"There were deficiencies in the quality control system, as a result of which substandard pulses and foodgrains were supplied to consumers through fair price shops," the CAG said in a report about the state, which provides three pulses, two edible oils and salt to over 11 lakh people at subsidised prices.
It said 2,066 tonnes of pulses were valued at Rs.6.54 crore and these were not supplied as per approved samples.
According to the CAG, the state government admitted the facts and stated in August 2011 that the procedure to draw the samples and get analysis reports from the laboratory takes 20-30 days and by then the consignment of a particular sample is sold out.
"The reply is not acceptable…efforts should have been made to obtain analysis reports from laboratory in a time-bound manner," observed the CAG.
It also noted irregularities by the state in distribution of foodgrains against the scale of quota fixed by the government of India in April 2002 led to an additional burden of food subsidy of Rs.10.98 crore.
On the issue of ration cards, the CAG said during 2006-10 cards were issued in excess of the projected population and the bogus cards ranged between 2.93 lakh and 3.42 lakh.
As per the state's economic and statistic department, the projected population in the state was 70.29 lakh in 2010 and the ration cards were issued to 73.22 lakh people.