Criminal action to be initiated against the panchayat officials for misappropriation of funds under PMAY-G scheme and Indira Awas Yojana (IAY) scheme: Madras High Court

The Madras High Court passed a judgement on 31st of March, 2023 in which it directed the Government of Tamil Nadu to appoint officials to see the genuineness of all the beneficiaries who got allotted through the scheme. This was seen in the case of K. Udhayakumar v. District Collector and Anr. (W.P (MD). No.2286 of 2023) and the case was presided over by Justice D. Krishnakumar and Justice L. Victoria Gowri


The petitioner, filed a writ petition against the local panchayat officials for misappropriation of funds under PMAY-G scheme and Indira Awas Yojana (IAY) scheme. It was alleged that a fake approval was created by the officials for deceased person. The Additional Advocate General submitted that the officials were already charged under Section 17(b) of the Tamil Nadu Civil Service (Discipline and Appeal) Rules. The beneficiaries are also being checked.


The court after hearing the contentions of both parties, was still not satisfied with the progress. Thus, it passed an order directing the Government to appoint officials, not below the rank of Revenue Divisional Official to conduct surveys and examination of records.

The court also voiced that the funds are for building the houses of people from the weaker section of the society and such money should not be misappropriated. Strict action was urged to be taken.

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