November 28, 2001
'5'RAJYA SABHA
DIVERSION OF FUNDS IN NORTH-EAST
During the North-Eastern Council meeting held in Delhi recently, the Union Home Minister, Shri L.K. Advani expressed concern over the diversion of Government funds to separatist forces in the North East. Instances of diversion of Government funds by some of the Non-Governmental Organisations (NGO) in North-Eastern region particularly in Manipur have been brought to the notice of the Home Ministry. This was stated by the Minister of State for Home, Shri Ch. Vidyasagar Rao in the Rajya Sabha today. He said a close watch is being kept on the activities of Non-Governmental Organisations (NGOs). The State Governments of Manipur & Assam have registered cases against the All Manipur Students Union and Manab Adhikaar Sangram Samiti for their alleged links with the militant organizations. State governments register cases whenever specific cases of violations of law are detected. Ministry of Home Affairs have issued instructions in December, 2000 to all Ministries/Departments of the Government of India to suspend further allocation of funds to Non-Governmental Organisations in Manipur until a thorough personal verification is carried out of the utilization of funds by senior officers from the Government of India. Ministry of Home Affairs, in February, 2001 has inter-alia clarified that if on inspection, it is found that the funds have been properly utilized, the Central Ministries/Central Agencies can go ahead with the further release of funds as per approved schemes. Hence, those genuine Non-Governmental Organisations, who are found to have properly utilized funds, are eligible for further funding by the Ministries. In case, funds are not utilized, or mis-utilised, the Central Ministries/Agencies, should blacklist the Non-Governmental Organisations and take further action as per law.