New Delhi, Mar 26 (KNN) The Punjab Small Industries and Export Corporation (PSIEC) Limited which was set up in 1962 to help the small-scale industry to grow in Punjab has failed miserably to accelerate industrial growth, promotion of exports and job creation in the state, said the Comptroller and Auditor General (CAG) of India in its report.

''Timely implementation of industrial projects is a prerequisite for development of industries in the State and consequential employment and revenue generation. Through scrutiny of project reports of 3336 projects at nine out of 24 selected IFPs, it was observed that these projects envisaged    turnover  of 3,710.95 crore and providing employment to 4,062 persons.  However, none of the project was executed (upto  March  2019) even after a  lapse of period ranging between four months to 30 years, which resulted in non-generation of the intended benefits,'' the report said.

The report further said that the PSIEC has not procured land for creation of land bank since implementation of the Industrial Policy of 2009. It allotted undeveloped plots and transferred the vacant plots against the allotment policy of the state government and overlooking its financial interests. As many as 4,089 plots (38 per cent) out of 10,735 allotted plots were lying vacant and the Company did not monitor execution of the projects by the allottees.

''The Company failed to achieve the objectives of the exports schemes of the Government of India besides funds were released to ineligible projects and the allottees did not execute the projects relating to infrastructure and promotion of exports. Thus, the Company had not played its role in development of industries in the State effectively and failed to accelerate industrial growth, promotion of exports and job creation. In the absence of   an effective management information system, the Company failed to identify the areas of weakness and take remedial actions in time,'' the report added.

The CAG report PSIEC also made some of the key observations such as: Allotment of undeveloped land/ plots without providing basic amenities to   the allottees, against the allotment policy of the Government of Punjab, deprived the Company of revenue of 138.99 crore; Non-cancellation/resumption of vacant plots under the three Industrial Focal Points where all plots stood allotted, deprived the Company of potential revenue of 1,197.64 crore; Absence of monitoring mechanism and follow up of recovery led to accumulation of recoverable amount of 432.77 crore; Non-execution of the projects under ‘Apparel Park for Exports’ scheme for  promotion of exports even after lapse of six  years, resulted in unfruitful  utilisation of grant  of 13.07 crore, non-achievement  of exports  of 1,650 crore  and non-generation of employment for 22,250 persons.