CAG: Govt diverted funds of pension schemes for publicity of other schemes

“The allocation under NSAP to the states/ UTs were meant for disbursal of pension under various sub-schemes of NSAP. Out of the total allocation to a state/ UT, three per cent fund was meant for administrative expenditure. During audit, instances of diversion of funds by ministry and states/ UTs out of allocated funds for NSAP were noticed,” the report said.

“The Ministry of Rural Development in January 2017 decided to campaign through hoardings in states and UTs for giving due publicity to all programmes/ schemes of the ministry. Administrative approval and financial sanction of Rs 39.15 lakh was taken (June 2017) for publicity campaign through hoardings, with a limit of 10 hoardings at each capital city of the state and UT. Administrative approval and expenditure sanction of Rs 2.44 crore was taken (August 2017) for campaigning (for) Gram Samriddhi, Swachh Bharat Pakhawada and publicity material of multiple schemes of the ministry through five hoardings in each district of 19 states,” it said.

“Work orders were issued to DAVP (Directorate of Advertising and Visual Publicity) in June and September 2017. Publicity campaigns were to be undertaken in September 2017. The funds for the said campaign were stated to be available under National Rural Employment Guarantee Scheme and were approved by the competent authority to be incurred under the same head; however, audit observed that funds were actually incurred from social security welfare-NSAP schemes,” the report said.

“However, the advertisement of only PMAY-G (Pradhan Mantri Awas Yojana – Gramin) and DDU-GKY (Deen Dayal Upadhyaya Grameen Kaushalya Yojana) schemes were mentioned in the work order and no schemes of NSAP were included… Further, the campaigns were to be undertaken by DAVP under intimation to the department; however, the payment to DAVP was made without confirmation of the execution of the work,” it said.

“Hence, planned IEC (Information, Education and Communication) activities under NSAP were not undertaken as envisaged and funds of Rs 2.83 crore were diverted for campaigning in respect of other schemes of the ministry. Hence, IEC activities intended to create awareness among potential beneficiaries of NSAP could not be taken up even though there was earmarking of funds for IEC activities,” it said.

According to the report, the MoRD, in its reply (December 2022), said the matter had been taken up with the IEC division of the department.

The CAG also reported diversion of Rs 57.45 crore across six states – Rajasthan, Chhattisgarh, Jammu & Kashmir, Odisha, Goa and Bihar. For instance, Central and State share (Rs 42.93 crore) under IGNOAPS was diverted to pay pension under IGNDPS in 2018-19 due to non-availability of funds under IGNDPS in Bihar, it said. In Rajasthan, National Family Benefit Scheme (NFBS) funds meant for 12,347 beneficiaries were diverted for payment of insurance premium to LIC for BPL and Aastha Card holders under Pannadhay Jeevan Amrit Yojana (Aam Aadmi Beema Yojana) in September and December 2017, as per the report. The report also said that in 10 states/ UTs, the funds meant for administrative expenses under the NSAP (Rs 5.98 crore) were used on “inadmissible items” during 2017-21. These included payment of honorarium, wages, transportation etc.

According to the CAG report, about 4.65 crore beneficiaries availed the old age, widow, disability pensions and family benefit annually during 2017-21.

“The Centre released Rs 8,608 crore per annum on an average during 2017-21. In addition, states and UTs have also allocated Rs 27,393 crore per year on an average during the said period for pension and family benefit,” it said.