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CAG points out abnormal delay in setting up IT firms

Update: 2018-09-20 05:30 IST

Amaravati: The State IT department’s monitoring on implementation of Information Technology projects and performance of incubators was poor, stated the CAG in its report on Wednesday, which was presented in the Assembly. The audit was conducted from February to August 2017.

The Comptroller and Auditor General of India further found that there were abnormal delays in implementation of IT projects by IT units.
The department had not been able to put to use the space created in incubation centres. 

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It revealed that against the total space of 79,530 sq ft available in the three incubation centres at Visakhapatnam, Tirupati and Kakinada, space of 23,774 sq ft, including 8,774 sft in Tirupati and entire 15,000 sft in Kakinada remained unutilised as of May 2017.

Between 2006 and 2012, the department allotted lands to 25 IT units in the State and two allotments were cancelled and only 14 units completed construction and commenced operations. 

In eight cases, the projects were at different stages of construction and one unit did not commence construction as on July 2017, despite of time over run of 22 months to 101 months.

All these units created only 4,300 jobs till July 2017 as against the total employment generation target of 10,809 jobs as per the MoUs concluded with 23 units, the CAG informed.

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