Indian Audit Flags Expenses On “Uninhabitable” And “Extremely Dilapidated” Embassy In Beijing

India’s government audit agency has flagged the “uninhabitable” and “extremely dilapidated” condition of the Indian embassy building in China, despite a renovation effort just a few years ago.

In its report tabled in parliament last week, the Comptroller and Auditor General (CAG) raised questions on the state of the embassy building in Beijing, despite incurring expenditure on a comprehensive annual maintenance contract.

The report mentioned that the Indian embassy in Beijing had shifted the offices and residences of 16 senior diplomats to the new, renovated building in January 2012, from the old chancery premises, which had been vacated for redevelopment.

But now, the embassy proposed more expenses worth over Rs 17 crore to renovate the new office and residential quarters, mentioning the “extremely dilapidated condition” of the new building.

The CAG scrutinised the expenditure under the renovation plan, which was proposed in spite of a five-year maintenance guarantee and a comprehensive annual maintenance contract thereafter.

The CAG report said the embassy officials were living in rented accommodation outside the premises after vacating the six residential units in February 2025, while the remaining 10 units were in dilapidated condition with “damaged wooden floors and walls, and blockage of sewage and drainage pipes.”

The embassy forwarded a renovation proposal in August 2023 to the External Affairs Ministry for the 16 residential units for Rs 17 crore, the CAG said, noting that the proposal was still under consideration as of January 2025. Meanwhile, the embassy spent Rs 3 crore on renting accommodation for its officials.

Though the embassy had an annual maintenance contract and incurred significant expenditure on repairs of the residential units due to multiple issues, the newly constructed buildings were becoming uninhabitable, the report noted.

The annual maintenance contract began in April 2017 for the new buildings, while the old chancery building was vacated in 2012. The embassy continued to pay heating charges of Rs 74 lakh to the Beijing Heating Company for the old chancery building even after vacating it, it said.

“The audit observed (Oct 2023) that though embassy offices were shifted out of the old premises in January 2012 and the premises was not being used for any active purpose/service since 2014, the mission did not take effective action to get the heating supply to the vacant building discontinued and incurred an expenditure of Rs 74 lakh towards its heating charges during the period 2015-16 to 2024-25,” the CAG said.

The embassy, in its response (Sept 2024), said, “The units were declared uninhabitable after multiple wear and tear issues which arose after expiry of the quality warranty period of five years”.