States » EastPosted at: Oct 5 2026 5:59PM


CAG report exposes massive irregularities under erstwhile BJD government in Odisha :BJP

Bhubaneswar, Oct 5 (UNI) The BJP on Monday alleged large-scale financial irregularities and mismanagement under the erstwhile BJD government in Odisha, citing findings in six CAG reports tabled in the state Assembly on September 29, and accused the previous government of misusing DMF funds and failing to properly implement tourism projects.
Addressing a press conference at the BJP state headquarters here, party spokesperson and head of its Industries Cell Dr Tapan Chand alleged that the CAG reports had exposed “a mountain of corruption” under the previous BJD government and said the findings would trigger a strong public reaction.
Chand alleged that the reports had highlighted serious irregularities in the management and utilisation of District Mineral Foundation (DMF) funds as well as financial mismanagement in the tourism sector.
He also targeted the BJD over its opposition to the MMDR Act amendments, saying the party's allegations that the 2026 amendment would cause an annual loss of Rs 12,000 crore in mining revenue were “baseless and misleading”.
He said Odisha's mining revenue, which was below Rs 5,000 crore before 2015, had increased to Rs 51,000 crore in 2025-26.
Chand questioned why the then BJD government had not pressed for introduction of an auction system after the Orissa Rural Infrastructure and Socio-Economic Development (ORIS-ED) Act was struck down by the Odisha High Court in 2005.
Had the auction system been introduced then, the state's mining revenue could have increased by at least Rs 17,000 crore annually, he claimed, adding that Odisha was estimated to have lost around Rs 1.70 lakh crore between 2005 and 2015 due to the absence of an auction mechanism.
He further alleged that the erstwhile BJD government had failed to pursue the ORISED Act case pending in the Supreme Court for nearly 18 years, describing it as contrary to the state's interests.
On DMF funds, Chand said the CAG audit had pointed to several irregularities in their management and utilisation. Under the DMF guidelines, funds are meant to be spent within a 15-km radius directly affected by mining and a 25-km radius indirectly affected by mining.
However, according to the CAG findings cited by him, Rs 983 crore had been spent in villages that were not affected by mining, while 584 mining-affected villages had not received any DMF-funded project or financial assistance.
He said this had deprived tribal communities, Scheduled Castes and other people affected by mining of their legitimate benefits.
Chand said failure to take appropriate investment decisions had resulted in an interest loss of Rs 84.51 crore to the Keonjhar DMF. Similar interest losses were reported at Rs 2.44 crore in Dhenkanal, Rs 6.85 crore in Mayurbhanj and Rs 20 lakh in Nabarangpur, he said.
Turning to tourism, Chand alleged that the CAG audit had exposed substantial irregularities and implementation failures during the BJD regime.
He said Rs 103.35 crore allocated for the tourism sector had remained unutilised and was surrendered, while Rs 898.48 crore remained parked in agency bank accounts. Interest amounting to Rs 59.25 crore earned on these funds had neither been utilised nor refunded, he alleged.
He further claimed that the Eco Retreat project had suffered a loss of Rs 207.68 crore, while Rs 6.49 crore was allegedly wasted on the Puri Prasad project, which was subsequently abandoned midway.
Similarly, Rs 8.16 crore was allegedly spent on the Bindu Sagar Floating Musical Fountain project, which remained incomplete and ultimately failed, he said.
Chand also alleged “The questions raised by the CAG report on corruption and irregularities have now become a matter of public debate,” .
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Tags: #CAG report exposes massive irregularities under erstwhile BJD government in Odisha :BJP
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