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Now, Cash Instead Of Food On Public Distribution System (PDS) Cards


By Sumit Kumar, Section News
Posted on Tue Aug 05, 2008 at 02:54:19 AM EST

Following the Rs 257 crore ration card scam that hit the headlines last month, the government is thinking of a cashfor-subsidy scheme that will involve depositing a fixed amount in the bank accounts of those Above Poverty Line (APL) and Below Poverty Line (BPL) families that possess ration cards.

If the scheme proves successful, this may actually mean the end for ration shops in the city that are crucial in the routing of public distribution system (PDS) supplies to the black market.

As a pilot, the scheme will be introduced in a single circle of the food and civil supplies department of the city The department had 70 such circles.

The idea, according to food and civil supplies officials, is to ensure that the benefits of the government subsidy reaches those it is intended for "The government provides foodgrains at approximately one-third the market price to these ration card holders. Instead of giving them the foodstuff, the government can put the money in the card-holders' bank account. We have received an in-principle clearance from the Government of India. Of the 70 food circles in Delhi, we will select one for the pilot of the scheme," said Vijay Dev, Delhi food and civil supplies commisstoner At present, no other state offers money in place of food. Dev said that with the money being submitted in the bank accounts of the card-holders, it would be much easier to trace the trail of money "At present, the fake ration cards are mostly kept by PDS shops in nexus with department officials and local politicians.

Wheat from PDS is sold to big flour mills as this wheat is cheaper than the market price," said an official.

From: Hindustan Times, August-05-2008

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