CAG Report Unveils Major Lapses in Karnataka Construction Workers' Welfare Board

The CAG report revealed significant lapses in the Karnataka Building and Other Construction Workers’ Welfare Board, including issues in cess collection, beneficiary registration, and scheme implementation. It highlighted irregularities like unremitted funds, ineligible beneficiaries, and bypassing Cabinet approvals, emphasizing the need for better auditing and monitoring mechanisms.


Devdiscourse News Desk | Bengaluru | Updated: 20-08-2025 23:00 IST | Created: 20-08-2025 23:00 IST
CAG Report Unveils Major Lapses in Karnataka Construction Workers' Welfare Board
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The Comptroller and Auditor General of India has highlighted major deficiencies in the functioning of the Karnataka Building and Other Construction Workers' Welfare Board. Key findings include issues with cess collection, inaccurate beneficiary registration, and irregular expenditures.

According to the report, tabled in the Karnataka Assembly, the Board failed to employ a proper assessment method for construction costs and did not reconcile received labor welfare cess funds, leading to discrepancies between reported and actual figures. Significant funds collected by agencies like Bangalore Metropolitan Transport Corporation were retained instead of remitted.

Also reported were concerns about the registration of ineligible workers on the Seva Sindhu Platform and spending without Cabinet approval. Despite enhanced spending in recent years, the Board's lack of an internal audit mechanism and insufficient oversight have resulted in delayed decision-making and scheme inefficacy.

(With inputs from agencies.)

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