Pointing inefficiencies in the food and civil supplies department, the CAG said even quantities of food articles allocated by the Centre could not be utilised in full by the department during 2008-2010.
"Only 1.01 lakh Antyodaya Anna Yojana (AAY) families were identified against the targeted number of 1.57 lakh AAY families resulting in depriving 56,000 families of the benefits of the scheme," said the CAG report which was tabled in Delhi Assembly today.
The CAG said the department even failed to fully lift food articles allocated to it from Food Corporation of India (FCI) outlets.
"The food management system in the government was not functioning properly as allocated quantities by the government of India could not be utilised in full by the Delhi Government. Even quantities allocated by the department were not fully lifted from the Food Corporation of India outlets and distributed to the beneficiaries," said the report.
It said there was a "difference in quantity of kerosene in allocation and lifting given by the Oil Sector and the department."
The auditor also criticised the Delhi Government for inordinate delay of up to 332 days in issuance of ration cards as against the prescribed limit of one month and said funds available for the beneficiaries remained unutilised.
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"The printing of BPL (Fresh) cards were to be made only from the scanned data, but the department was having scanned data of 54,378 cards only against 1,36,436 cards prepared by the department," it said.
The CAG said it found that distribution of food grains and kerosene was made against "undistributed cards".