The latest CAG Report on Assam’s State Public Sector Enterprises has exposed a deeply troubling picture of the state’s information technology ecosystem, placing the Assam Electronics Development Corporation Ltd. (AMTRON) at the heart of a governance and operational crisis. Once regarded as a critical public-sector engine for Assam’s digital growth, AMTRON has now been shown to be crumbling under poor planning, inefficient execution and chronic administrative negligence. The findings raise serious questions about the Assam BJP government’s commitment to IT development and financial accountability.
According to the CAG’s performance audit, AMTRON has been operating without any long-term strategic plan, without clear business directions and without the forward-looking approach required in a rapidly evolving digital economy. The report reveals that the corporation did not have any defined strategy to reduce operational losses, mitigate risks or align itself with the state’s own IT policy. This absence of planning has resulted in missed opportunities, unstable operations and a steady decline in AMTRON’s relevance at a time when digital infrastructure is more crucial than ever.
One of the most glaring failures highlighted in the audit is AMTRON’s loss of a profitable business segment that it had successfully operated for years: the printing of driving licences and registration certificates. Despite generating significant revenue from this service, AMTRON failed to secure the contract during a 2022 tender due to its high quotation and weak tendering strategy. Essentially, the corporation priced itself out of the market through poor judgement, allowing private competitors to claim a business it had dominated. The CAG makes it clear that this was not an inevitable loss but the direct outcome of weak decision-making within the corporation and a lack of competitive mindset. 
The collapse of AMTRON’s flagship Tech City project stands as perhaps the most striking symbol of the organisation’s systemic failure. The CAG found that AMTRON neither set a target date for completion nor secured funding for the project in advance. The result has been a five-year delay, during which Rs. 175.57 crore has remained locked in an incomplete, non-operational project. To make matters worse, AMTRON has had to bear Rs. 2.81 crore as penal interest simply because it failed to adhere to basic project management timelines. A project that was supposed to position Assam as a technological hub has instead become a monument to administrative carelessness and financial waste.
Equally alarming is AMTRON’s mismanagement of the State Data Centre (SDC), which was meant to serve as the central repository of government data. The CAG found significant underutilisation of the data centre’s capacity, absence of critical infrastructure such as dual power supply and, most dangerously, the hosting of sensitive government websites and applications outside the SDC. This exposes the state to major data security risks and undermines the very purpose of the centre. At a time when cybersecurity threats are increasing globally, the fact that a state-run IT corporation did not prioritise secure hosting reflects a deeply irresponsible governance environment.
The CAG report also revealed serious failures in the e-District project, which aims to provide citizens with online government services. According to the audit, AMTRON failed to ensure timely delivery of services to nearly half of the applicants. Out of 48.67 lakh applications, 22.63 lakh representing 46.49 per cent were delayed due to AMTRON’s failure to maintain essential escalation mechanisms. The corporation neglected to follow Government of India directions, resulting in massive delays, public inconvenience and erosion of trust in digital service delivery.
Adding to the catalogue of failures is AMTRON’s complete disregard for mandatory e-waste management rules. The organisation did not have any mechanism in place to manage or dispose of electronic waste, despite being directly involved in procurement and operation of large-scale IT hardware. This represents a clear violation of the E-Waste Management Rules of 2016 and underscores the absence of regulatory compliance within the corporation.
Taken together, the CAG’s findings paint a devastating picture of AMTRON’s operations. They also expose a deeper failure within Assam’s IT department, which has failed to enforce oversight, demand accountability or ensure performance standards. At a time when states across India are investing heavily in digital governance, the Assam government’s neglect of AMTRON has left the state lagging behind. Projects have stalled, revenue streams have been lost, public services have suffered and sensitive data has been put at risk.
