The Jharkhand Police has arrested seven persons for reportedly siphoning off Mahatma Gandhi National Rural Employment Guarantee Scheme funds. The FIR, filed on Tuesday at the Lapung Police Station, accuses assistant post master Binod Jaiswal, SBI’s accountant Anil Kumar Sinha, and five officials of the Block Development Office — programme officer Samir Sagar, Rojgar Sevak Sanjay Oraon, Panchayat Sevak Mansa Kachhap, junior engineer Bindeshwar Singh and assistant engineer Rahul Kumar...

Farmer Dharamshyam Kujur put the hitherto nondescript village of Doba in Kudu block of Lohardaga district on the banking map of India today as he withdrew Rs 100 from his newly opened account. Watching him create history was Reserve Bank of India (RBI) governor D. Subbarao, who, as part of RBI’s ambitious outreach programme aimed at financial inclusion, inaugurated a smart card-based satellite banking system in the village earlier in the...

A day labourer has complained to court that a panchayat pradhan in cahoots with a bank manager has thrust a loan of Rs 30,000 on him for which he had never applied, the allegation exposing how beneficiaries of village schemes are left at the mercy of influential rural leaders.Additional chief judicial magistrate Manoj Rai, after criticising the police role in the investigation, asked the Islampur subdivisional officer yesterday to inquire...

The Bengal government could have ensured a monthly scholarship of Rs 500 for nearly 22,000 poor schoolchildren in the state over the past three years, without any damage to its own pocket. Instead, it chose to help just about 3,000 get the scholarship.The National Means-Cum-Merit Scholarship, launched in 2008-09, looks to benefit about one lakh Class IX students every year. The State Bank of India pays the entire sum, which...

Yaga Venugopal Reddy , former Reserve Bank of India governor credited with saving the nation’s financial system from the 2008 meltdown, has said what many finance experts believed, but did not have the courage to admit publicly: microfinance is India’s subprime. “Ultimately, it’s something like subprime lending,” Mr Reddy told ET in an interview ahead of his book release. “The same incentives are operating here... it was securitisation and derivatives that...