Days after Planning Commission wrote to Finance Ministry to appoint independent financial adviser in Nandan Nilekani-led Unique Identity Authority of India (UIDAI) to regulate its finances transactions, UIDAI deputy director-general (K Ganga) has been divested of his routine administrative functions and entrusted with financial responsibilities only.
According to sources in the panel, Finance Ministry in a letter to the Plan panel and UIDAI has written that duties of K Ganga must restrict to finance, accounts, budget and internal audit and all other responsibilities of a financial adviser.
Earlier, Ganga was also looking after project related responsibilities like authentication and updation process; organisation related responsibilities like finance, Cabinet committee approvals and international cooperation; and coordination with other ministries like Agriculture, Chemicals and Fertilisers, Consumer Affairs and Food ( PDS), Petroleum and Natural Gas and Women and Child Development.
Plan panel argues that financial adviser is not supposed to handle routine administrative works and is only responsible for financial scrutiny.
In Economic Editor’s Conference on Thursday, Planning Commission Deputy Chairman Montek Singh Ahluwalia said, “We have resolved all issue related to the financial and executive authority of the body and it has been approved by the Finance Ministry.” He further informed that it will soon seek Cabinet nod for the second phase of the Aadhaar scheme.
In the letter written to Finance Ministry in September, the Plan panel had raised questions about the administrative structure of UIDAI and suggested to Finance Ministry to appoint an independent financial adviser to monitor its finances and transactions. Plan panel had said that UIDAI’s present system deviated from Government procedures and removes all systemic checks and balances. So there is a need to relook at the UIDAI’s administrative structure.
Another point it raised was that since UIDAI is its “attached office” and derives its budget from the ministry of planning, it should route its financial proposals through planning commission. But it is not kept in loop.
This was not the first time that differences between plan panel and UIDAI had come out in public. Earlier, Ahluwalia had complained to Union Home Minister P Chidambaram about cost escalation of the UID scheme.
The panel had also written to the Home Minister objecting to methods adopted to collect citizen biometrics like fingerprints and iris scans in the Aadhar or unique identification number.
Later, the panel and Finance Ministry both objected and rejected Nilekani’s demand for another Rs 15,000 crore to record biometrics for all 120 crore people.