In its report, tabled in the state legislature on July 10—the last day of the monsoon session—the CAG had rapped the social justice department over serious irregularities in the functioning of aided hostels

Published on: Aug 17, 2026, 08:15:20 IST

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MUMBAI: Weeks after the Comptroller and Auditor General (CAG) slammed the state government over irregularities in government-funded hostels for Scheduled Caste students, the Maharashtra government has terminated the licences of 11 such hostels. The state has also launched a drive to inspect all aided and government-run hostels, with committees headed by the chief executive officers (CEOs) of the respective zilla parishads conducting inspections in each district.

In its report, tabled in the state legislature on July 10—the last day of the monsoon session—the CAG had rapped the social justice department over serious irregularities in the functioning of aided hostels. The audit covered 21 of the 2,388 aided hostels run by NGOs and other institutions, many of which are allegedly controlled by politicians. Of the 21 hostels physically verified by the CAG, six were found to be allegedly non-functional or bogus. Some were closed or still under construction but shown as operational, while others had no students or staff and lacked basic attendance and admission records.

The CAG found that these six hostels had received ₹1.62 crore between 2019-20 and 2023-24 towards maintenance, rent and honorariums. The report also flagged deficiencies in infrastructure and space which had led to overcrowded and inadequate living conditions.

The audit also pointed to serious lapses in monitoring by departmental officials. The CAG noted considerable shortfalls in inspections of government and aided hostels by officials from the district council and district social welfare offices as well as by the district and taluka-level coordination committees.

The hostels identified in the audit were in Buldhana, Jalna, Sangli, Latur and Dharashiv. Following the tabling of the report, the state government terminated the licences of 11 hostels across the five districts. However, according to sources, no action has so far been initiated against officials allegedly responsible for the lapses in inspection and monitoring,

“We have taken serious cognisance of the report and have asked the CEOs of the zilla parishads and district social welfare officers to inspect all aided and government-run hostels,” said a senior official from the social justice department. “We have also developed an app to keep updated information on these hostels. The government has increased the outlay for hostels and is constructing more modern facilities.”

The officer said that the aided hostels were given ₹2,200 per student per month for dining facilities, and 50% of the staff salary, while the remaining expenditure was expected to be borne by the institutions. “We also checked the involvement of officials and employees but found no one guilty, as the condition of the hostels was found to have deteriorated after their inspections,” he officer added.

Maharashtra has 2,388 aided and 449 government-run hotels with a sanctioned student capacity of 43,893 and 98,756 students from primary and secondary schools. The collective annual outlay for the operation of these hostels is over ₹800 crore.

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