It’s official: In poorest states, job funds don’t reach the poor

NEW DELHI, January 7: If bringing wage employment to the rural poor was the idea behind the National Rural Employment Guarantee Scheme (NREGS), the draft performance audit report of CAG points to a serious disconnect. Far from reaching the intended beneficiaries, the audit says the money has been diverted to NGOs and other implementing agencies.

The four poorest states of Bihar, Orissa, Chhattisgarh and Jharkhand were anticipated to have a higher demand for employment, and accounted for 73 of the total 200 poorest districts selected for the NREGS in the first year. But in the “absence of identified low-wage areas”, the CAG report says, the scheme has suffered from poor planning and hence “non-timely” provision of employment.

The “lack of documentation” has also resulted in non-payment of minimum wages and denial of unemployment allowance, allowing “diversion” of funds. The NREGS hence is nowhere close to its goal of creation of durable infrastructure in rural areas, which would contribute to long-term employment.

Some findings of the CAG audit in these states:

BIHAR

• 37 projects started contrary to NREGS rules in Supaul, and had to be abandoned. Around Rs 28 lakh wasted in the process

• Wages worth Rs 12.05 lakh paid in 17 projects with muster rolls not specifying date or work orders

• Projects worth Rs 1.49 crore assigned to NGOs having a tardy work record

• In violation of rules, the Darbhanga DDC transferred Rs 2.69 crore to another division for constructing boundary walls for projects under the backward district initiative

• Rs 2.77 crore paid to unregistered labourers, while Rs 8.99 lakh given to fictitious ones in seven projects. The same names registered twice or thrice

JHARKHAND

• The Gumla District Commissioner sanctioned Rs 1.24 crore for ‘Safed Musli’ cultivation, as part of “commercial farming”. However, this has only 12 per cent labour component (Rs 15.30 lakh) as against the stipulated 60 per cent (Rs 74.4 lakh)

• In Hazaribagh, 20,995 muster rolls did not have the unique identification number. In one block, Rs 5.22 lakh was paid through 5,000 of such rolls

• Rs 8.01 lakh paid against false muster rolls, and labour paid even before the start of a project

... contd.