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CAG flags 342% budget surge in Arvind Kejriwal’s Sheeshmahal Renovation

TFI Desk by TFI Desk
6 January 2025
in Trending
CAG flags 342% budget surge in Sheeshmahal Renovation

CAG flags 342% budget surge in Sheeshmahal Renovation (Image Source - Hindustan Times, Mint)

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The renovation of Chief Minister Arvind Kejriwal’s official residence aka ‘Sheeshmahal’, at 6 Flag Staff Road in Delhi has raised questions after a Comptroller and Auditor General (CAG) report showed that the project cost escalated by 342%. The estimated cost of the project was initially Rs 7.61 crore, but the final cost had risen to Rs 33.66 crore, raising questions about the transparency and accountability of the project, which was completed in April 2022.

The Comptroller and Auditor General audit has found many irregularities, such as the engagement of consultants without any justification, frequent changes in the estimates of the project, and the inclusion of luxury items that had pushed the costs far beyond the original budget. The high-end expenditures flagged included Rs 96 lakh spent on curtains, Rs 39 lakh on kitchen equipment, Rs 20.34 lakh for a TV console, and Rs 18.52 lakh on gym equipment. The cost of the materials also crossed the estimated limits. The marble stone for the walls was bought at Rs 66.89 lakh, while an estimated amount was only Rs 20 lakh.

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The cost escalation occurred due to several factors, chief among them is the increase of built-up area from 1,397 sq.m. to 1,905 sq.m., an increase of about 36%, which was quite unjustified. No competitive tendering was done only three contractors out of the five invited bidders submitted. There were qualifications of the submitted bidders against which their experience, in particular that of VIP buildings, was relatively lacking.

The CAG mentioned here that no proper documentation related supply vouchers and challans were present that could not be verified for validation to confirm the genuineness and price of materials. Moreover, much of the amount spent on the project was for “extra items” such as artistic and ornamental works that were added without proper records, amounting to Rs 18.88 crore.

Furthering the CAG report, the Bharatiya Janata Party (BJP) has launched a frontal attack on the Aam Aadmi Party, charging it with corruption. 

Tags: AAPArvind KejriwalBharatiya Janta PartyCAG reportComptroller and Auditor General (CAG)Sheeshmahal
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