The district administration in Garhwa has launched a stringent crackdown against beneficiaries who have defaulted on loans disbursed under a key state employment generation scheme. District Welfare Officer (DWO) Dhiraj Prakash has issued a stern warning, stating that strict action will be taken against both loan holders and their guarantors if outstanding amounts are not cleared by the year-end deadline of December 31.
Final Notice Served to 280 Defaulters
In a decisive move, the welfare department has served a third and final notice to 280 individuals who have failed to repay their loans under the Mukhyamantri Rozgar Srijan Yojana (MMRSY). This action follows two prior notices issued on September 11 and October 31. The DWO clarified that this final notice was authorized during a recent monthly review meeting, underscoring the administration's resolve to recover public funds.
FIR and Public Shaming for Non-Compliance
Dhiraj Prakash outlined the severe consequences for continued non-payment. The process to lodge First Information Reports (FIRs) against the defaulting loan holders and their guarantors will be initiated. He emphasized that the FIRs would be filed on grounds of misuse and embezzlement of government money provided by the welfare department.
In an additional measure to compel repayment, the administration plans to publish the names and addresses of all loan defaulters in local newspapers. This step aims to apply social pressure and ensure accountability for the funds meant to uplift marginalized communities.
About the Mukhyamantri Rozgar Srijan Yojana
The scheme, operated by the district welfare department, is designed to foster self-employment and financial independence. It provides subsidized loans ranging from Rs 50,000 to Rs 25 lakh to beneficiaries from Scheduled Castes (SC), Scheduled Tribes (ST), Other Backward Classes (OBC), and minority communities. The loans are offered at a highly concessional interest rate of just 6% per annum.
The current crackdown highlights the administration's dual focus: to continue supporting entrepreneurship among underprivileged groups while ensuring the scheme's sustainability by taking rigorous action against wilful defaulters.
