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Posted on: 2011-12-27/22:28:59 India - Fraud & Cyber Crime News Others/
In a narrow street through Keregodu village in Karnataka's Mandya district, senior citizens, all 65-plus, watch out for stray cows, and the occasional tourist, as they pensively wait in front of the local post office for their pension money orders.

Three hours later, a post office official cycles in and says Ee thinglu hana illa. Bere yaro thagond hogidhare" in Kannada the money had already been collected by someone. The crowd disperses without a murmur.

In this south-eastern district of Karnataka, thousands of pensioners haven't received their pension and entitlements for months it is siphoned off in transit. Even worse, out of the 2,95,525 pensioners in the district --whose allowances get released from the state treasury every month names of 37,000 are missing causing a monthly loss of nearly Rs 1.48 crore to the exchequer (or Rs 17.76 crore a year). The state also suffers on account of distribution and delivery losses for pensioners whose name exists but still do not get their money.

But the situation in Mandya, a thriving agricultural town till the late 1980s, is set to change with the state government along with the Reserve Bank of India and IT services firm Ventura Infotech digitising the entire pension records and issuing smart cards to pensioners to plug the leakage.

It is perhaps one of the biggest financial inclusion projects where technology can come to aid of thousands of old and poor farmers, widows and other rural pensioners. But that's only the first part.

For the last-mile authentication and financial transaction, the state government has tied up with a Karnataka-based private bank. A bank correspondent will now be sent to each pensioner's house with a card-reader where the pensioner would swipe his smart card and give his thumb impression.

Once the bank receives the data at its central server, the amount would be credited to the pensioner's bank account. The system is expected to fight ground-level corruption by cross-checking the pensioner's identity against multiple database, making it difficult for any single agency or person to log false information.

The impact

The initiative can have far reaching impact on the transparency of various government enterprises in the district," says Rajendra Prasad, tahsildar at Mandya Taluk, part of the district, who supervises the project. We didn't know where the money was going.

Thousands of pensioners lost their money and the credibility of various government agencies were at stake. This initiative is expected to make a huge difference." Paltry even by rural standards, Prasad believes the local pension of Rs 400 per month would nevertheless help pensioners when it comes to buying medicines and saving up for an arid summer.

Information and communication technology has made great advances in the society. But with initiatives such as digitising records, which were being

managed till now by three different departments, technology takes the role of a change-agent for thousands of people and their lives," says PC Jaffer, deputy commissioner of Mandya.

Officials say by kick-starting the district's largest electronic governance initiative, the state government expects to save the entire annual loss of Rs 17.76 crore.

The initial phase has already begun at Mandya Taluk where 52,000 beneficiaries have been photographed for smart card delivery and bank account opening. Physical verification of all pensioners eligible for benefits will now begin in the rest of the district.

Once successful, the project will be carried out in Bellary, Gulbarga and Chamrajnagar. The e-governance project is not the only technology pilot happening in Mandya. Last February, IBM Research, the R&D division of IBM, started pilot projects for one of its initiatives called the Spoken Web in Mandya. According to IBM, the project aims to connect "billions of people without sufficient literacy, without regular access to a computer" with a voice-driven Internet that can be accessed through mobile phones.

The critic

However, not all e-governance projects have been qualified successes. For one, a districtlevel NREGA project again in Karnataka --to identify the number of job seekers against the number of beneficiaries faced economists' flak for throwing up untenable data.

While the use of technology aids government agencies, it cannot control corruption within organisations, says Narendar Pani, economist and professor at the National Institute of Advanced Studies in Bangalore. "The NREGA pilot project had surprising results. It showed that the number of beneficiaries were higher than the entire districts population. Digitising records may make it easier to execute and analyse work, but it is no solution to detect the error, adds Pani.
Source: T I Location : Mumbai  


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