A Calcutta High Court Bench of Chief Justice TS Sivagnaman and Justice Hiranmay Bhattacharya has held that while it is essential to eliminate dummy accounts allegedly benefitting from the Centre's MGNREGA scheme, the government must also ensure that genuine works do not suffer in the process.

In that context, the Court said, "If in the opinion of the Central Government there has been misappropriation of funds and the actual beneficiaries have not been benefited, as it is alleged by the petitioner in W.P.A.(P) 555 of 2022 that job cards have been issued in the names of persons, who are not living in the villages and are even gainfully employed in private organizations and it is also alleged that dummy bank accounts have been opened to receive the payments for the fictitious job etc, the endeavour of the authority should be to separate the chaff from the grains. If genuine persons have offered themselves for employment under the provisions of the Act of 2005 and they have satisfactorily completed the work, then it goes without saying that those employees and workmen are entitled for disbursement of wages in accordance with the provisions of the Act and the Schemes framed thereunder."

Ld. Dy. SGI Billwadal Bhattacharya and Arijit Majumdar appeared for the Union of India. Counsel Bikash Ranjan Bhattacharya, among others, appeared for the petitioners. Ld. AAAG Samrat Sen, among others, appeared for the State.

In this case, the petitioner sought for issuance of a writ of mandamus to direct the respondent authorities to forthwith release payments and wages to the workers in the State to the tune of Rs.276484.47 lakhs along with statutory interest to workers who worked under the schemes of the Mahatma Gandhi National Rural Employment Guarantee Act, 2005.

The Court observed that it had to be borne in mind by the concerned authority that the object of the scheme needed to be fulfilled that the Act of 2005 was enacted to provide for enhancement of livelihood security of the households in rural areas of the country. In furtherance, it was said that "it should be the endeavour of all the concerned authorities to ensure that the benefits under the Act of 2005 as well as the schemes, which have been formulated under the Act of 2005 are implemented".

In light of the same, the Court held that the inquiry to be conducted has to proceed in an appropriate manner so that the persons, who have actually worked are not denied the wages for the labour, which they have contributed.

The matter has been listed along with a connected writ for further hearing in July.

Cause Title: Paschim Banga Khet Mazdoor Samity & Anr. v. The Union of India & Ors

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