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CAG flags ₹3,541 crore lapses in Maharashtra’s flagship Ladki Bahin welfare scheme

Maharashtra’s Mukhyamantri Majhi Ladki Bahin Yojana has come under fresh scrutiny after the Comptroller and Auditor General highlighted significant shortcomings in the scheme’s financial management, while a separate investigation revealed that more than 92 lakh beneficiaries have since been removed following a statewide verification exercise.

The CAG’s State Finances Audit Report for 2024-25, tabled in the Maharashtra legislature, found that the Women and Child Development Department spent ₹33,237 crore on the scheme against an authorised budget of ₹29,693 crore, resulting in excess expenditure of ₹3,541 crore. The audit noted that the department did not provide any specific justification for the overspending.

The report also flagged the transfer of ₹15,586 crore into Virtual Personal Deposit Accounts between January and March 2025 despite there being no immediate expenditure requirement. The CAG described the practice as contrary to principles of budgetary discipline and financial propriety, stating that it weakened legislative oversight of public finances. It recommended more realistic budgeting and closer alignment between fund withdrawals and actual expenditure requirements for large direct benefit transfer schemes.

Separately, government records reviewed by The Indian Express show that over 92 lakh beneficiaries were removed from the scheme after a statewide verification exercise, significantly higher than the roughly 80 lakh deletions publicly disclosed by the state earlier.

Nearly 62 lakh beneficiaries failed to complete mandatory eKYC authentication. Others were found ineligible because they exceeded the income ceiling, belonged to government employee households, were receiving benefits under overlapping welfare schemes, crossed the age limit or did not satisfy other eligibility conditions. Around 29,000 beneficiaries were identified as men.

Officials associated with the verification exercise estimate that beneficiaries later removed had collectively received around ₹14,000 crore before payments were discontinued. The Maharashtra government has stated that recovery proceedings will primarily target government employees and male beneficiaries who received payments despite being ineligible.

Together, the audit findings and the verification exercise point to the administrative challenges of managing welfare programmes that operate at massive scale. While the scheme continues to support around 1.5 crore women, the CAG has urged stronger budgeting, tighter financial controls and better planning to improve the implementation of future direct benefit transfer programmes.

Source: The Hindu

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