CAG finds 88.73% of MGNREGA projects unimplemented in Kerala due to extra targets

This performance audit by the CAG examined the implementation of the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) in the Government of Kerala for the period from 2019-20 to 2023-24.

Government of Kerala; specifically the implementation of MGNREGA across Grama Panchayats in Thiruvananthapuram, Palakkad, and Kasaragod districts.

• ₹269.27 crore in wages was paid after 16 to 90 days of muster roll closure, and ₹39.24 crore was paid after three months.
• ₹43.59 crore remained outstanding as of December 2024 for unskilled/skilled wages, material, and taxes.
• 19,792 transactions for wages and material were pending regeneration for six months to over four years.
• ₹16.05 crore was paid as salaries to 33 government employees from MGNREGA administrative expense funds, violating central instructions.
• 88.73% of individual projects included in Annual Plans were not implemented due to state-imposed targets overriding Grama Sabha demand.
• 44.01% of surveyed beneficiaries were not enrolled in any insurance schemes (PM-JAY, Aam Admi Bima, or PMSBY).
• Only 3,272 members received skill training under Project UNNATI despite 22.53 lakh households being eligible.
• The wage-to-material ratio fell below the mandated 60:40, with material share ranging only between 11% and 18%.
• CAG found malpractices in Pudur GP involving fraudulent muster roll entries and misappropriation of funds.
• CAG noted the absence of a convergence plan and failure to appoint independent quality monitors.

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