Over 10k cases of MGNREGA irregularities flagged in Punjab, Centre hits back during special Assembly session

Union Agriculture Minister Shivraj Singh Chouhan Tuesday said that more than 10,653 cases of financial irregularities were detected in Punjab’s implementation of the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), but no fund has been recovered so far.

His statement came even as the state AAP government convened a special Assembly session to oppose the Centre’s new rural employment law, the Viksit Bharat Guarantee for Rozgar and Ajeevika Mission (Gramin) (VB-G RAM G) Act.

In a video posted on X, Chouhan said social audits were conducted in only 5,915 of the over 12,000 villages in Punjab, during which the large-scale irregularities came to light. “There were a total of 10,653 cases of financial irregularities. Despite the Centre seeking explanations, the Punjab government has taken no action against the erring officials and contractors, nor has it recovered the misused funds,” he said.

पंजाब में मनरेगा में करप्शन के कई मामले हैं। पंजाब में सोशल ऑडिट 13,304 ग्राम पंचायतों में से केवल 5,915 में हुआ। वित्तीय गबन के लगभग 10,653 मामले सामने आए, लेकिन उनमें कार्रवाई नहीं की गई।

केंद्रीय टीम ने जांच कर वसूली की अनुशंसा की तो, उसकी वसूली भी नहीं की गई। जिन्होंने ये… pic.twitter.com/YB0gXkLzdw

— Office of Shivraj (@OfficeofSSC) December 30, 2025

The minister accused the Punjab government of violating the spirit of the Constitution and federalism by calling a special Assembly session to pass a resolution against the VB-G RAM G Act passed by Parliament. “This is against the spirit of federal structure. It appears the state is protesting merely for the sake of protest,” he said.

Punjab has, meanwhile, pushed a resolution in the Assembly against VB–G RAM G, projecting it as a threat to rural employment, while the BJP accused the AAP government of using the issue to deflect attention from alleged corruption and administrative failures in implementing the existing MGNREGA scheme.

Referring to his visit to Punjab last month, Chouhan said MGNREGA workers had personally complained to him about the lack of work. “Workers told me that instead of providing employment to labourers, work was being done using machines and contractors,” he said.

Detailing the alleged irregularities, the minister said the discrepancies included inflated project estimates, the same works being shown repeatedly in official records, and execution of works not permissible under MGNREGA norms.

During Chouhan’s visit to Punjab last month, several MGNREGA workers’ unions had submitted written complaints to him in Jalandhar, alleging denial of work and corruption in the scheme. Following the complaints, the minister had ordered the Punjab government to inquire into the anomalies and had stated that a central team would also visit the state to investigate the matter.

BJP’s Pathankot MLA Ashwani Sharma, who is the party’s state working president, said, “Mandatory social audits were not conducted in 6,095 gram panchayats during 2024–25 and 7,389 gram panchayats during 2025–26.

Sharma further alleged, “Action Taken Reports remain pending in 3,986 cases, while recovery orders worth Rs 2.35 crore, issued following Lokpal/ Ombudsperson inquiries, have not been implemented by the state government.”

‘Issues being investigated,’ minister had said

In November, Punjab Rural Development and Panchayats Minister Tarunpreet Singh Sond had responded to Chouhan’s allegations and stated that the complaints were from a period before the current government came to power.

“We are also investigating into these complaints. In the past six months, we have suspended or dismissed several officials involved in corrupt practices, attached their properties, and recovered Rs 2 crore,” he had said.

Sond had, at the time, also raised key issues with the Union minister, including the wage disparity between Haryana and Punjab. “MGNREGA workers in Haryana get Rs 400 per day, while Punjab pays Rs 346. The Union minister agreed that this should be corrected and assured equal wages,” he had said, adding that Rs 250 crore related to material payments under MGNREGA was still pending with the Centre.