Department of Minorities fails to utilize grants released for student education
Bengaluru: A significant portion of funds allocated for educational and welfare programs aimed at minority communities remains unspent by the Karnataka Minority Welfare Department, raising serious concerns about the implementation of these initiatives.
For the 2024-25 financial year, the government allocated Rs 2,517 crore for various minority welfare initiatives. However, by December, only Rs 1,400 crore had been released and just 816 crore spent. With 42% of the released funds still lying unspent, the Minority Welfare Department has failed to effectively utilize the funds, leading to setbacks in programs meant to support students and other beneficiaries.
Take for instance the Vidyasiri scholarship program, which was allocated Rs 24.99 crore to provide financial support to minority students. Out of this, Rs 18.74 crore was released by December 2, 2024. Shockingly, none of the released funds have been spent, and the department has simply held onto the money instead of distributing it to the intended beneficiaries.
Another crucial program meant to train minority students for competitive examinations also saw similar inefficiencies. The government had allocated Rs 17.15 crore for this initiative, with Rs 12.86 crore being released. However, by December 2, only Rs 6.31 crore had been spent, meaning that more than half of the available funds remained unused. The scholarship budget for minority students stood at Rs 100 crore, but Rs 46 crore of this allocation remained unspent.
Concerns over the lack of fund utilization were raised during a KDP meeting held on November 18, 2023, under the chairmanship of the Chief Secretary. Officials disclosed that both the central and state governments had failed to provide their share of funding for centrally sponsored minority welfare schemes. The state government had allocated Rs 83 crore for such programs, while the central government had promised Rs 100 crore. However, by the end of October, not a single rupee had been released from either side.
A similar situation was observed in the Pradhan Mantri Jan Vikas Programme, which is linked to the Minority Welfare Department. The state government had allocated Rs 83 crore for this scheme, with the Centre adding Rs 100 crore. However, by the end of October, none of these funds had been disbursed.
The lack of fund distribution has severely impacted various departmental schemes meant to benefit minority communities. A budget of Rs 160 crore had been set aside for scholarships and fee reimbursement, but by October, only Rs 2.29 crore had been released, and of this, merely Rs 0.10 crore had been spent. Similarly, Rs 110 crore was earmarked for community development projects, yet only Rs 1 crore had been released by October.
The situation was no different for financial assistance programs supporting MPhil and PhD students from minority backgrounds. Out of a budgeted Rs 6 crore, only Rs 2.33 crore was spent by the end of October. Fee refunds for students were also significantly delayed. Although Rs 25 crore was allocated for this purpose, not a single penny had been disbursed for six months, leaving thousands of students without reimbursement.
Maulana Azad School, which had been allocated Rs 68.29 crore for college maintenance and new hostel development, received Rs 43.55 crore. Out of this, Rs 35.38 crore was spent. Meanwhile, Rs 347.89 crore had been budgeted for the maintenance of hostels and residential schools, but only Rs 181.42 crore had been released by October, and only Rs 123.12 crore was utilized.
Poor fund utilization extended to economic assistance programs as well. Under the Shram Shakti Loan Scheme, which was meant to provide financial aid to 1,000 individuals, Rs 5 crore had been allocated. However, not a single rupee was distributed, despite an earlier expenditure of Rs 11.01 crore being recorded.
The continued failure to utilize funds effectively has affected thousands of beneficiaries, causing delays in scholarships, education programs, and financial aid. As the financial year nears its end, concerns are growing over the unspent funds and the impact on minority communities who rely on these government initiatives.
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LoP Ashoka accuses Karnataka govt of 'diverting' SC/ST funds for guarantees
Bengaluru (PTI): Leader of the Opposition in the Karnataka Assembly, R Ashoka, on Tuesday accused the state government of "diverting funds" meant for Scheduled Castes and Scheduled Tribes under the SCSP and TSP components to finance its guarantee schemes. He also alleged that the budget presented by Chief Minister Siddaramaiah has undermined the principle of social justice.
During the discussion on the 2026–27 state budget in the assembly, the BJP leader claimed that substantial portions of funds earmarked for Dalit welfare had been diverted for other schemes over the past four years.
He also questioned the implementation of allocations under the Scheduled Caste Sub-Plan (SCSP) and Tribal Sub-Plan (TSP), saying the government has "failed" to ensure that the money actually reached the intended communities.
“Today, the money here has been diverted. In this diversion of funds, social justice has been ignored. If the money meant for Dalits is looted, can that be called social justice?” he asked while criticising the government’s handling of SC/ST allocations.
According to the opposition leader, around Rs 14,198 crore had been diverted in the current financial year alone from SCSP and TSP allocations to various guarantee schemes announced by the government.
Listing the expenditure under these programmes, the former Deputy CM said Rs 8,296.32 crore had been allocated for the Gruha Lakshmi scheme, Rs 1,537 crore for Shakti, Rs 1,612 crore for Anna Bhagya, Rs 2,591.6 crore for Gruha Jyothi and Rs 1,062 crore for Yuva Nidhi.
“In total, Rs 14,198 crore has been diverted this year,” he said.
He further claimed that the diversion of funds had increased over the years.
“In 2023–24, Rs 11,144 crore was taken from SC/ST funds. In 2024–25, Rs 14,282.68 crore was taken. In 2025–26, Rs 13,343.84 crore was taken. In 2026–27, Rs 14,198.97 crore has been taken.”
“This amount keeps increasing year after year. In total, Rs 53,059.45 crore belonging to SC/ST communities has been taken during Siddaramaiah’s tenure,” he added.
Ashoka said that although the budget documents projected large allocations for Dalit welfare, the actual funds reaching the beneficiaries were significantly lower.
The government had earmarked Rs 44,632 crore for SC/ST communities in 2026–27, but once the diversion towards guarantee schemes was removed, the effective amount available was much less, he added.
The BJP leader also referred to a review meeting on January 31 to examine the utilisation of SCSP and TSP funds.
As per the review, Ashoka said only a part of the sanctioned amount had actually been released and spent.
“For SCSP, Rs 29,872 crore was allocated, but by January 27, only Rs 16,699 crore had been released, and the expenditure was Rs 15,391 crore."
Similarly, under the Tribal Sub-Plan, he alleged that Rs 11,900 crore had been allocated, but only Rs 6,521 crore was released and Rs 6,002 crore spent by the end of January.
“Even after eleven months, only about 50 per cent of the funds were released by the Finance department.”
Ashoka also criticised the allocation of SC/ST funds to departments and schemes that he said had little direct relevance to the welfare of those communities.
These included wildlife conservation programmes in the forest department, the tiger conservation project, maintenance of hospital buildings, and IT policy formulation.
“How are Dalits related to wildlife conservation? Are there SC tigers and ST elephants? How can funds meant for Dalits be used for tiger conservation?” he asked.
He also objected to funds being allocated from SC/ST components to institutions such as the Sanjay Gandhi Trauma and Orthopaedic Institute in Bengaluru and for Public Works Department buildings.
The opposition leader also charged that the government hiked taxes and prices of various commodities and services ranging from milk to petrol, vehicles, drinking water, sewerage cess, electricity, metro rail and bus fare, school and college fees, property taxes in Bengaluru, property e-Khata fee, A-Khata conversion, exam fee and birth and death certificate issuance.
“People are being taxed for digging cellar. The mines and geology department has issued notices to people. This is unheard of for me,” Ashoka said.
