The Public Accounts Committee (PAC) in its report also said that the Defence Ministry has failed to submit ATNs (action taken notes) on functioning of important units of the ministry.
"They feel alarmed at the serious gaps between the actual requirement and procurement of defence equipment," it said.
The committee, therefore, asked the ministry to take timely steps towards expeditious submission of ATNs, especially on the standalone reports of C&AG on the ministry's functioning.
The ministry was asked to make earnest efforts to take decisions well in time "so as not to compromise on the country's defence preparedness".
"The committee were particularly concerned about the audit observations on failure to procure landing barges and non-commissioning of radar transponders which showed the administration of UTS in very poor light," it added.