The Comptroller and Auditor General of India (CAG) has flagged significant financial and procedural irregularities in Tamil Nadu’s Smart Cities Mission projects, which involve around ₹10,000 crore in Union government funding. The findings were reported in the CAG’s first major audit of the programme in the state.
According to the audit findings, authorities diverted funds, carried out projects that had not been approved, deviated from sanctioned development plans and implemented works outside designated Smart City areas. These issues have raised concerns about how public funds were planned, allocated and monitored.
The audit also pointed to weaknesses in project execution and oversight, including concerns over tendering procedures, delays and monitoring of projects. The findings highlight the need for stronger financial controls and greater adherence to the approved Smart City plans.
Tamil Nadu’s Smart Cities Mission covers several urban centres, including Chennai, Coimbatore, Madurai, Salem, Thanjavur, Tiruchirappalli, Tirunelveli and Vellore. The projects were intended to improve urban infrastructure, mobility, technology-enabled services and the overall quality of life in participating cities.
The CAG findings are significant because the Smart Cities Mission was designed to use substantial public investment to modernise India’s urban infrastructure. The audit could lead to increased scrutiny of project implementation and financial management across Tamil Nadu.
News as Reported.
