At the first-ever workshop by the Ministry of Textiles (MoT) on ISDS (Integrated Skill Development Scheme) held in the last week of August, a panel discussion during the event stressed on the ‘provision of additional funding to difficult areas and State Government agencies’, yet a critical question that remains unanswered is whether the existing funds are being utilized properly, especially by the bodies working under the MoT. From the facts that have emerged recently, it would seem that funds already disbursed are being diverted to areas besides skill development.
Apparel Training & Design Centre (ATDC) under the aegis of AEPC, considered India’s largest vocational training network for the apparel sector, is again under the scanner. A letter of the MoT based on the recommendation of CCA (Chief Controller of Accounts) claims that ATDC has diverted its regular expenditure amounting to Rs. 19.17 crore under ISDS. The letter asks the ATDC to book those regular expenditures in the relevant heads and refund the ISDS funds utilized for the purpose other than ISDS.
The letter dated 14th September (F.No.14/05/2014-TP) and issued by Matias Bihan, Under Secretary, who is responsible for projects related to Skill Development & NERTPS Section, also observed, “Capex (Capital Expenditure) fund has been utilized for the expenses other than the capital items (books and periodicals, advertisements, inauguration, design brand development, skill development survey in other countries, miscellaneous and contingency) and the ATDC shall book such expenditure within permissible limit under relevant heads and refund the balance Capex along with the Capex savings.”
One of the senior officials in MoT confirmed that earlier also ATDC had not submitted full record in a case of recovery. ATDC was then sanctioned a project to train 1.72 lakh persons under ISDS. MoT granted funds of Rs. 7,500 per trainee.
The Ministry also demanded that excess TA/DA availed by ATDC as mentioned in Annexure-IV of CCA report shall be refunded. Not only that, it also says that the ATDC shall submit the details of machinery and equipment purchased under ISDS to the ministry. The letter suggests that ATDC may revise their quarterly report as per the advice of internal audit and correct the project cost based on the actual contribution of 1A in cash/ kind and excess amount may be adjusted in future releases. It will be interesting to see the developments on this issue in the coming days as MoT has asked to comply with above decision and submit a compliance report on the remedial actions within 30 days, failing which appropriate action shall be initiated for recovering the funds not admissible as per CCA audit.
One of the senior officials in MoT confirmed the contents of the letter to Apparel Online and shared that earlier also ATDC had not submitted full record in a case of recovery. ATDC was then sanctioned a project to train 1.72 lakh persons under ISDS during the pilot phase for which MoT granted funds of Rs. 7,500 per trainee.