The Jharkhand High Court on Monday sought a detailed explanation from the State Government on allegations of irregularities amounting to Rs. 11 billion in the District Mineral Foundation Trust (DMFT) fund. The case, concerning large-scale financial mismanagement in Bokaro district, was heard by a division bench comprising Chief Justice Tarlok Singh Chauhan and Justice Rajesh Shankar. The court has issued a notice to the Government, seeking clarification on the alleged fund diversion and the actions taken so far.
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Petitioner Claimed Massive Fund Misuse Without Work
The petition, filed by Dr. Rajkumar, alleged that between 2016 and 2024, funds meant for the development of mining-affected regions were withdrawn without any work or tender process. Represented by advocate Abhay Kumar Mishra, the petitioner told the court that nearly 80% of the DMFT funds were siphoned off, leaving only 20% used for actual projects. RTI documents obtained from Government offices reportedly reveal that several projects were marked as complete despite no work being executed on the ground. As an example, the petitioner cited a Rs. 3 crores project for installing a lightning arrester at a major intersection in Bokaro, where funds were withdrawn long before the equipment was actually installed. Only after the intervention petition was filed, the installation work reportedly began.
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Court Ordered Reply, Intervention Petition Accepted
Taking note of the submissions, the High Court accepted the intervention petition and asked the State Government to respond to the allegations within four weeks. The court also directed the petitioner to submit supporting documents in the next hearing. During the proceedings, the State Government’s counsel informed the court that the lightning arrester had now been installed. The petitioner has demanded a CBI investigation into the alleged scam, citing the scale of financial irregularities and the potential involvement of officials at multiple levels. The court’s next hearing is scheduled after four weeks.
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DMFT Fund Aimed at Welfare of Mining Affected Areas
The DMFT fund, created under the Central Government’s directive, is intended to improve the living standards of people residing in mining affected areas by funding health, education, and infrastructure projects. However, repeated reports of misuse have raised serious concerns about accountability and transparency in fund management. Following recent media reports on the alleged embezzlement, the High Court took suo motu cognizance of the matter, intensifying scrutiny of how DMFT resources are being spent across Jharkhand.
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