The report, tabled in the Maharashtra Legislature last week, pointed out that supplementary fund provisions of Rs 35,468.54 crore for the financial year proved "wholly unnecessary."
The CAG report on Economic Sector for the year 2015-16 said, "As against the original provision of Rs 2,53,591.80 crore, expenditure of Rs 2,36,066.30 crore was incurred, thereby requiring no supplementary funds.
"This also indicated that seeking supplementary provisions was avoidable since the expenditure did not even reach the level of original provision," the report said.
The report observed that the government had indulged in "rush of expenditure" in the last month of the financial year.
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According to the Bombay Financial Rules, 1959, rush of expenditure in the closing month of the financial year should be avoided.
The report also pointed out that the government made unwarranted and irregular advances from Contingency Fund.
Contingency Fund of the State Government is in the nature of an imprest placed at the disposal of the Governor to enable him to make advances to meet urgent unforeseen expenditure, pending authorisation by the State Legislature.
The government had spent Rs 32 crore from the Contingency Fund for the purchase of 2,050 sq ft three-storey house in London where Dr Babasaheb Ambedkar once lived.