Faced with huge financial crisis in Andhra Pradesh allegedly due to mismanagement of funds by the previous Telugu Desam Party government headed by N Chandrababu Naidu, YSR Congress party president and new chief minister Y S Jagan Mohan Reddy began setting the system right in the right earnest.
Before leaving for the swearing-in ceremony at Vijayawada, Jagan discussed the financial position of the state seriously with the officials and gave certain instructions.
Soon after the oath-taking ceremony was completed, Chief Secretary LV Subrahmanyam issued a series of instructions to all the departments.
He asked the authorities to stop all ongoing works immediately.
He pointed out that a number of engineering works were sanctioned earlier without any norms and some of them even by relaxation of FRBM (Fiscal Restructuring and Budgetary Management) norms resulting in a huge burden on the state exchequer.
“There is also a case for a thorough review of ongoing projects as priorities have not been followed. Since most of the works are financially unwise, all the departments should halt the works till further review is made,” he said.
All the works sanctioned prior to April 1, 2019, but not grounded are cancelled. In the second case, the works grounded but expenditure is less than 25 per cent of originally estimated value shall be reviewed afresh.
“No payment will be done in this regard before obtaining orders afresh from appropriate authorities,” Subrahmanyam asserted.
The chief secretary also directed the secretaries to adhere to the motto and clearly state that they have undertaken a thorough review of works and procedures in vogue. If Business Rules have been moderated or sacrificed, steps are to be initiated for obtaining orders for appropriate authorities afresh, he warned.
At the same time, he directed the Director of Works Accounts to issue instructions to all the Pay and Accounts Officers, Assistant Pay and Accounts officers to clear the bills subject to certifying the bills as per the new guidelines by the DDOs concerned.
Jagan already said that he would cancel all the tenders and go for reverse tendering. He also ascertained that he will establish the irregularities and corruption in the previous tenders given by the TDP government, before cancelling them.