An ‘exit conference’ to be held by the Comptroller and Auditor General (CAG) with the power distribution companies of Delhi on October 12 to 14 will discuss the methodology of calculation of alleged losses computed against discoms and deal with the latter’s contention on break-up of losses mentioned in the CAG’s draft audit report.
The Delhi High Court on Thursday refused to postpone the exit conference and directed the discoms, BSES Yamuna and BSES Rajdhani, to take part in it with the information available with them, even as the CAG has computed an alleged loss of Rs.2,200 crore against them.
The CAG holds exit conference with the parties concerned to discuss the issues with them before finalising its draft reports. A Division Bench of the High Court, comprising Chief Justice G. Rohini and Justice Rajiv Sahai Endlaw, asked the CAG to consider in the conference the issues raised by the two discoms in their application seeking postponement and stay of the discussion.
The Court directed the discoms to file their response to the draft audit report by October 8, while clarifying that it would be without prejudice to their contentions raised in the application and the proceedings. The information on final outcome of the conference should be provided to the Court on the next date of hearing on October 15, said the Bench.
The Court said if the discoms feel aggrieved even after the exit conference, it would hear their application. The CAG had reportedly stated in its audit report that BSES Yamuna, BSES Rajdhani and Tata Power Delhi Distribution Limited had inflated their previously-incurred losses by manipulating consumer figures and inflating costs.
Senior advocate Kapil Sibal, appearing for the discoms, said the petitioners should be provided with the detailed break-up of the alleged losses along with the methodology of computation. The application said if the discoms were not given a reasonable time to respond, the entire exercise would be rendered fruitless and severely impair the findings arrived at in the final report. The application was filed by discoms on their main writ petition by which they had challenged the Delhi government's decision to get their accounts audited by the CAG. The High Court had reserved its judgment on the petition on March 4 this year.
The CAG holds exit conference with the parties concerned to discuss the issues with them before finalising its draft reports.
