Releasing the report, the principal accountant general Shankar Narayan pointed out several anomalies in various departments and also in sales tax levies, taxes on vehicles, stamp duty and registration fee and other tax and non-tax receipts.

“Test checks of the records relating to sales tax, state excise, land revenue, urban land tax, taxes on vehicles and departmental offices conducted during 2007-08 revealed under-assessments, short levy, loss of revenue and other observations amounting to Rs 760.93 crore in 2,167 cases,” he said.

In three assessment circles, incorrect exemption of local and inter-state sales of matches worth Rs 117.50 crore resulted in non-levy of tax of Rs 12.69 crore, the CAG report said.

It also hit out at the stamp duty and registeration fees department. Computerisation of the Registeration department has not been fully completed though started in 2001. “Lack of interconnectivity of the sub-registrar offices with the concerned taluk offices resulted in continued registration of the government lands in the name of private individuals,” the report said.

“Incorrect grant of exemption on sale of land by 100 members to four housing societies resulted in non-realisation of stamp duty worth Rs 3.13 crore,” it said.

“In 12 registeration offices, in 23 sale deeds and four lease deeds, due to omission to include the value of the windmills in the instruments, there was undervaluation of properties resulting in short levy of stamp duty and registeration fees of Rs 12.96 crore,” the report added.

The report also slammed Tamil Nadu Minerals Limited for failing to submit mining plans for approval of director, geology and mining within the timeframe leading to rejection and consequent non-removal of the produced granite blocks.

“The company sold granite blocks below cost of production and suffered a loss of Rs 10.69 crore both in departmentally operated quarries and quarries operated through Raising and Raising-cum-Sales Agents.

It said Tamil Nadu Cements Corporation accumulated loss of Rs 45.86 crore as on March 2008, which had eroded its paid up capital of Rs 37.42 crore.