Government of Odisha

Higher Education Department

Letter No: /11 E D/ Dated: i'' o' 9

From

Krupasindhu Mishra.

S P D, OHEPEE cum Additional Secretary,

Higher Education Department

Bhubaneswar.

To

Sangeeta DeySenior Education Specialist

Education Global Practice

70, Lodi EstateNew Delhi-1 10 003

Email: sdey2@c,worldbank.org

Sub: Submission of audit certificate: OHEPEE (IBRD Loan 8782-IN)

Madam,

With reference to the subject cited above, I bring to your kind notice that the state A G office has

completed the audit for the period 07-Nov-2016 to 3 1-Mar-2018 (including the retroactive period) and

submitted us the audit certificate and report to this office. Herewith we are submitting the audit certificate

and report on the project Financial statement of Odisha Higher Education Program for Excellence &

Equity, Loan No: 8782- IN.

Yours ince el

State Projec ie tor

Enclosure: Audit Certificate and Report

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OFFICE OF THE ACCOUNTANT GENERAL(GENERAL & SOCIAL SECTOR AUDIT)

ODISHA::BHUBANESWAR

No. FINAT/EAP/OHEPEE/2017-18/511 Dated:7h March 2018

To

The State Project Director,OHEPEE-cum-Joint Secretary to Government,Higher Education Department,Odisha Bhubaneswar

Sub: Issue of Audit certificate for the World Bank aided program "Odisha HigherEducation Program for Excellence and Equity (OHEPEE), Loan No: 8782-IN."

Sir,

With reference to the subject cited above I am to forward herewith the Report on the Project

Financial Statement of Odisha Higher Education Program for Excellence and Equity (OHEPEE)

Loan No. 8782-IN, which comprises the statement of sources and Application of Funds, and the

Reconciliation of claims to Total Applications of Funds for the year ended 31.03.2018

Yours faithfully,

Sr. Audit Officer/FINAT

Report of the Comptroller and Auditor General of India

ToState Project Director, OHEPEE-cum-Joint Secretary to GovernmentHigher Education Department,Odisha, Bhubaneswar

Report on the Project Financial Statements of Odisha Higher Education Programme forExcellence and Equity (OHEPEE) Loan No. 8782-IN

We have audited the accompanying financial statements of the Odisha Higher EducationProgramme for Excellence and Equity (OHEPEE) Project financed under World Bank Loan No.8782-IN which comprise the Statement of Sources and Applications of Funds and theReconciliation of Claims to Total Applications of Funds for the year ended 31.03.2018. Thesestatements are the responsibility of the Project's management. Our responsibility is to express anopinion on the accompanying financial statements based on our audit.We conducted our audit in accordance with the Auditing Standards promulgated by theComptroller and Auditor General of India. Those Standards require that we plan and perform theaudit to obtain reasonable assurance about whether the financial statements are free of materialmisstatement. Our audit examines, on a test basis, evidence supporting the amounts anddisclosures in the financial statements. It also includes assessing the accounting principles usedand significant estimates made by management, as well as evaluating the overall statementpresentation. We believe that our audit provides a reasonable basis for our opinion.In our opinion, the financial statements, present fairly, in all material respects, the sources andapplications of funds of Odisha Higher Education Programme for Excellence and Equity(OHEPEE) Project for the year ended 31.03.2018 in accordance with Government of Indiaaccounting standards.In addition, in our opinion, (a) with respect to SOEs, adequate supporting documentation hasbeen maintained to support claims to the World Bank for reimbursements of expendituresincurred and expenditures are eligible for financing under the Loan/Credit Agreement. Duringthe course of the audit, SOEs/FMRs were examined and these can be relied upon to supportreimbursement under the Loan/Credit Agreement.This report is issued without prejudice to CAG's right to incorporate the audit observations in theReport of CAG of India for being laid before Parliament/ State or UT Legislature.

Date: 25.02.2019 Sr. Deputy ccountant General (FAWIO/o the Accountant General(G&SSA)

Odisha: Bhubaneswar

Name of the Project: Odisha Higher Education Programme for Excellence and Equity(OHEPEE)

Loan/Credit/Grant No: 8782-INStatement of Sources and Applications of FundsReport for the year ended 31.03.2018

In Rs. '000Particulars Current Year Previous Year Project to date

(7.11.2017 to (7.11.2016 to31.3.2018) 6.11.2017)

Opening Balances(if cash balances are Nil Nil Nilcontrolled by the entity) (A)

ReceiptsFunds received from Government 17,70 1,25,29 1,42,99through budget. (These will includeexternal assistance received byGovernment for the ProjectFunds received directly by Project -- -- --

Implementing Authority throughexternal assistanceBeneficiary Contribution(If any,) -- ..Total Receipts(B) 17,70 1,25.29 1,42,99

Total Sources(C=A+B) 17,70 1,25,29 1,42,99

Expenditures by ComponentA. Preparation of Strategic -- 69,77 69,77

Institutional Development Plan(Utkal University & XIM,Bhubaneswar)

B. Legal Cell Support (National Law -- 16,32 16,32University)

C. State & Cluster Staff 13,49 25,82 39,31D. Expenses on Selection of Colleges -- 10,69 10,69E. Workshops 3,02 -- 3,02F. Trainings 1,19 0,19 1,39Total Expenditures(D) 17,70 1,22,79 1,40,49

Closing Balance,(If cash balances) 00 2,50,000 3,37,9282are controlled by the entity) (C-D)

1Out of SOE figures of Rs.72,27,267, the Utkal University incurred less expenditure of Rs.2,50,000.00 i.e.Rs.69,77 (Rs.7227267-250000)23,37,928 (Rs.250000+ Rs.87,928.00) includes Rs. 87,928 interest money earned on the unspent amount ofRs.2,50,000.00

Annexure 2

Name of the Project: Odisha High&r Education Program for Excellence and Equity

Loan No.: 8782

Reconciliation of Claims to Total Applications of Funds

Report for the year ended: 31.03.2018

Amt(Rs. '000)Sched Retro-active 7th Nov. 17 to Project toules period 3 1 st Mar. 18 date

Bank Funds claimed during the year (A) I 1,25,28 17,70 1,42,99

Total Expenditure made during the year (B)

Less: Outstanding AC Bills(C) II -

Ineligible expenditures (D) III -

Expenditures not claimed (E) IV - - -

Total Eligible Expenditures claimed 1,25,28 17,70 1,42,99(F) = (B)-(C)-(D)-(E)World Bank Share @ 100% of (F) above (G) 1,25,28 17,70 1,42,99

Finance Oier, OHEPEE SPD, OHEPEE-cum-Joint Secretary to Govt.Date: 22.02.2019 Date: 22.02.2019

FINANCE OFFICER, OHF.PEE SPD, OHEPEEcum-Joilnt SecretaryHIGHER EDUCATION DEPARTMENT Higher Education Department

Government of Odisha Annexure 3

Higher Education Department

Letter No: 352- /HE D/ Dated: 5From H91/ 813/#H-EA/1i

Parameswaran B. IAS,SPD, OHEPEE-cum-Joint Secretary to Govt.Higher Education Department

To

Sr. Audit Officer / FNATOffice of the Accountant General(General & Social Sector Audit)Bhubaneswar

Sub: Issue of Audit Certificate for the World Bank aided program Odisha Higher Education

Program for Excellence and Equity (OHEPEE), Loan No: 8782

Sir/Madam,

This assertion letter is provided in connection with your audit of the financial statements

of the Odisha Higher Education Program for Excellence and Equity (OHEPEE), Loan No: 8782

Project for the year ended 31.3.2018.We acknowledge our responsibility for the fair presentation

of the financial statements in accordance with the cash basis of accounting followed by the

Government of India, and we confirm, to the best of our knowledge and belief, the following

representations made to you during your audit:

* The project financial statements are free of material misstatements, including omissions.

* Project funds have been used for the purposes for which they were provided.

* Project expenditures are eligible for financing under the Loan/Credit agreement.

* There have been no irregularities involving management or employees who have a

significant role in internal control or that could have a material effect on the project

financial statements.* We have made available to you all books of account and supporting documentation

relating to the project.

* The project has complied with the conditions of all relevant legal agreements, including

the Financing Agreement, the Project Agreement, the Project Appraisal Document, the

Minutes of Negotiations, and the Borrower's Project Implementation plan.

SPD, OHEPEE-cum-Joint Secretary to Govt.