Kolkata: The Calcutta High Court on Wednesday directed that the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) scheme must be resumed in West Bengal from August 1, while permitting the Centre to impose conditions due to alleged financial irregularities in fund disbursement. The court also allowed the ongoing investigation into these allegations.
The verdict came from a division bench of Chief Justice TS Sivagnanam and Justice Chaitali Chatterjee (Das), responding to a petition filed by the Paschim Banga Khet Mazdoor Samity, a farmers’ group that challenged the suspension of payments to workers under MGNREGA.
The court said that past allegations (prior to 2022) should not halt future implementation of the scheme.
“The scheme does not envisage a situation where it would be put to cold storage for eternity,” the Chief Justice remarked.
“The Centre has sufficient means to investigate irregularities. But implementation must proceed.”
West Bengal received ₹7,507.80 crore under MGNREGA in 2021-22 but has not received any funds since the Centre suspended payments on December 24, 2021, citing Section 27 of the Act, which allows the stoppage of funds if misuse is suspected.
Mamata Banerjee Responds: Seeks Arrears, Calls for Justice
West Bengal Chief Minister Mamata Banerjee said her government “welcomes the judgment” but would “review the order,” stating that arrears of central funds have been pending for over four years.
“We welcome the judgement but our government will review it because we will first ask for the arrears pending for over four years. Beneficiaries who had put in labour should be paid in full,” Banerjee said.
She also criticised the political targeting of Trinamool Congress (TMC) leaders.
“When our MPs and MLAs went to Delhi to demand these funds, police cases were registered against them. Have you forgotten that?” she added.
Political Background: BJP-TMC War Over MGNREGA
The suspension of the Centre’s 60% share of the MGNREGA funds became a major flashpoint between the TMC-led Bengal government and the BJP-led central government. The TMC has repeatedly alleged that the suspension is politically motivated and selectively targets Bengal, despite similar irregularities in BJP-ruled states.
Banerjee, in the past, claimed that states like Uttar Pradesh and Madhya Pradesh had more fake job cards than Bengal. She also accused the Centre of “false propaganda” after a CAG report alleged delays in fund utilisation certificates.
In early 2024, the Enforcement Directorate (ED) raided multiple locations in Bengal in connection with the alleged scam, which TMC leaders described as “political vendetta.”
BJP Reacts: Supports Resumption but Demands Accountability
Bengal BJP chief spokesperson Samik Bhattacharya defended the Centre’s actions and welcomed the court’s order.
“We, too, want the scheme to start. But the High Court has allowed the Centre to investigate and impose restrictions because funds were embezzled. The Centre is accountable to taxpayers and to the CAG,” he said.
Outlook
With the court’s direction, MGNREGA is set to resume in Bengal after a nearly three-year pause. However, the political battle over financial control, accountability, and federal cooperation is far from over. The Centre’s conditions and the state’s demand for arrears may trigger fresh rounds of negotiation—and confrontation—in the coming weeks.