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NREGA: action against corruption in Orissa

Field investigators involved in a survey of the National Rural Employment Guarantee Act (NREGA) in Orissa, initiated by Allahabad University, discovered a fake muster roll in Badhigam Gram Panchayat of Boudh district. The muster roll had been manufactured from top to bottom, for the purpose of siphoning off money from NREGA funds lying with the Gram Panchayat. The evidence is presented in the attached note, presented to the District Collector Boudh (Ms. Shalini Pandit) on 10 October.

In response to this, the District Collector summoned all functionaries concerned and visited Badhigam with them as well as with the survey coordinators on 11 October. In spite of evident attempts to “doctor” the testimonies of the labourers, further evidence emerged that the muster roll was fake. Clinching evidence came from bank statements, showing that the money had been withdrawn on 26 September 2007, while payments had been made in July according to the muster roll.

Later the same day, the embezzled money (Rs. 10,480) was recovered by the District Collector from the Panchayat Executive Officer (PEO). The money was returned in cash in her office, in the presence of the survey coordinators. The PEO was suspended the next day. A full-fledged enquiry has been initiated by the Vigilance Department.

The NREGA survey suggests that the fake muster roll in Badhigam is an extreme example of irregularities that are quite common in the survey districts (Balangir, Boudh and Kalahandi). Orissa’s Employment Guarantee Scheme seems to be particularly vulnerable to corruption, for various reasons. For instance, the “job cards” that are meant to enable labourers to verify the details of their wage payments are virtually useless, as the design of the card does not provide any space for recording these payments. Similarly, the administration has allowed extensive “adjustments” in the muster rolls to accommodate workers who do not have a job card, opening the door to further “adjustments” that serve different purposes. Last but not least, private contractors (who are banned under the Act) are still in control of the works in many areas. They perpetuate corrupt practices of the past, including the infamous “PC” (percentage) system whereby government officials get a share of the loot through pre-fixed percentages.

In short, the transparency safeguards mandated by the National Rural Employment Guarantee Act (transparency of muster rolls, regular maintenance of job cards, banning of contractors, and so on) are not in place in Orissa. Strict implementation of these safeguards seems to be the best way to eradicate corruption from the programme.

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