On Friday afternoon, the MNF team proceeded to the CMO insisting on seeing the CM. However, the Chief Minister refused to see them, Dr Beichhua said. It might be recalled that the Comptroller and Auditor General of India, in its report tabled in the State Assembly last December, found a host of anomalies in the way the Mizoram Government handled the State Lotteries that eventually resulted in a staggering loss of Rs 11,808.77 crore, which is much more than the State’s annual budget. According to the CAG report, the Mizoram government allowed the distributors to evade income tax by using a loophole. The Income Tax Act, 1961, demands that 10 per cent of commissions payable to the distributors be deducted as income tax at source by the State Government. But this was never done because the State never collected the sales proceeds.
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