Irregular expenditure of Rs 76 lakh on enhanced Academic Allowance

The Governing Council of the Delhi State Cancer Institute adopted a pay structure for its staff at par with AIIMS without consulting the Government of NCT of Delhi in contravention of the provisions of Pattern of Assistance. The Institute also enhanced the Academic Allowance for its faculty members from Rs 1,000 to Rs 10,000 per month without consulting the Government, resulting in irregular and unauthorised expenditure of Rs 76 lakh.

The Delhi State Cancer Institute (the Institute) was registered as a society on 16 May 2006 under the Societies Registration Act, 1860. The main objectives of the Institute are to provide ultra-modern comprehensive diagnosis and treatment facilities for all types of cancer patients in the region, with a strong emphasis on HRD, R&D and community service programmes. The Institute discharges its functions and responsibilities as per its Articles of Association,

Rules, Regulations and Bye-laws approved by the Council of Ministers,
Pattern of Assistance and rules of the Government regarding Autonomous Institutions brought into force from time to time. The main source of funds for the Institute is grants-in-aid from the Government of NCT of Delhi in accordance with the approved pattern of assistance.

Clause 12 – ‘General Conditions’ of Pattern of Assistance governing the grants-in-aid to the Institute, stipulates that before the creation of posts by the Governing Council of the Institute, approval of the Government of NCT of Delhi should be taken. The Institute may make appointments of staff as may be necessary for the discharge of duties properly and efficiently as mentioned in the Memorandum of Association. The salary and allowances for the same would
be decided by the Governing Council of the Institute, in consultation with the Government of Delhi.

Audit scrutiny of records showed that the Governing Council of the Institute approved (05 December 2012) the adoption of Revised Pay Rules, 2008, with subsequent modifications thereof, if any, as per AIIMS pattern. Accordingly, the Institute revised the pay structure of its staff in accordance with the recommendations of the Sixth Central Pay Commission, without consulting the Finance Department of GNCTD.

The audit further noticed that the Director of the Institute vides office order dated 27 November 2013, raised the Academic Allowance for its faculty members from Rs 1,000 to Rs 10,000 per month with retrospective effect from 01 September 2008. This time also, the Institute did not consult the matter with Finance Department, GNCTD. Arrear for the period September 2008 to October 2013 was paid to faculty members in the month of November and December 2013. Thus, the payment of enhanced Academic Allowance of Rs 76 lakh (up to May 2015) by the Institute to its faculty members was irregular and unauthorised, as it contravened the provisions of the Pattern of Assistance framed and approved by the Government of NCT of Delhi.

The Institute stated (Jun 2015) that as per the decision of the Governing Council, the pay structure of faculty members of the Institute was adopted at par with the faculty members of AIIMS and enhancement of Academic Allowance was approved by the competent authority (i.e. Director, DSIC). The reply is not acceptable as clause 12 of the Pattern of Assistance is very specific in stating that the Government of Delhi should be consulted by the Governing Council in deciding the salary and allowances for the staff of the Institute.

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