RTI Reveals Funds Misuse, No Significant Development in Affected Areas
RAIGARH (India CSR), Chhattisgarh: Despite receiving nearly Rs 350 crore from the District Mineral Foundation (DMF) between 2015 and 2022, several villages in Chhattisgarh’s mining-affected districts continue to lack basic infrastructure and development. According to DMF regulations, 70% of the allocated funds should be spent on villages within a 10 km radius of mining sites, while the remaining 30% is designated for villages within a 25 km range. However, an RTI report has exposed severe mismanagement and fund diversion.
Villages Affected But No Development Work
In districts including Raigarh, Gharghoda, Dharamjaigarh, Lailunga, Tamnar, Kharsia, and Pusaur, around 55 villages are directly impacted by mining activities, while 864 villages face indirect consequences. The RTI findings indicate that between 2015 and 2022, no substantial development work or community welfare projects were executed in these villages using DMF funds.
COVID-19 Era Corruption and Fund Misuse
During the pandemic, large-scale corruption was reported in the procurement of medical and agricultural equipment using DMF funds. High-priced ventilators were purchased at inflated rates, with ventilators costing Rs 7-8 lakh being procured for Rs 12 lakh each. Similarly, in 2021-22, approximately Rs 8.5 crore worth of agricultural equipment was allegedly purchased on paper in Dharamjaigarh alone.
Misallocation of Funds and Discrepancies
DMF funds, collected from mining royalties, are meant to be utilized based on proposals from affected village councils. These proposals are recorded in minute books and uploaded to the DMF portal. However, a review of the portal indicates that no development work has been carried out in many villages. Basic infrastructure, such as schools, health centers, drainage, roads, and drinking water facilities, remains inadequate.
Massive Discrepancies in Procurement
- In the Dharamjaigarh block, Rs 1.6 crore was spent on maize seed procurement for boosting production.
- Several villages like Chaal, Khedapali, and Lath were identified as directly affected, while 183 villages faced indirect impact.
- In Gharghoda, 10 villages were directly impacted, with 71 villages affected indirectly.
- Tamnar saw 15 villages directly affected and 103 indirectly impacted.
- Raigarh district, with villages like Kosampali, Koterliya, and Tipakhol, had 124 villages indirectly affected.
- Kharsia, Lailunga, and Pusaur blocks reported similar trends with hundreds of villages indirectly impacted.
Activists Demand Accountability
RTI activist and social worker Rajesh Tripathi highlighted that the district has 550 Gram Panchayats. If DMF funds had been appropriately distributed, each affected village could have received more than Rs 30 lakh for essential development projects. He emphasized the need for accountability and transparency in fund allocation to ensure that essential infrastructure projects reach the most affected communities.
The revelation of the District Mineral Foundation (DMF) scam raises serious questions about governance and the efficient utilization of public funds meant for the welfare of mining-affected villages. Authorities are now under pressure to conduct a thorough investigation and take corrective measures to address the misallocation of resources.
Rusen Kumar strongly condemned the alleged misuse of DMF funds
India CSR Founder, Rusen Kumar, strongly condemned the alleged misuse of DMF funds. He stated, “It is unacceptable that despite receiving such a large amount of funds, the affected villages remain deprived of basic amenities. This is a clear case of corruption, and the responsible officials must be held accountable. The government must ensure transparency and fair utilization of DMF funds to truly benefit the people.”
The revelation of the DMF scam raises serious questions about governance and the efficient utilization of public funds meant for the welfare of mining-affected villages. Authorities are now under pressure to conduct a thorough investigation and take corrective measures to address the misallocation of resources.
(India CSR)
📢 Partner with India CSR
Are you looking to publish high-quality blogs or insert relevant backlinks on a leading CSR and sustainability platform? India CSR welcomes business and corporate partnership proposals for guest posting, sponsored content, and contextual link insertions in existing or new articles. Reach our highly engaged audience of business leaders, CSR professionals, NGOs, and policy influencers.
📩 Contact us at: biz@indiacsr.in
🌐 Visit: www.indiacsr.in
Let’s collaborate to amplify your brand’s impact in the CSR and ESG ecosystem.
