A sample audit conducted over three months — on the money paid into accounts in the first phase of the State government’s ambitious loan waiver scheme — found that 13,988 ineligible accounts across the State had been credited with a whopping ₹59 crore.
Following the detection, the government has asked banks to return the money.
Sources in the government said, based on the information provided by the banks, detailed and multiple audits will be conducted to ensure that the money reach es the rightful beneficiaries. “To prevent a repeat of this embarrassing situation, the government will also ask banks to audit their accounts thoroughly,” sources said.
Meanwhile, the issue has threatened to take on political colour with BJP State president B.S. Yeddyurappa accusing the government of giving money to farmers before the elections, and then taking it back.
“Several thousands of accounts in Yadgir had received money before the elections, but have been taken back after elections. The Chief Minister has to apologise,” Mr. Yeddyurappa told presspersons.
However, clarifying that the issue had no relation to the polls, Chief Minister H.D. Kumaraswamy said, “Confusion has been caused due to the failure of the banks to segregate farmers’ loans. We have sought an explanation from the bank.” So far, the government has released ₹3,929 crore towards the loan waiver scheme for 7.49 lakh beneficiaries in the commercial bank sector and ₹4,830 crore for 11.2 lakh farmers in the cooperative sector, taking the total to ₹8,75 9 crore for 18.7 lakh beneficiaries.
