The HRD Ministry has asked UGC to conduct a thorough investigation into instances where sanction letters were issued to colleges not eligible for grants even as a police probe in the matter was underway.
The Ministry has also asked the UGC chairman to ensure submission of reply on irrigularities pointed by DG of Audit, Central Expenditure in the organisation.
"UGC has reported that instances have come to its notice wherein colleges not eligible for UGC grants were issued sanction letters by UGC secretariat and grants also issued to these colleges.
"Taking note of these instances, HRD Ministry has written to the UGC for a thorough investigation of these matters, fix responsibilities and devise an effective internal control to avoid such lapses," HRD Minister Smriti Irani told Lok Sabha today.
She said two FIRs have also been lodged by UGC officials and police investigations are underway in the matter. Besides, departmental actions have been initiated against two "erring" UGC officials.
The Minister was replying to a question on whether widespread financial mismanagement and lack of transparency on financial issues in UGC have come to the government's notice.
The DG of Audit Central Expenditure in its draft inspection report for 2012-13 had brought out irrigularities in UGC in the nature of audit paras (question/query/suggestion raised by auditing authority for which compliance is must), funds remaining unutilised with universities since long, lack of monitoring and weak internal control mechanism.
The Minister said the UGC chairman has been asked to ensure submission of replies to the pending paras, ensure required inspection to happen and report the outcome of such inspections and expenditure status.
UGC, she said, has reported that it has introduced a system of internal mechanism of checks and balances to safeguard against irregular sanctions and grants.
An internal financial division has also been created in UGC which examines files relating to grants and vets proposals of colleges, she said in her written reply.
