India’s public distribution system has limited benefits due to huge leakage and wastage, World Bank said on Tuesday. It also recommended cash transfer as an alternative to provide subsidised food for the poor. “No country in the world has a well-functioning PDS system. India is no exception,” World Bank said in its report Social Protection for a changing India that was launched here Tuesday. “The public distribution system continues to absorb substantial...

Blames FCI’s internal bureaucracy for resisting reforms Much to the dismay of several NGOs that want strengthening of the public distribution system (PDS) in India, the World Bank in its latest report has favoured cash transfers. “In the medium to long term, the report recommends offering households the option of a cash transfer while continuing food-based support for specific situations…,” the bank said in the report titled ‘Social Protection for a Changing...

The government is exploring whether it can use the biometric smart cards issued for its flagship health insurance scheme to stop misappropriation of funds under its rural employment scheme. The rural development ministry is in talks with the labour ministry to use the biometric smart cards issued for the Rashtriya Swasthya Bima Yojana (RSBY) for identifying beneficiaries of the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS). "I have seen truck drivers...

-DNA   The Centre has asked the Madhya Pradesh government to send "on priority basis" its action taken report on alleged corruption to the tune of several crore in works done under its flagship rural employment guarantee scheme. Senior officials in the rural development ministry said the state government has not yet sent its ATR over the series of irregularities pointed out by the ministry. "We are concerned over the irregularities and sought...

-The Business Standard   The Supreme Court today asked the Central Bureau of Investigation (CBI) to probe into the alleged irregularities in the implementation of the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) in six districts of Orissa. The apex court has directed the Central investigative agency to submit its report within six months. The CBI has been asked to check if the operational guidelines of the Central scheme were duly complied...