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LATEST NEWS UPDATES | Leaders set to siphon off Rs 100cr NREGS funds

Leaders set to siphon off Rs 100cr NREGS funds

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published Published on Apr 12, 2010   modified Modified on Apr 12, 2010

The government has decided to divert about Rs 100 crore of National Rural Employment Guarantee Scheme (NREGS) funds to construct roads in rural areas in Anantapur district.

The Zilla Parishad will assign these works to contractors under the nomination process instead of inviting tenders.

About Rs 50 lakh are allotted to each mandal and every constituency gets around Rs 5 crore for road works. Ruling party leaders are eyeing these funds as the process is entrusted to the ruling party Zilla Parishad chairperson.

Lakhs of rupees in the form of goodwill were already handed over to officials to gain contract works.

According to the NREGS act, 20 per cent of wage labourers must be employed, but contractors plan to use machines instead of labourers by offering some funds to the local endowment committees.

The Zilla Parishad Territorial Constituency (ZPTC) members have a share in the works and Mandal Praja Parishad (MPP) presidents, village sarpanches and Mandal Parishad Territorial Constituency (MPTC) members should pass resolution for the bills.

Opposition and ruling party local leaders have already reached a pact to share commissions for the works in various mandals.

For instance Rs 5 crore was allotted to Kalyandurgam constituency of which Rs 1.85 crore was allotted to Brahmasagaram mandal. Public representatives are reportedly competing to obtain contracts.

On condition of anonymity a ZPTC member alleged that some members have plans to swindle the NREGS funds as their term of office comes to end in the next six months.


The Deccan Chronicle, 8 April, 2010, http://www.deccanchronicle.com/anantapur/leaders-set-siphon-rs-100cr-nregs-funds-415


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