Hey Ram! Scam in Gandhi rural jobs

Rs 146 crore misappropriated in MGNREG scheme in last 7 years.

Update: 2014-01-02 09:03 GMT

Hyderabad: Andhra Pradesh is the state that has spent the most on the UPA’s flagship Mahatma Gandhi National Rural Employment Guarantee Scheme, but it also recorded huge misappropriation of funds.

Since the scheme was launched in the state in 2006, Rs 28,000 crore has been spent on the scheme to benefit 57 lakh families (98 lakh wage seekers) according to the latest update.

But as much as Rs 146 crore has been misappropriated in the last seven years, 4,500 staff involved in the misappropriation have been sacked and criminal cases have been filed against others.

The Centre has planned to slightly increase wages under MNREGS, which currently stand at Rs 149 a day, according to Shashi Bhushan Kumar, commissioner, rural development.

Speaking to this newspaper on Monday, on the sidelines of a two-day national seminar on ‘Role of MGNREGS in poverty reduction’, Bhushan said: “Andhra Pradesh remains no. 1 in spending, accounting for Rs 28,000 crore since the scheme was launched in the state in 2006, as against the overall spending of Rs 2 lakh crore in the country for the period.

MGNREGS is a demand driven scheme. We are ensuring livelihood security by providing not less than 100 days of guaranteed wage employment in every financial year to every household whose adult members volunteer to do unskilled and manual work.”

He denied allegations made in some quarters that the scheme had reduced agricultural growth and created labour problems.

He said that, in fact, the scheme has ensured equal wages for men and women farm labourers, without discrimination, and improved the wages of farm labour and ensured creation of assets (the labourers work on projects that create assets for their villages).

Asked about the huge misappropriation of funds, he said that compared to some states, AP’s performance was better.

“Some states claim no misappropriation and no recovery. We are telling the truth. We have set up a strong social audit network,” he said.

Former rural development minister, Dr G. Chinna Reddy said the scheme improved the livelihood of farm labour but suggested integrating the scheme with agriculture as it created a shortage of agricultural labourers as many of those who availed of the scheme did not need to work elsewhere.

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