The Supreme Court on Monday cleared the decks for the revival of the 100 days’ job scheme in Bengal, dismissing the Centre’s appeal against Calcutta High Court’s June 18 judgment that had directed the programme be resumed in the eastern state from August 1.
The Centre had stopped sending funds to Bengal under the Mahatma Gandhi National Rural Employment Guarantee Act in December 2021, alleging large-scale corruption and irregularities, including bogus claimants. Projects under the scheme stopped in the state in 2022.
The high court had said there might be certain irregularities in the scheme’s implementation in Bengal, but that could not be a reason for stopping the entire programme and hurting the livelihood of thousands of poor rural families.
It had added that the Centre was free to conduct its investigations into the alleged irregularities and proceed under the law.
On Monday, the apex court bench of Justice Vikram Nath and Justice Sandeep Mehta said it had found no reason to interfere with the high court judgment.
The Bengal government claims the Centre owes it about ₹1.16 lakh crore under the scheme, starting from April 2022.
Thousands of families in the state that participated in the scheme towards the end of the financial year 2021-22 are still waiting for their wages.
Under the programme, introduced by the former UPA government, each rural family in India is entitled to up to 100 days’ paid, unskilled work a year. The projects are decided at the panchayat level.
The Centre had exercised its powers under Section 27 of the MGNREGA Act to stop funds to Bengal.
Section 27 says: “(1) The Central Government may give such directions as it may consider necessary to the State Government for the effective implementation of the provisions of this Act.”
Sub-section (2) of Section 27 stipulates: “Without prejudice to the provisions of sub-section (1), the Central Government may, on receipt of any complaint regarding the issue or improper utilisation of funds granted under this Act in respect of any Scheme if prima facie satisfied that there is a case, cause an investigation into the complaint made by any agency designated by it and if necessary, order stoppage of release of funds to the Scheme and institute appropriate remedial measures for its proper implementation within a reasonable period of time.”