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Delhi PAC Says Excise Policy Lapses Cost Rs 1,034 Crore

The panel leans on the national auditor’s findings to tally losses while steering clear of active investigations.

Overview

  • The Public Accounts Committee, which tabled its report Monday, put the loss at Rs 890.15 crore from not re-tendering 19 surrendered retail zones and Rs 144 crore from a licence-fee waiver.
  • The report said the 2021–22 policy was manipulated to benefit certain bidders and suggested collusion between the government and participants.
  • In an action-taken note, the excise department said it sought directions to re-tender in February, March and April 2022 but got no response from the competent authority.
  • The findings draw on a CAG audit that estimated an overall impact of about Rs 2,026.91 crore and flagged delayed tenders, concentrated retail licences, weak security deposits and poor coordination with the land agency DDA.
  • The policy was withdrawn after the lieutenant governor urged a CBI probe, and Delhi reverted to the prior excise regime in September 2022 as investigations advanced and arrests, including of Arvind Kejriwal, followed.