mo forward herewith the Audit Report, duly incorporatng the audit observations, in respect of World Bank assisted National Hydrology Prmject (Loan No. .3725-IN) for the financial year 2016-17& 2017-18. The receipt of the same may kindly be acknowledged. :7nclo: As stated. Yours faithfully. (Timir Bhadra) Sr. Dy. Accountant General FAW PHONE :2213-3151/3152/3163 ::X: (033) 2213-3174 WTft T7tT1T 3TTUT fdPV -14imp4WX;Tt] T(1 ANI c I (,41 H 1t4 ww rf M ImrT twti t~ht' 2T4-#f(f)M-i9ih1 700 001 INDIAN AUDIT AND ACCOUNTS DE1ARTMENT OFFICE OF THE PRINCIPAL ACCOUNTANT GENERAL (GENERAL & SOCIAL SECTOR AUDIT), WES- BENGAL TREASURY BUILDINGS, 2, GOVT. PLACE (WEST), KOKATA - 700 001 To The Principal Secretary to Government of West Bengal, Irrigation & Waterways Department, JalasampadBhaban, 1st. Floor, Saltlake, Kolkata-700 091. Report of the Comptroller and Auditor General of India on the Project Financial Statements We have audited the accompanying financial statements of the WcrL Bank assisted National Hydrolcg Project (Loan No. 8725-IN), which comprise the Statement of Sources and Arplications of Funds, Reconciliation of Claims to Total Applications of Funds and Management Asse-tion letter as furnished by the Project Authority for the year ended 31 March 2017. These statements are the responsibility of the Project's management. Our responsibili:y is to express an opin--n on the accompanying financial statements based on our audIt. We condulced our audit in accordance with the Auditing Standards prcrnLlgated by the Comptroller and Auditor General of India. Those Standards require that we plan onc perform the audit to cbtain reasonable assurance about whether the financial statements are free of material misstatement. Our audit examines, on a test basis, evidence supporting te amounts and disclosures in :he `nancial statements. It also includes assessing the account ng p-incipies used and significant estinates made by management, as well as evaluating the everall statement presentation. We heheve that our audit provides a reasonable basis for our opinion. In our opinon, the financial statements present fairly, in all mater-al respects. the sources and applications of funds of World Bank assisted Natioral Hydrology Projecr Loan No. 8725- IN)for the year ended 31 March 2017 in accordance with Government of India accounting stancards. In addition. in our opinion, (a) with respect to PFS, adequate supportng documentation has been maintained to support claims to the World Bank for reimbursements of expenditures incurred; and (b) except for ineligible expenditures as detailed in he auct observations, expenditures are eligible for financing under the Loan / Credit Agreement. Dunng the course of the audit PFS ana -he connected documents were examined and these can be relied upon to suppor: reimbursement under the Loan / Credit Agreement. This repon is issued without prejudice to CAG's right to incorporate the audit observations in the Report of CAG of India for being laid before Parliament / State Legislature. Audit Observations : The Project Financial Statement in respect of World Bank assisted National Kydrology Project (Loan No. 8725-IN), for the financial year 2016-17 furnished by the Project Authority disclosed an expenditure ofZ Nil which is accepted in audit. T. Bhadra Sr. Dy. Accountant General / FAW Date : 18.01.2019 PHONE :2213-3151/3152/3163 F;,-X: (033) 2213-3174 t7ftR4~ (t g), 2, 44 7-30 001 INDIAN AUDIT AND ACCOUNTS DEPARTMENT OFFICE OF THE PRINCIPAL ACCOUNTANT GENERAL (GENERAL & SOCIAL SECTOR AUDIT), WEST BENGAL TREASURY BUILDINGS, 2, GOVT PLACE (WEST), KO-KATA - 700 001 To The Principal Secretary to Government of West Bengal, Irrigation & Waterways Department, Jalasampad Bhaban, I". Floor, Saltlake. Kolkata-700 091. Report of the Comptroller and Auditor General of India on the Project Financial Statements We have audited the accompanying financial statements of the Word Bank assisted National Hydrology Project (Loan No. 8725-IN ), which comprise the Stateren: Mf Sources and Applications of Funds., Reconciliation of Claims to Total Applications of Funds and Management Assertion letter as furnished by the Project Authority for tne year ended 31 March 2018. TIbese statements are the responsibility of the Project's management. Cur responsibility is to express an opinion on the accompanying financial statements based or our audit. We conducted our audit in accordance with the Auditing Standards preiulgated by the Comptroller and Auditor General of India. Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstaterent. Our audit examines, on a test basis, evidence supporting tKe amounts and disclosures in the fnancial statements. It also includes assessing the accountng principles used and significant esLimates made by management, as well as evaluating the overa'l statement presentation. We believe that our audit provides a reasonable basis for our opinion In our op'nion, the financial statements present fairly, in all material respects, the sources and applications cf funds of World Bank assisted National Hydrology Project Loan No. 8725- IN) for the year ended 31 March 2018 in accordance with Government of -idia accounting standards. In additior. in our opinion, (a) with respect to PFS, adequate supportin documentation has been maintaine to support claims to the World Bank for reimbursements of expenditures incurred; and (b) except for ineligible expenditures as detailed in the audit observations, expenditures are eligible for financing under the Loan / Credit Agreement. During the course of the audit, PFS and the connected documents were examined and these can be relied upon to support reimbursement under the Loan / Credit Agreement. This report is issued without prejudice to CAG's right to incorporate the audit observations in the Report of CAG of India for being laid before Parliament / S:ate Legislature. Audit Observations : The expenditure incurred in respect of World Bank assisted Na:ional Hydrology Project (Loan No. 8725-N), for the financial year 2017-18 is Z 1762577.00 and expenditure admitted in audit is Z 1723277.00. Out of T1 723277.00, amount eligible for reimbursement stands a: Z 861638.50 in audit as shown below:- (in T) Components Expenditure Expenditure Expenditure Percentage Amt eligible for Reasons for inadmissible in incurred as inadmissible admitted in of reimbursement audit (T ) per audit in audit reimburse- Audit ment (1) (2) (3) (4)(2-3) (5) (6) (7) Component 1762577.00 10250.00 1723277.00 50% 861638.50 In violation of the memo of A&D NPMU, MoWR, RD & GR dated 09.10.2017, which stipulates that the participant would have to make their own arrangement for boarding and lodging during the training period, panicipants were allowed food charges Hence, the expenditure of Z 10,250.00 en food is held inadmisnible. 29050.00 Wiring charges (\29050.00) incurrec in excess of ceiling rates stip-rated in Gazette Notification no. 3564- WT/3M-31/98 dated 24.11.2008 of Transport Department, GoWB. Total: 1762577.00 39300.00 1723277.00 861638.50 T. Bhadra Sr. Dy. Accountant General / FAW Date : 18.01.2019