Nov 28, 2024, 12:16 AM
Nov 28, 2024, 12:16 AM

Investigation launched into DMF fund misuse for tourism in Chhattisgarh

Highlights
  • The Union Mines Ministry's Additional Secretary has ordered an investigation into the misuse of DMF funds related to tourism development.
  • Allegations arose from environmental activist Laxmi Chauhan regarding the classification of Korba district and subsequent fund misallocation.
  • Thorough audits and investigations into the DMF spending are necessary to ensure fund legitimacy and accountability.
Story

In Chhattisgarh, allegations have emerged concerning the misappropriation of District Mineral Foundation (DMF) funds intended for areas impacted by coal mining. The Union Mines Ministry's Additional Secretary has instructed the Chhattisgarh Chief Secretary to conduct a thorough investigation into these claims, particularly regarding spending on the Satrenga Tourism Centre in Korba district. This site, which was significantly funded by DMF resources, has faced scrutiny because it was not directly impacted by coal mining, raising questions about the legitimacy of its funding. Environmental activist Laxmi Chauhan has played a pivotal role in bringing these concerns to light through a formal complaint. She asserts that the district was improperly classified as coal mining-affected, which consequently facilitated the diversion of DMF funds to projects in Satrenga, a tourism destination rather than an area in need of remediation or support due to mining activities. This has led to various audits being called for, as Chauhan noted that such initiatives have historically overlooked Korba, raising further questions about the management of DMF allocations. Reports indicate that DMF funds should be concentrated on areas directly or indirectly affected by mining activities, which Satrenga does not meet under current classifications. The original proposal for the DMF funds aimed to establish a training camp for local residents; however, the project ultimately morphed into a resort-like facility that offers recreational activities. The consequences of these decisions could deeply impact community trust and lead to broader concerns regarding fiscal oversight within the DMF framework. Additionally, the Enforcement Directorate has launched investigations into widespread corruption linked to DMF funds across several regions, with reports of fraud exceeding Rs 600 crore, implicating various government officials. These developments illustrate a systemic issue regarding the stewardship of public funds designed for community improvement and highlight the ongoing fight for accountability and transparency in local governance.

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