MCD launches app to prevent student subsidy misuse in schools – The Times of India

New Delhi: To curb embezzlement and reduce interference of teachers and officials in the distribution of student subsidies, the Municipal Corporation of Delhi (MCD) has introduced an app developed in collaboration with a private bank. This platform enables the direct transfer of Rs 1,520 to each primary school student’s bank account for uniforms, stationery, and bags.
The app allows fund transfers through zonal offices or directly from MCD headquarters and provides real-time updates on transactions, including returned funds. Currently, 4,96,333 students have linked bank accounts. Parents are being asked to submit account and Aadhaar details to streamline the process.
The app, which is presently under trial run, is expected to become fully functional by July 10. “We are expecting to get funds sanctioned from the Delhi govt. By July, our admission processes will be completed. Hence, it will be easier for us to count the actual number of students enrolled, including those who do not have bank accounts. We presently have 5,37,654 students (after the batch of class V passed out),” said an official.
An MCD official stated that once the Delhi government releases the funds, zonal offices will distribute them. In case of delays, MCD headquarters will ensure prompt transfers.
The initiative follows last year’s controversy, where misuse of Rs 30 crore scholarship funds for SC/ST students led to disciplinary action. Two school inspectors were terminated, and two deputy directors were demoted for transferring funds to private accounts to earn interest.
The app will also flag inactive bank accounts daily to avoid delays. MCD schools see around seven lakh enrolments annually, with Rs 108 crore allocated for subsidies. Data on student enrolment and bank accounts is integrated with the Delhi government portal, enabling transparent fund distribution.
Each enrolled student receives Rs 1,100 for uniforms, Rs 300 for stationery, and Rs 120 for school bags annually.


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