BHUBANESWAR A Comptroller and Auditor General (CAG) audit has found that a significant share of funds collected by Odisha’s District Mineral Foundations (DMFs) was spent outside mining-affected areas, including on stadiums, roads, government facilities and other projects. The performance audit, covering 2015-16 to 2023-24, examined spending in six districts — Keonjhar, Sundargarh, Jajpur, Mayurbhanj, Dhenkanal and Nabarangpur. Of the ₹10,104.28 crore spent, only ₹5,477.75 crore, or 54.21%, went to directly affected areas. Odisha’s rules require at least 60% of DMF funds to be spent in such areas. The audit found that ₹983.32 crore was spent in 976 villages classified as unaffected by mining in Keonjhar and Sundargarh. Projects included mini-stadiums, road widening, office quarters and hospital digitisation. Meanwhile, 488 directly affected villages in the two districts received no DMF-funded project during the nine-year period. Sundargarh DMF spent ₹136.77 crore on the Rourkela International Hockey Stadium, while Jajpur DMF spent ₹113.65 crore on a regional science academy. Other spending included ₹6.06 crore by Keonjhar to sponsor five students for mining engineering courses in Australia and ₹4.30 crore by Jajpur on medical entrance coaching. The audit also flagged spending on school furniture, rural parks, protective equipment and government vehicles. Despite the six audited DMFs collecting more than ₹22,500 crore, none had established an Endowment Fund, intended to provide sustainable financial support to mining-affected communities after mines close. The CAG also found that officials in three districts used a “common affected areas” classification that was not recognised under applicable laws and guidelines. Gram Sabha proposals for basic needs were not acted upon in several mining villages. The findings highlight gaps between the intended purpose of DMF funds and their actual utilisation across Odisha.