Kerala passes resolution against CAG’s audit report

Kerala on Friday passed a resolution against the Comptroller and Auditor General’s (CAG) audit report that had adverse remarks against the Kerala Infrastructure Investment Fund Board (KIIFB).

KIIFB is a government-owned financial institution formed to mobilise funds for infrastructure development from outside the state revenue. It has also raised money from the international bond market.

The resolution was moved by the Left Front after CAG rapped the state government over borrowings by KIIFB. The CAG report had said that the loans were taken by bypassing the cap set on external borrowings and that was done by flouting Constitutional norms. The report also expressed concerns that the loans would finally end up as a state liability.