Overview
- The Union government has withheld MGNREGA releases to West Bengal since March 2022 under Section 27, citing continued non-compliance with central directives.
- On December 4, Finance Minister Nirmala Sitharaman defended the freeze, alleging 25 lakh fake job cards and misuse, and cited repeated inspection warnings and a July 11, 2025 state report noting ₹4.81 crore recovered with disciplinary action.
- A parliamentary committee earlier reported nearly ₹193 crore misappropriated nationwide, including ₹5.37 crore in Bengal with ₹3.02 crore still unaccounted, as recorded in parliamentary statements.
- In a written reply on December 5, the ministry said ₹3,082.52 crore is due to West Bengal under MGNREGA, including ₹1,457.22 crore in wages for completed work by registered workers.
- The Calcutta High Court ordered resumption of the scheme in June and the Supreme Court sustained that order in October, while TMC MPs protested in Parliament alleging harm to rural households from unpaid wages.