The Hindu : Andhra Pradesh News : State reimburses NREGP funds

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Sunday, Jul 20, 2008
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Andhra Pradesh

Andhra Pradesh

State reimburses NREGP funds

Special Correspondent

TDP complains to Centre about misuse of funds

Union government threatens to stop NREGP funds if they are spent on other purposes
YSR agrees to release Rs. 190 crore to reimburse funds already spent on ‘Indiramma’

HYDERABAD: Heeding to the warning issued by the Centre, the State government has finally reimbursed funds of the National Rural Employment Guarantee Programme (NREGP) which were spent on Indiramma housing scheme.

The Union government had threatened to stop NREGP funds to Andhra Pradesh if they were spent on other purposes.

The State government had allowed a benefit of 40 mandays using NREGP funds if the beneficiary of Indiramma participated in construction of the house sanctioned to him /her. This sparked off protests by the TDP whose leaders lodged a complaint with the Centre against ‘misuse’ of NREGP funds .

Following the Centre’s warning, the State government, stopped the practice of allowing 40 mandays.

Rs. 190 crore released

The Chief Minister gave his nod to release Rs. 190 crore to reimburse the funds drawn from the NREGP and already spent on Indiramma, while reviewing NREGP here on Friday.

Rural Development Minister G. China Reddy and Principal Secretary (Rural Development) R. K. Raju announced later that the Chief Minister also cleared release of Rs. 148 crore against the NREGP funds spent on providing cement concrete roads in rural areas. Mr. Raju said 54 officials, including mandal development officers, were suspended and 1,184 others removed from service for committing irregularities while implementing NREGP involving an amount of Rs. 7 crore. However, Rs. 1.33 crore had been recovered from them.

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