The renovation work at former Delhi Chief Minister Arvind Kejriwal's then official residence in the national capital was completed for ₹33.66 crore, 342 per cent above the estimated cost, said a CAG report tabled in the Delhi Assembly on Monday.
The Comptroller and Auditor General (CAG) report for 2022, tabled in the Assembly by Chief Minister Rekha Gupta, also mentioned that out of 33.66 crore, ₹18.88 crore was spent on "superior specifications, artistic, antique and ornamental" items in the Bungalow at 6 Flagstaff Road, news agency PTI reported on Monday.
The residence where Kejriwal lived as Delhi Chief Minister from 2015 to 2024 was dubbed by the BJP as "Sheesh Mahal" to highlight alleged corruption by the Aam Aadmi Party and its national convener during the February 2025 Assembly polls. The BJP removed the AAP from power in Delhi after a decade.
The report also listed various irregularities in providing additional accommodation at the bungalow, as well as additions and alterations in the Camp office and Staff Block there, by the Public Works Department (PWD).
Administrative approval and expenditure sanction amounting to ₹9.34 crore were granted more than two months after the work was completed, creating a liability without any approval, it said.
Further, the CAG report said that the audit noted that out of ₹19.87 crore sanctioned for the construction of the Staff Block and Camp Office, funds were diverted for other works. The Staff Block was not constructed, and with the remaining funds, seven servant quarters were built at another location unrelated to the original work.
The nature of the Camp Office was altered from a permanent to a semi-permanent structure (SPS). Finally, only a raw structure of the Camp Office was completed, as funds for the same were exhausted, and the work was foreclosed by the PWD in June 2023, said the CAG report.
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In the work of additions/alterations to the then CM residence, the PWD prepared preliminary estimates (PE) of ₹7.91 crore by adopting the Plinth Area Rates, published by the Central Public Works Department for Type VII and VIII accommodation/Bungalows.
"The work was declared urgent by the PWD. The said work although awarded at ₹8.62 crore being 13.21 per cent above the estimated cost, was finally completed at ₹33.66 crore being 342.31 per cent above the estimated cost," said the report.
Administrative approval was granted after the work was completed, creating a liability without approval.
Key Takeaways The reported costs raise serious concerns regarding fiscal responsibility and transparency in government projects.
Irregularities in project approval processes could indicate systemic issues within the Public Works Department.
The dramatic overspend could have political repercussions, particularly in light of upcoming elections.
Audit observed that during work execution, the PWD increased the built-up area from 1,397 sqm to 1,905 sqm (36 per cent) and also altered the applicable specifications of the work by using several items of superior specifications, artistic and antique items, ornamental works, both civil and electrical in nature, it said.
The PWD for covering the cost revised the preliminary estimates four times. Further, it also did not explore the possibility of tendering for additional work, as such a single contractor executed works amounting to ₹25.80 crore, it added.