1.54 lakh pending applications for TSMFC to be trashed

Hyderabad: About 1.54 lakh pending applications for the bank linked subsidy scheme of TSMFC (Telangana State Minority Finance Corporation) are likely to go in the trash. The government is under pressure from banks to reconsider these applications which were meant for the scheme of 2015-16, but applied in 2017. 

According to official sources, the applications which were submitted by the loan aspirants under bank linked subsidy scheme of the TSMFC remained pending for the last one year. Even though some of them were processed, they remain negligible. 

Pending applications for below Rs 1 lakh are about 31,000, for between Rs one and Rs two lakh is 80,000 and for above Rs two to Rs 10 lakh are 43,000 applications. These were applied for the scheme of 2015-16, but since the current year is 2018-19, the banks are insisting on fresh look. “Owing to the delay, the banks are now asking the government to have a fresh look, as there could be changes like change of address or any other changes,” said an official source. 

Even the budget released during the 2017-18 for the Minority Finance Corporation was about half of what was allocated. The officials are scratching their heads, even as more than 1.5 lakh applications remain pending. Regular meetings on this issue are being held with Finance Minister and Secretary to make a decision on this. “Decisions have to be taken on these pending files,” added the source. 

Earlier Civil Society groups have raised questions about the method being adopted for processing of applications of bank-linked subsidy scheme of the TSMFC. They have alleged most of those (about 0.5 per cent of total applications) were declared eligible but have actually lobbied through bankers, even as authorities skipped the guidelines. As per the guidelines, under GO Ms 101 (Social Welfare Department) for selecting the beneficiaries,  agencies (all welfare departments) should conduct beneficiary identification camps at Mandal level as well as district level to ensure selection of eligibility of applicants.

But the ground reality was that the applications of the candidates who were able to get endorsement from the banks were given the first priority, while those who believed in norms remained in waiting list. “In this case, no camps were organised and the selection of beneficiaries was done randomly. This clearly shows the negligence of TSMFC and the district administration to implement the scheme as per the GO Ms 101,” said S Q Masood, Joint Secretary, Association for Socio-Economic Empowerment of the Marginalised (ASEEM).

BY Md Nizamuddin