Question : Delay in Release of MPLAD Funds


(a) whether any complaints have been received regarding considerable delay in releasing funds from the Members of Parliament Local Area Development (MPLAD) fund despite the recommendations by the Members of Parliament which is hindering development works;

(b) if so, the details thereof during each of the last three years and the current year; and

(c) the steps being taken by the Government to simplify rules so that common and regular reasons for delays could be resolved immediately?

Answer given by the minister


MINISTER OF STATE IN MINISTRY OF STATISTICS AND PROGRAMME IMPLEMENTATION AND MINISTER OF STATE IN MINISTRY OF PARLIAMENTARY AFFAIRS [SHRI VIJAY GOEL]

(a) to (c): Complaints and references regarding delay in release of funds under the Members of Parliament Local Area Development Scheme (MPLADS) at district level are received in the Ministry on a continuing basis. Complaints on receipt are referred to State and District Authorities for taking appropriate action.

Data on year-wise complaints and action taken thereon is not centrally maintained in the Ministry of Statistics & Programme Implementation.

Release of funds under the MPLADS at the Central Government level as well as at the District level is governed by the provisions contained in the Guidelines on MPLADS.

Para 4.2 of the Guidelines on MPLADS stipulates that at the time of the constitution of Lok Sabha, and election of a Rajya Sabha Member, the first instalment of Rs. 2.5 crore is released to the District Authority without any documents. In the subsequent years, the first installment of MPLADS funds is released subject to submission of provisional Utilisation Certificate (UC) of the previous year for at least 80% of expenditure of the first instalment of the previous year. The second installment is released on submission of Monthly Progress Report (MPR) reflecting unsanctioned balance of less than Rs.100 lakh and unspent balance of less than Rs.250 lakh with the District Authority along with the Utilisation Certificate (UC) of the previous financial year and Audit Certificate (AC) of the year prior to the previous year. As soon as the requisite documents and certifications are received, the funds are released by the Central Government.

The District Authorities release funds to the Implementing Agencies in accordance with the State Government’s rules/guidelines applicable for the purpose.

Funds under the MPLADS are non-lapsable, both at the end of the Central Government and at the end of the District Authorities. Members of Parliament can recommend works up to their full annual entitlement without linking with actual release of funds and District Authorities are required to undertake immediate sanction and implementation of the eligible works so recommended.

Implementation of the works in the field is undertaken by the District Authorities, as per the State Government’s technical, administrative and financial rules and in accordance with the Guidelines on MPLADS. For timely execution of works, time-lines for (i) sanction of eligible works, (ii) rejection of ineligible works and (iii) completion of sanctioned works are prescribed in the Guidelines on MPLADS. However, wherever delay in release of funds under MPLADS at district level comes to notice of the Ministry, the matter is referred to State and District Authorities for taking appropriate action.

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