Under Centrally-Sponsored Scheme of Hostels for OBC Boys and Girls, Ministry of Social Justice and Empowerment (Ministry), Government of India (GoI) sanctioned (December 2012) construction of one hostel of 100 capacity each for OBC Boys and OBC Girls at Sangaiyumpham, Thoubal District. The work was stipulated to be completed by December 2013 i.e., one year from the date of sanction of the grant. Out of the total estimated cost of ` 2.80 crore, GoI was to bear INR 2.52 crore and the remaining INR 28 lakh was to be borne by the State. Along with the sanction, GoI released INR 1.26 crore as first installment of its share to the Government of Manipur. As per Measurement Books, till February 2015, expenditure of INR 58.73 lakh was incurred for construction of the hostels. Inspite of a fund balance of INR 9.67 lakh with MOBEDS, there was no record of further execution of work. Neither records of furnishing of quarterly progress reports to the Ministry nor records for release of remaining Central share of INR 1.26 crore were available. Though there were no records for further construction and release of additional funds, in November 2016, the Department submitted completion report to the Ministry and claimed that the hostels would be occupied from the academic session 2017. Thus, inability to complete the hostels as per approved specifications had blocked INR 1.34 crore for more than three years with risk of forfeiting Central share amounting to INR 1.26 crore. Further, false reporting on status/completion of work was a serious matter that needs to be addressed.