Friday, June 11, 2010

Biometric cards for MGNREGA beneficiaries - Payment at door step through business correspondents who will carry biometric card reader and cash

Beneficiaries of schemes under Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) will now get their wages without haing to go to the bank or post office and without seeking help from middlemen to complete the formalities.

To ensure this, the state rural development department has sign an agreement with Union Bank which will provide biometric cards to the MGNREGA beneficiaries.

The first lot of 5,000 biometric cards will be distributed among beneficiaries of Itki block of Ranchi district. Later it will be extended to other places in Ranchi, Gumla and Bokaro.

MGNREGA commissioner Sunil Kumar Barnwal said once the beneficiaries get the card, they will not have to go to bank or post office to collect their wage. Instead they will get the money at their doorstep by using the card. The project will be launched on a pilot basis at Itki on Wednesday.

The department will make bulk transfer to the facilitating bank which in turn will transfer to the account of beneficiary.

Sources in rural development department said the cardholder will be saved from travelling long distance to reach the nearest post office or bank. They can use the card like an ATM card and withdraw money from business correspondents who will carry biometric card reader and cash.

"The main purpose of providing such cards to the beneficiaries is to save them from middlemen who often take a share from the salary for helping the illiterate villagers in getting their wage by filling cheques or withdrawal slips," said a source, adding: "We expect that the use of biometric cards will also make transactions safe as it reads the finger print of the beneficiary."

Source : Times of India

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