The Government has modified the Adarana scheme for backward classes, cutting the subsidy allowed to the beneficiary by 30 percent - from 80 to 50 per cent - and providing for banks'involvement in loan sanctions in contrast to such sanctions made by the Government previously up to Rs.7,000.
The modified scheme provides for allotment of funds in 50:50 ratio among the individual beneficiaries and group activity launched preferably by three or more persons. The process was on to identify the beneficiaries for this year.
According to the Minister for Backward Classes Welfare, Mr. N. Narasimha Rao, who made an announcement to this effect at a press conference here on Tuesday, a budget of Rs.228.56 crores would be spent on the scheme this year, as approved by the State Level Bankers' Committee, and accordingly, an Action Plan had been prepared. For group activity, sanction would be up to a maximum of Rs.1 lakh with the subsidy restricted to Rs.7,000 at maximum for each individual in the group.
The uniform funds pattern being adopted for grounding the schemes would be that 50 per cent of the sanctioned amount was to come from banks, working out to Rs.114.28 crores out of the Rs.228.56 crores, 35 per cent from subsidy (Rs.80 crores) and the balance out of the beneficiary's pocket as contribution (Rs.34.28 crores).
The Minister and the officials present, including the department's Secretary, Mr. A. Raghothama Rao, the BC Welfare Commissioner, Mr. P. Sundar Kumar, and the BC Corporation MD, Mr. Vijay Kumar, clarified that the basic objective of Adarana, however, remained unchanged - provision of modern tools and equipment to artisans for improving their skills.
Beneficiaries under the modified scheme would get assistance/loans under three categories. The first category of beneficiaries would be assisted with tools costing up to Rs.10,000, the second category with tools costing up to Rs.50,000 and the third up to Rs.1 lakh.
On irregularities, the Minister said three Executive Directors - Mr. Nagabushanam (previously at Nellore now at Machilipatnam), Mrs. Vijayalakshmi (Ongole) and Mr. Krishna (previously at Vizianagaram but now in West Godavari) - were suspended and chargesheeted while charge memos were served on three others - EDs of Nizamabad and Srikakulam and assistant ED of Vizianagaram. The MD of the BC Corporation was, however, not able to specify even the number of other officials guilty of purchasing `inferior quality tools' at higher prices.
The Minister said on coming to know of the irregularities, the Government renegotiated the prices of tools, thus saving about Rs.4 crores, which was claimed by suppliers.
The officials explained that most of the enquiries against the guilty suffered because district/Joint Collectors who were made enquiry officers were overloaded with their regular work.
Regarding the Margin Money Programme under which assistance would be given to self-help groups and individuals at 75 and 25 per cent ratio respectively, the BC Corporation MD said they were contemplating employing ex-servicemen to recover the loans under this category, a job at present handled by Village Administrative Officers.
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