CAG reports ₹30,308 crore revenue arrears and multiple compliance lapses in Kerala state government sectors

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Imagine a state quietly sitting on a hole worth ₹30,308 crore.

That's not a typo.

That's nearly a quarter of Kerala's entire annual revenue… just stuck in arrears.

And that's only where the story begins.


🍾 The liquor trail that vanished

The CAG opened the books on Kerala's liquor business.

What fell out wasn't pretty.

A Thiruvalla distillery had a mysterious shortage of Extra Neutral Alcohol.

Losses unrecovered: ₹51.88 crore. 💸

Then came the Mahe mystery.

  • 🚚 22 transit permits issued
  • 🍶 1,10,720 bulk litres of IMFL on the move
  • ❌ Zero exit records at the check-posts

Translation: liquor meant to leave Kerala… may have quietly been sold inside Kerala.

Estimated leak: ₹5.10 crore.

Add sloppy tax assessments, dodgy beer exemptions, weak return checks — another ₹19.17 crore gone.


🚗 The transport story is somehow worse

Kerala spent ₹37.48 crore building shiny new testing infrastructure.

  • 9 Automated Driving Test Tracks
  • 9 Automated Testing Stations

Guess how many actually work?

👉 Just 2 of the driving tracks.

👉 Zero testing stations.

Crores spent. Almost nothing running.


🤯 And then the VAHAN data spoke

The audit pulled vehicle records.

What it found is genuinely unsettling.

91,477 vehicles were driving around Kerala with expired fitness or registration certificates.

No penalties collected. No action taken.

Missing revenue: ₹47.69 crore.

But forget the money for a second.

344 of those expired vehicles were involved in road accidents.

32 people died.

That's the real cost of a paperwork failure.


⚡ The gig economy slipped through too

Kerala's cab and aggregator scene? Largely off the books.

  • 🚕 47 unlicensed aggregators operating freely
  • 📋 461 rent-a-cab agencies showing up in GST data
  • ✅ Only 9 had actual licences
  • 🛻 1,620 contract and goods carriers running without valid permits

More uncollected fees. More compounding charges ignored. Another ₹12.18 crore quietly missing.


🎯 The bigger picture

Kerala's own revenue for 2023-24: ₹90,674 crore.

Arrears sitting outside the system: ₹30,308 crore.

Audit observations still unresolved as of June 2024: ₹4,978 crore.

This isn't one scandal.

It's a slow, structural leak — in distilleries, in RTOs, in licensing windows, in enforcement files.

The CAG didn't just flag numbers.

It flagged a system running on autopilot… with nobody really watching the dashboard.

That's all for now!