2.2 National Dairy Research Institute, KarnalNational Dairy Research Institute (NDRI) was conferred the status of Deemed University in March 1989. It also undertakes basic and applied research in the area of dairying production, processing, dairy economics and management. There was a heavy drop out rate in various courses offered by the Institute under its academic programmes in the field of Dairy Science and Technology. Test check of the projects completed during 1996-2000 revealed partial fulfilment of objectives, inconclusive results, foreclosure of the projects without assigning any reasons etc. NDRI had no effective mechanism for transfer of technology. It could commercialise only one out of 12 technologies developed during 1996-2000 and no patent was obtained after June 1995. Monitoring and evaluation of research activities of the NDRI by different agencies was inadequate. It restricted the application of extension activities only to Karnal District and was unable to develop a strong consultancy base for generating funds to reduce dependence on Government funding. There was an imbalance in the strength of scientific cadre with a shortage of senior scientists. Highlights
2.2.1 Introduction The NDRI, Karnal, is a constituent unit of Indian Council of Agricultural Research (ICAR), under Department of Agricultural Research and Education (DARE) of the Ministry of Agriculture. The Institute was conferred the status of Deemed University by the University Grants Commission in March 1989. The mandate of the Institute was:
2.2.2 Organisational set-up The NDRI is headed by a Director, who is the Chairman of the Board of Management. The Board has 11 members (including members of the Governing Body as nominated by the President of the ICAR Society and Joint Directors/Project Directors/Head of Divisions of Institute) and is the highest policy making body. The activities of the Institute are managed through Research Advisory Committee (RAC), Staff Research Council (SRC), Executive Council, Academic Council and Extension Council. Organisational set up of the Institute is given in Annex-I. 2.2.3 Scope of Audit Audit of the NDRI is conducted under section 20(1) of the Comptroller and Auditor General's (Duties, Powers and Conditions of service) Act, 1971. The working of NDRI had been reviewed twice earlier and the findings were included in the Reports of Comptroller and Auditor General of India, Union Government (Scientific Departments) for the year ended March 1990 and for the year ended March 1996 respectively. The present review covers management of research and development activities including extension activities, consultancy, patents, commercialisation of technology, manpower management and financial management. 2.2.4 Financial management During 1996-97 to 2000-2001, the NDRI incurred an expenditure of Rs 12607.07 lakh against the receipt of Rs 13914.31 lakh. After surrendering an amount of Rs 1164.26 lakh, Institute retained an amount of Rs 142.98 lakh. The Quinquennial Review Team (QRT) had recommended generation of funds to the extent of at least one third of the annual budget. The NDRI had not been able to achieve the target and could only generate internal resources up to 5.71 per cent of its budget in 2000-2001. 2.2.4.1 Budget and expenditure The NDRI is financed mainly through grants released by the ICAR, which in turn is funded by the grants from Department of Agricultural Research and Education. It also receives funds from the Agricultural Produce Cess Fund, other Departments/Ministries and from World Bank through ICAR for specific schemes. The budget provisions and expenditure incurred by the Institute during the period 1996-2001 under Plan and Non-plan heads was as under: (Rs in lakh)
An amount of Rs 134.75 lakh was not surrendered to the CouncilDuring 1998-2001, the NDRI surrendered an amount of Rs 1164.26 lakh under establishment charges due to non-filling of vacant posts and also under works. Further, an amount of Rs 134.75 lakh was retained without any approval. NDRI, Karnal surrendered Rs 587.00 lakh during 2000-01 whereas ICAR had taken into account surrender of Rs 582.70 lakh. The difference had not been reconciled. The Council stated in June 2001 that savings for the period 1996-97 to 1998-99 were very nominal and in 1999-2000 a sum of Rs 44 lakh pertained to Letter of Credits opened on 28/29 March 2000 for which debit notes were not issued by the bank for booking expenditure in Institute’s accounts. Further, 70 per cent of the saving portion and matching grant, which was over and above the revised estimate, could not be utilised fully since these do not form part of budget and therefore the amount is not budgetary saving. The saving is the difference of revised budget estimates and expenditure during a year after adjustment of amount surrendered. Hence, contention of Institute that 70 per cent saving is over and above revised estimates, is not correct. ICAR’s reply does not explain why grants were provided over and above the revised estimate. Further, the NDRI has failed to produce requisite records in support of the present reply furnished to audit. 2.2.4.2 Revenue generation The NDRI generates resources through sale of milk, dairy products, auction of animals and sale of farm produce. While the QRT (1986-92) had recommended that the Institute should generate funds to the extent of at least one third of the annual budget, NDRI had agreed to generate funds up to 15 per cent of the expenditure in the next five years. However, the NDRI had been able to generate internal resources only up to 5.71 per cent during 2000-2001. ICAR stated in June 2001 that the revenue earnings targets had to be viewed against the infrastructure available and the mandate of the Institute on research activities. It added that NDRI was not a revenue earning department. The contention of Council was not acceptable since there was ample scope for revenue generation in experimental dairy plant as brought out subsequently. 2.2.5 Research and Development activities 2.2.5.1 In-house projects According to its mandate, Institute had to undertake basic and applied research in the area of dairying i.e. production, processing, dairy economics and management. The NDRI undertook 185 in house projects during 1996-2000, of which 49 had been carried over from previous years and 136 were added in this period. Of these 185 projects, the NDRI could complete 111 projects. The position of in-house research projects during the years 1996 to 2000 is given below :
Research results of 22.52 per cent completed in house projects were inconclusive or had partial fulfilment and 15.32 per cent projects foreclosed without assigning any reasons and only one technology was transferredTest check of these completed projects revealed that 25 i.e. 22.52 per cent projects were inconclusive or only partially fulfilled the objectives. Research in four projects was of preliminary nature, which could not be exploited for practical application while two projects were of academic nature/low priority. 17 projects were foreclosed by the SRC without recording any reason in a meeting held in July 1998. The RAC, in its meeting of 23 October 2000, had desired that the relevance of ongoing programmes be reviewed and programmes that had lost relevance be phased out by 2000. NDRI was silent regarding the compliance of this decision. Further, in the absence of detailed budgeting of in-house projects, the actual expenditure incurred by the NDRI on these projects could not be ascertained. A scrutiny of in-house projects undertaken further revealed that while selecting priorities for basic and applied research in order to fulfil the needs of end users in terms of practical applications/ development of technologies, the Institute’s progress was inadequate since during 1996-1999 only 12 technologies were developed (i.e. Dairy Technology 8, Dairy Engineering 3, Dairy Microbiology 1). Only one technology was transferred/ commercialised. The Institute had not furnished the information for the year 2000. Thus, the NDRI failed to focus on the development of technologies, which would have direct relevance to the end users/farmers/industry. As regards inconclusive or partial fulfilment of objectives in respect of 25 projects, ICAR accepted the facts in respect of nine projects. It added that two projects had since been terminated and that studies were being continued in three projects. In respect of the balance 11 projects, ICAR stated (June 2001) that either the studies had been completed as per technical programme or the project reports had been presented covering all aspects. The reply of the ICAR is not tenable as reply was either inconclusive or silent about the observation of the SRC regarding the completion of the project. Thus, the endeavour made on these projects to a large extent has not yielded any fruit and the entire expenditure made on the projects was rendered waste. Regarding foreclosure of 17 projects ICAR stated (June 2001) that no specific reasons were assigned project wise. However, the SRC felt that in some projects the experimental animals were not made available and with inadequate animals only limited data could be generated wherefrom it was not possible to draw valid conclusions. This would indicate that the projects were being taken up by NDRI without ascertaining the availability of adequate resources. Thus, efforts made on these projects till their foreclosures were unfruitful. As regards project cost, ICAR agreed that project cost which included consumables, non-recurring items and pay of scientists was only tentatively given in RPF-1, which is the project proposal format. The Council accepted the facts (June 2001) of development of only 12 technologies during the period 1996-99 with the result RAC and SRC had also suggested that the Institute should give more priority to problem solving projects in future so that technologies could be developed for field application. 2.2.5.2 Sponsored projects The NDRI undertook 44 sponsored projects, of which only 11 sponsored projects were completed during the period 1996-2001. A test check of three sponsored projects however, revealed as under : 2.2.5.2.1 Non-dissemination of technologies (a) Indo-German collaborative research project Project concluded without dissemination of technology to end-usersThe NDRI undertook an Indo-German collaborative research project entitled “Studies on heat stability of membrane - concentrated milk meant for ultra-high temperature (UHT) sterilisation” during 1996 to 1999 with foreign assistance of Deutsche Mark 84600. The project was undertaken with the major objective of employing membrane systems to concentrate milk and examine the heat stability and other physical properties of the product as influenced by the compositional modifications effected by the concentration process. However, the project was concluded without any dissemination of technology to end-users and to that extent was unsuccessful. Accepting the facts, the NDRI stated in August 2000 that the objective was achieved but the information generated under the project would be utilised in practice by subjecting the concentrate to UHT sterilisation. In the absence of UHT processing equipment, it had not so far been possible to test the technology at application level. It was also stated that it was pursuing another sponsored project under which a UHT pilot plant would be procured and technology dissemination would be achieved. However, the Council stated (June 2001) that the major component under the project was the visit of scientists to Germany for acquainting them on “Heat stability and other physical properties” of milk using UHT, which had been achieved and the absence of UHT processing equipment has not hampered Human Resource Development (HRD). The Council’s reply conveys the impression that visit of scientists to Germany as part of the HRD component was the primary objective of the project, which is not acceptable to audit. (b) Agricultural Produce Cess fund project Non-quantification of main technical programmeThe NDRI under took an ad-hoc research project to be financed out of Agricultural Produce Cess Fund of the Council in April 1993 entitled "Methanogenesis and production of green house gases under animal husbandry system" at a cost of Rs 24.60 lakh to be completed by 31 March 1998. The objectives of the project were :
Against the sanctioned cost, the NDRI received Rs 21.48 lakh of which an expenditure of Rs 18.69 lakh was incurred till completion of project in March 1998. The final report of project disclosed that the main technical programme i.e. methane production in different regions could not be quantified because the ruminant livestock was not available region wise. The final report also made certain suggestions for future line of work in order to clarify the position with reference to green house gas emission by Indian ruminant livestock. The project was not evaluated by an expert scientific panel to assess the achievement against objectives. The Council stated (June 2001) that all the three objectives had been achieved but the data was based on in-vitro studies, as it was not possible to measure methane production from live animals placed in different regions of the country. The Council also stated that there was no provision to evaluate the funded project at the Institute level except by SRC and it was for ICAR to get it evaluated. The Council was silent about the suggestion for future line of work and status of evaluation of project to assess its successful completion. The Council’s reply has to be viewed in light of the fact that the data is based on in-vitro studies. The institute has failed to measure methane production from live animals in different region of the country even on sample basis. Thus, the data generated by the Institute to that extent was incomplete. (c) ATI-NDRI Collaborative Project Unfruitful expenditure on the project of Rs 19.67 lakhA collaborative project entitled, “Studies on the evaluation and modification of the cold process molasses urea block (MUB) lick to improve the rumen fermentation and reduce methane production in ruminant animals” funded by Appropriate Technology International (ATI), Washington was taken up by NDRI in May, 1995 for five years i.e. upto 14.4.2000 at a cost of Rs 22.20 lakh. The project had the following objectives:
During the project period Institute received an amount of Rs 21.67 lakh against which an expenditure of Rs 19.67 lakh was incurred. However, the Principal Investigator had left NDRI in 1999 and the Project remained incomplete. The Council did not agree to extend the project. Resultantly, the expenditure of Rs 19.67 lakh proved unfruitful. 2.2.5.3 Extension activities The NDRI restricted its application of extension activities only to Karnal district and did not publish the booklet on technologies developed after 1988 for dissemination of technology. Extension activities were restricted only to Karnal districtExtension deals with the dissemination of technical know-how to clientele/dairy farming community through different activities. It involves education of farming/dairying community. A scrutiny of six completed in-house research projects of Extension Division for the period 1996-1999 revealed that four research projects, which were confined only to Karnal district remained inconclusive (Annex-II). Further, technologies in the field of breeding, feeding, fodder demonstration, animal health care and animal management were transferred to eight villages in 1996, 13 villages in 1997, three villages each in 1998 and 1999 in Karnal district. In view of this, one of the important requirements of the system to have widespread linkages with dairy farming community was missing. Hence extension activities of the Institute at national level were required to be reviewed and a concrete action programme needs to be formulated for application across the country. The SRC in the meeting held in December 1999 observed that there was a need to develop subject matter specialisation for dissemination of technologies developed at the NDRI for infusion in the rural and industry sectors. No concrete action was taken by the NDRI in this regard. The Council stated (June 2001) that the extension activities were being done by Krishi Vigyan Kendra (KVK), Trainers Trainee Centre (TTC) and two centres of advanced studies - Eastern Regional Station, Kalyani, Southern Regional Station, Bangalore and that the research findings/technologies were effectively disseminated through Dairy Samachar/News bulletins circulated to state dairy departments, State Agricultural Universities. The Council was silent about the details of technologies handed over to Extension Division in the absence of which it is not clear how the extension activities were being carried out. Lack of adequate extension activity was reflected in RAC meeting held in October 2000 in which it was observed that extension mechanism had not been established effectively and therefore, proper linkages with end users must be developed. 2.2.6 Patenting and transfer of technology The NDRI had no effective mechanism for transfer of technology. Out of 111 completed in house projects, 12 technologies were developed and no technology got patented. After 1987, only one patent could be obtained in 1995While examining the issues relating to development, patenting and transfer of technology, it was found that there was no effective mechanism in the NDRI for transfer of technology. Although 111 in-house projects were completed and 12 technologies were developed during 1996-2000, no technology was got patented by the NDRI. After 1987, only one patent had been obtained in June 1995. The NDRI had sent the proposal to the ICAR for filing the patents in seven technologies during 1996-2001. Further progress in the matter was not made available to audit. The Council stated (June 2001) that the applications filed for patenting the technology would be pursued. However, the fact remains that no patent has been awarded to NDRI in the last six years. 2.2.7 Consultancy During 1996-2001, the NDRI failed to attract dairy industry for major consultancies and earned only Rs 26.69 lakh through consultancy. NDRI could not attract dairy industry for rendering major consultanciesGovernment of India had emphasised the development of indigenous technology and its effective transfer to Industry. Accordingly, a Consultancy Service Board was established at the NDRI, Karnal to facilitate transfer of technologies developed on the basis of Research and Development (R&D) work in the areas of dairy production, dairy processing and dairy management on professional basis. However, NDRI’s performance as regards earnings from consultancy services was inadequate. It was able to earn only Rs 26.69 lakh during 1996-2001 and that too, from sale of starter culture and service charges towards testing of samples. It did not perform any consultancies for industry. The Consultancy Board did not meet during 1998-2000 as against the requirement of meeting once in three months. Consequently, NDRI failed in generating alternate resources to reduce dependence on government funding. The Council stated (June 2001) that the consultancy work at NDRI was in its infancy and that earnings from consultancy in 2000-2001were considerably high. However, consultancy fees earned during 2000-2001 were only Rs 5.17 lakh. The negligible earnings were indicative of a failure to effectively promote its consultancy capabilities with the dairy industry in the country. 2.2.8 Monitoring and evaluation Institute failed to conduct any meeting of the RAC during 1997 and 1999. The frequency of the SRC meeting was also not observed, the QRT was overdue for the last three years and no meeting of the BOM i.e. highest policy making body was held in 1998-2001. Monitoring and evaluation arrangements were inadequate and neglectedThe research activities of the NDRI are monitored by the SRC, RAC, BOM and QRT. The internal review of in-house research projects is done by the SRC while external review of research activities is done by the RAC. The SRC was to meet twice and the RAC once in a calendar year and the QRT was to meet after every five years. It was, however, observed that no meeting of the RAC was held in 1997 and 1999. Similarly, the SRC met only once in 1996 and 1998. Resultantly, concerned projects did not have the benefit of suggestions of the SRC/RAC. It was essential to review ongoing research programmes to adjudge their relevance in the national and global context and to ensure that they were consistent with NDRI mandate. Further, the proceedings of the SRC meetings held between August, 1996 and December, 1999 revealed that the SRC did not monitor the follow-up action on the recommendations of the QRT (1986-1992) with respect to technical programmes of the Institute as was already pointed out in paragraph 5.1.6 of the Report of Comptroller and Auditor General of India Union Government (Scientific Departments) for the year ended March 1996. Further, the Quinquennial Review, which was essential for monitoring the progress of research, its relevance and excellence, and providing guidelines for fulfilment of mission and achievements of goals of Institute, was over due for the last three years. As such, the review of the NDRI could not be made by the QRT for the period 1993-99. The Board of Management (BOM) which is the highest policy making body of the Institute, was required to meet at least once in a quarter every year. However, it held only three meetings i.e. two in 1996-97 and one in 1997-98 and none during 1998-2001. Thus, monitoring and evaluation mechanisms in the NDRI were inadequate and neglected. The Council’s reply (June 2001) was not specific to the points raised in audit. Instead the Council briefly referred to the meetings of the QRT constituted to study and assess the work done by NDRI during the period 1986 to 1991. 2.2.9 Supporting activities 2.2.9.1 Decrease in yield of fodder crops Decrease in average yield per acre of fodder crops led to its insufficient supplyThe NDRI had a total area of 1396.56 acres. Of this, 948.68 acres were under cultivation, where fodder crops like jawar (single cut), jawar (multi cut), berseem, maize (winter), oats etc. and grain crops like paddy, wheat, barley and oats are sown. An expenditure of Rs 53.03 lakh was incurred on fertilizers and chemicals during 1996-2001. In the case of fodder crops there was constant steep decrease in average yield per acre i.e. Jawar (single cut) 187.68 quintals (qtls.) to 73.17 qtls., Jawar (multi cut) 314.42 qtls. to 231.85 qtls., maize (winter) 138.75 qtls. to 49.87 qtls. and oats 166.86 qtls. to 129.02 qtls. per acre during the above period. The Council stated (June-2001) that the trend was reversed in 1999-2000 but production of fodder crop could not attain its production level of 1996-97. It added that fluctuations were due to seasonal effects and all efforts would be made to have high yield per unit area of all the crops. 2.2.9.2 Decreasing herd strength and heavy mortality During 1996-2001, 1149 animal died due to various diseasesAs on 1 April 1996, the Institute had a herd strength of 830 cows, 360 buffaloes and 437 goats. The herd strength came to the lowest on 1 April 1998 when it went down to 713 cows, 336 buffaloes and 286 goats. During the period 1996-2001, 1149 animals died due to various diseases and the mortality rate ranged from 12.26 per cent to 22.29 per cent of the herd strength. BOM in its meeting held in May 2001 had also stressed the need for better management to reduce mortality rate. The Council accepted (June 2001) that the mortality was higher in 1998-99 in case of young calves due to unfavourable weather conditions for which steps were being taken by modification in microclimate of calf sheds/pens etc. The Council further stated that by concerted effort mortality rate had been reversed. However, the mortality rate was still 13.18 per cent in 1999-2000. 2.2.9.3 Decline in milk production During 1996-2001, total milk production decreased from 13.98 lakh kg to 13.39 lakh kgDuring 1996-2001, the herd strength of the NDRI which includes cows, buffaloes and goats ranged from 1321 to 1627. Of this, average number of animals in milk per day remained between 444 to 483. The details of total milk produced with wet average of cow (breed-wise), buffalo and goat per day was as under :
SW - Sahiwal TP - Tharparkar KS - Karan Swiss KF - Karan Fries There was considerable decrease in average milk production, which ranged from 5.12 per cent to 22 per cent in case of cow, 25.31 per cent in buffalo and 12.5 per cent in case of goat during the period 1996- 99. Thus, the milk production of the elite herd of the NDRI, which was one of the few scientific and organised dairy herds in the country decreased during the period 1996-99. The Council stated in June 2001 that efforts were being made for increasing herd strength of indigenous cattle breeds by introducing superior exotic germ plasm for improving the productivity, timely monitoring of various breeding, feeding and health management practices. 2.2.9.4 Artificial Insemination During 1996-2001 semen doses costing Rs 1.84 crore were accumulatedThe artificial breeding complex of the Institute had been involved in the production, processing, preservation, storage and distribution of quality semen from cow and buffalo bulls of high genetic merit. The main objective was to collect their semen under regular progeny testing/breeding/training programmes for which 90 to 100 bulls were kept in the NDRI. In April 1996, the NDRI had 5,46,513 doses of semen. It produced 2,74,592 doses during 1996-2001 and at the close of March 2001 it had 5,24,770 doses costing Rs 1.84 crore. During the period 1996-2001, the NDRI utilised only 2,43,851 doses through Institutes’ projects i.e. Institutional Village Linkage Programmes KVK/TTC and Extension Division of the Institute including division's research projects to improve and produce the higher genetic breeds. It sold 33,389 doses costing Rs 5.96 lakh to farmers/development agencies/state organisation under various progeny testing programme/projects. Thus, excessive numbers of doses accumulated year to year without anticipating the actual requirements. The Council stated (June 2001) that against 5,71,120 doses of semen at the close of March 2000, the Institute had 5,28,895 doses on 30.11.2000. The Council further stated that frozen semen doses were required under progeny testing programme of the Institute and to maintain the extension activities. The reply of Council was not tenable since large accumulation of semen doses was clearly indicative of excessive production over requirement. 2.2.9.5 Experimental Dairy Plant Available infrastructure was not used optimallyThe ICAR sanctioned a revolving fund of Rs 85 lakh in July 1989 for existing Experimental Dairy plant to utilise available infrastructure up to the optimum level and to generate more revenue. The profit earned was to be utilised for creating more facilities for research and training. In response to audit observation in paragraph 19.8.1 of the Report of the Comptroller and Auditor General of India, Union Government (Scientific Departments) for the year ended, March 1990, the ICAR had assured profitable utilisation of the plant. Yet the plant continued to be operated much below the rated capacity of 10000 litres per day. The processing capacity of the plant, which ranged from 5800 to 7000 litres per day during the period 1991-96, decreased to 3378 to 5819 litres per day during 1997-2001. Utilisation/operation of the plant during 1998-99 to 1999-2001 was only 34 per cent of the capacity. The earnings from sale of dairy products also decreased from Rs 219.61 lakh during 1996-97 to Rs 201.86 lakh in 1998-99. Thus, the objective of utilising the available infrastructure of experimental dairy upto the optimum level and generating more research and training facilities remained unachieved. Council’s reply (June 2001) that products were manufactured according to demand for dairy products was not tenable in the absence of any detailed record of demand. The poor performance of plant was discussed in the 34th meeting of Management Committee of Experimental Dairy held in June 2000, which had opined that the scheme had not been very effective during the last three years. 2.2.9.6 Non-commissioning of Spray Drier Plant Spray drier plant which was received in August 1997 costing Rs 35.65 lakh could not be commissioned as of July 2001Reference is invited to paragraph 5.1.10 of the Report of Comptroller and Auditor General of India, Union Government (Scientific Departments) for the year ended March 1996. It had been mentioned that though approval for procurement of a spray drier costing Rs 32 lakh was given by the ICAR in March 1992, the supply order was placed by the NDRI only in October/November 1995 at a cost of Rs 35.65 lakh. The equipment, which was received in August 1997, had not been commissioned as of July 2001. NDRI also failed to impose any penalty on the supplier. Non-commissioning of spray drier within prescribed time even after payment of Rs 25.57 lakh had resulted in hampering of research work and financial losses due to non-production of skim milk powder. Despite improper functioning of spray drier further payment of Rs 1.52 lakh made to the supplier lacked justification. The Council while accepting the facts stated (June 2001) that the spray drier plant unit had been installed and that full-fledged operation of the plant would start by 31 May 2001. However, the spray drier plant was not operational as of July 2001. 2.2.9.7 Non-utilisation of Bio-Gas Plant Bio-gas plant constructed at a cost of Rs 24.5 lakh in June 1994 could not be alternatively utilised for want of fundsAs supplementary energy source for boilers installed in Experimental Dairy, the NDRI constructed a bio-gas plant in June 1994 at a cost of Rs 24.5 lakh. The Ministry of Non-Conventional Energy Sources paid Rs 18 lakh while the balance of Rs 6.50 lakh was paid by NDRI. Out of three boilers, one boiler was connected on experimental basis in June 1994. During 1994 to 1998, the plant supplied the bio-gas for 890 hours only to the experimental dairy. Under-utilisation of bio-gas plant was highlighted in paragraph 5.1.10 of the Report of Comptroller and Auditor General of India, Union Government (Scientific Departments) for the year ended March 1996. In its Action Taken Note, the ICAR stated in October 1997 that a committee was examining the need for connecting two or more boilers to use gas in the event of break down in either of them. However, it was observed that there was no improvement in its functioning and the plant was shut down in March 1999. A technical committee constituted to suggest alternative uses identified different options for its use but additional funds of Rs 8.15 lakh were considered necessary. Till date the NDRI failed to arrange funds for the purpose rendering the bio-gas plant established at a cost of Rs 24.5 lakh unfruitful. The Council stated (June 2001) that the bio-gas plant installed at NDRI was not successful. Council also stated that the proposal for alternative use would be considered when the additional non-plan funds were available or in the Xth Plan proposal for restoring the plant to working condition. However, further deterioration in the condition of the plant by the time requisite funds are arranged cannot be ruled out. 2.2.10 Education activities The Institute was conferred the status of ‘Deemed University’ in March 1989. The Institute is the most important contributor of skilled manpower required by dairy industry, research and development institutions and State Agricultural Universities. The Institute offers academic programmes at the undergraduate and postgraduate level in the field of Dairy Science and Technology. The number of students admitted to various courses offered by the Institute and students who left midway during the period 1996-97 to 2000-2001 was as under:
* No. of seats in M.Sc./M. Tech. in 1999-2000 were 56 The glaring fact emerging from the table is the heavy drop out rate in various courses. Admission into diploma course was in any case low since 1998-99. The percentage of dropouts in B.Tech. ranged from 20 per cent to 57.14 per cent. The Institute has not evolved any mechanism to fill up the vacant seats. This aspect needs consideration given that the Institute is the only one of its kind in the country. The Institute could also explore the possibility of operating a waiting list to fill up seats falling vacant owing to dropouts. 2.2.10.1 Career guidance, training and Placement Cell A Placement Cell has been constituted at NDRI in order to provide career guidance, training and placement for the students in various disciplines. For B.Tech. (DT) graduates, placement through the cell was 100 per cent. Around 20 per cent of M. Tech./M.Sc. were placed through the cell. 2.2.10.2 Short-term specialised training programme and vocational courses Dairy Extension Division of the Institute had conducted only four training programme and vocational courses. The Institute’s contention that the training objectives were being fulfilled by the KVK/TTC of Institute, is not tenable since KVK/TTC had their own mandate for which they are funded by the Council separately. Thus, there is a need to conduct short term specialised training programme and vocational courses at institute level to achieve the mandate. 2.2.11 Manpower management Imbalance in scientific cadre strength There was an imbalance in various grades of scientists, senior scientists, and principal scientists as detailed below : NDRI could not rationalise the mis-match in cadre strength of scientists, which was due to shortage of 46 senior scientists and 10 principal scientists while 28 scientists were in excess
# (-) for shortage and (+) for excess As on 31st March 2001, there was an excess in the cadre of scientists and shortage of 46 in the cadre of senior scientists and 10 in principal scientist’s cadre. There was no principal scientist in Agricultural Statistics, Animal Nutrition and Animal Physiology. Further there was no senior scientist in Agricultural Statistics, Food Science and Technology, Animal Genetics and Breeding, Animal Nutrition, Animal Physiology and Animal Reproduction, Live Stock Production and Management and Dairy Chemistry. There were excess scientists in the disciplines of Animal Nutrition and Pharmacology (8), Biochemistry (3), Agricultural Structure and Process Engineering, Chemical Engineering. (11), Fish and Fish Science (1) and Livestock Production Technology (1). The records revealed that the excess scientists were posted by the ICAR without consulting the NDRI, although the matter was brought to the notice of ICAR. Resultantly, there was uneven distribution with regard to subject-matter specialists within the given cadre strength. The thrust areas of research, therefore, lacked the required leadership at senior level. The Council stated (June 2001) that the cadre strength of the Animal Sciences Division of the Council was being reviewed. It added that the strength of scientists in the Institute had decreased and that senior scientists had increased by 20. However, this was incorrect since there were 33 scientists in excess on 31 March 2000 as compared to 28 on 31 March 2001. Similarly, as against 48 vacancies in senior scientist on 31 March 2000, there were 46 vacancies on 31 March 2001. 2.2.12 Works Management 2.2.12.1 Delay in construction of auditorium at the NDRI, Karnal resulting in extra expenditure of Rs 361.85 lakh Absence of proper scrutiny of scope of work led to cost over run of Rs 361.85 lakh and time over run of 11 yearsNDRI awarded the work for construction of auditorium to Central Public Works Department (CPWD) at a cost of Rs 83.27 lakh in April 1985. CPWD further allotted the construction work for its structural portion to a contractor in November 1987 who failed to start the work till May 1988 for want of detailed drawings. Due to unforeseen circumstances, existing agreement was closed and fresh tenders were called for by CPWD. In April 1992, CPWD revised the estimate to Rs 357.71 lakh and the administrative approval and expenditure sanction were accorded by the ICAR in March 1994 which included additional items of work. The auditorium building was taken over by the NDRI in December 1997 with some minor defects to be rectified later by CPWD. In March 1998, CPWD further revised the estimates of auditorium to Rs 445.13 lakh due to enlargement of scope of work. The NDRI had deposited an amount of Rs 348.01 lakh to CPWD. The Council’s approval for revised estimates had not yet been received. Thus, failure to properly assess scope of work in the beginning coupled with lack of co-ordination between NDRI/ICAR and CPWD, resulted in frequent change in scope of work; increase in plinth area and incorporation of additional items. Consequently, there has been delay in completion of work which would entail cost over run. The Council stated (June 2001) that Institute could not dictate terms to the CPWD as regards the furnishing of revised estimates, as they are solely dependent on CPWD for technical matters. However, the Council was silent as regards the frequent changes in scope of work, increase of plinth area and incorporation of additional items entailing delay in completion of work and avoidable increase in cost due to escalation. 2.2.12.2 Installation of defective video projector system in auditorium Defective video projector system was installed at a cost of Rs 22.02 lakhThe ICAR accorded sanction for providing and installing a video projector system in the auditorium in March 1997 for Rs 23.19 lakh. The NDRI released Rs 11.59 lakh in June 1997 and Rs 10.43 lakh in March 1998 to CPWD for providing and installing of equipment. In February 1999, CPWD asked NDRI to take over the video projector but the latter refused as the projector did not meet specifications given in the order. The NDRI requested CPWD in August 1999 to replace it or refund Rs 22.02 lakh. In July 2001, CPWD agreed to replace the projector by another as per Institute’s specification. As at the end of July 2001, replacement had not been made. The Council while accepting the facts stated (June 2001) that NDRI was making efforts to have the system installed by CPWD and that the Institute would claim the amount if CPWD failed to install the projector. 2.2.13 Accounts 2.2.13.1 Outstanding advances Outstanding advances of Rs 4.66 lakh related to the years prior to 1995-96While the Council had stated (June 2001) that outstanding advances were Rs 122 lakh as of March 2001 the information furnished by Institute (July 2001) indicates that advances outstanding were Rs 270.01 lakh as given below : (Rs in lakh)
Out of Rs 270.01 lakh, advances amounting to Rs 4.66 lakh related to the years prior to 1995-96. 2.2.13.2 Bank reconciliation Bank reconciliation was in arrearsBank reconciliation of Institute was in arrears. However, bank reconciliation for the period ended 30 May 2000 revealed the following discrepancies: (i) Credit of Rs 34.34 lakh in 132 cases had been accounted for by the bank but did not appear in the Institute's account. Of these, Rs 13.94 lakh pertained to the period February 1992 to March 1996 and Rs 20.40 lakh pertained to the period 1996-97 and onwards. (ii) Since August 1989, Bank had debited Rs 108.40 lakh in 340 cases on account of letter of credit. Of these, Rs 47.14 lakh in 253 cases pertained to the period up to 1995-96 and Rs 61.26 lakh in 87 cases pertained to the period 1996-May 2000. This had been pointed out in the Report of Comptroller and Auditor General of India, Union Government (Scientific Departments) for the year ended March 1996. However, there was no improvement. (iii) Credit of Rs 22.39 lakh in 22 cases had been accounted for in the cash book but bank had not afforded credit in bank account. The amounts pertained to the period between March 2000 to May 2000. (iv) NDRI issued cheques amounting to Rs 10.18 lakh in 137 cases during the period January 1999 to May 2000. All the 137 cheques were time barred and Institute had not taken steps to cancel these cheques. (v) Bank reconciliation statement in respect of National Agricultural Technology Project (NATP) for the month of January 2001 revealed that receipt of Rs 7,79,000/- was shown in the cash book of NATP. The bank had not afforded the credit since September 2000. The Institute accepted the facts in July 2001 and assured early settlement of the amount. (vi) NDRI maintained a separate bank account in respect of Revolving Fund for Experimental Dairy Plant. As on 31 March 2001, it had a balance of Rs 140.92 lakh. The account had never been reconciled and produced to audit. Transactions relating to this account were not exhibited in the ICAR/NDRI accounts since inception. The Council stated (June 2001) that the reconciliation was in progress and further progress would be communicated to audit. 2.2.13.3 Non-maintenance of assets register Assets Register was not maintained to reconcile the value of assets as per the annual accountsIn accordance with Government of India decision 7(b) below rule 149(3) of General Financial Rules, the assets register in form GFR-19 should be maintained. All assets wholly/partially acquired out of Government grant and assets disposed off should be taken in this register and at the time of closure of financial year, progressive balances of all such assets should have been worked out and reconciled with the figures as shown in the annual accounts. In the absence of assets register, assets valuing Rs 33.52 crore acquired as of March 2001 could not be verified in audit. The Council stated (June 2001) that reconciliation and correct reflection of the statement of assets and assets register would be ensured during 2000-01. However this has not yet been done. 2.2.14 Physical verification of stores Physical verification was not conducted as per instructions contained in GFRsThe physical verification of stores for the year 1999-2000 had not been carried out as per the instructions contained in Rules 117 & 118 of the General Financial Rules (GFRs). As per provision in Rule 118 all discrepancies were required to be brought to account during physical verification, but this was not done since no list of inventory was prepared. The physical verification report was silent on the unserviceable stores. The balances appearing in divisional stock registers had not been reconciled with the stock register of central stores. Further, physical verification of stores of Health Complex (1998-99) had revealed that a large number of time-barred medicines/syrup/injections costing Rs 25,000/- in the current ledger and ledger for the year 1998-99 were written off by Senior Medical Officer without approval of competent authority. However, during 1999-2000 the physical verification of medicines had not been done. Two stock registers of Ayurvedic and Allopathic medicines for the year 1996-97, 1998-99 and three registers of injection & dressing for the year 1996-97, 1997-98 and 1998-99 containing stock entries of Rs 21.41 lakh were stated to be stolen for which a departmental inquiry had already been instituted. The Council stated (June 2001) that physical verification of stores for all divisions/ sections had been completed for the year 1999-2000 as per GFR. Council further stated that the reconciliation between the Divisional Stock Register and Central Stores Register would be carried out at the earliest. For the irregularity noticed in Health Complex, the Council stated that suitable action had already been initiated. Annex-I
|
Sl. No. |
Name of the project |
Remarks |
1. |
1.8.3.1.( l - I ) |
The study has been carried out in one district each of two states namely Hisar, Moradabad of Haryana & U.P. respectively. As per final report the project was required to be taken on large scale for generalisation covering full states instead of two districts. |
2. |
1.8.2.1.(s) |
SRC observed in its meeting during 22.7.1998 to 1.8.1998 that there was no merit in continuing the project as nothing significant had been reported so far. Therefore, the project was closed in December 1998 by SRC. Council accepted the facts (June 2001). |
3. |
1.8.3.1.(m-1) |
The final report of the project disclosed that researchers had very poor linkages with extension workers and they rarely visit villages. The project is also confined to Karnal District. |
4. |
1.8.1.2.(i-2) |
SRC meeting held in 22.07.1998 to 01.08.1998 desired to conclude the project by December 1998. Further the study was confined in the adopted villages of NDRI in District Karnal only. Council stated (June 2001) that nothing conclusive was reported in SRC meeting held on 1.8.98 and it was recommended to logically conclude the project. |
5. |
1.8.3.1.(n-1) |
Neither the project file was produced to audit nor the project was presented in the SRC meeting held during 22.7.98 to 1.8.99. The project was confined to Karnal. Council stated (June 2001) that due to ill health and transfer of Project Leader, the project could not progress satisfactorily. |