The previous AIADMK government led by Edappadi K. Palaniswami and the DMK government led by M.K. Stalin in its initial years failed to provide adequate publicity for the educational scholarship schemes of the State, leading to the non-coverage of eligible Scheduled Caste/Scheduled Tribe students.

This has come to light in the Comptroller and Auditor General (CAG) of India report, which contains the results of a Performance Audit on ‘Educational Scholarship Schemes for Students belonging to SC/ST/SCC [Scheduled Caste converted to Christianity]’ in Tamil Nadu.

The instances mentioned in the report are those which came to be noticed during the test audit covering the period 2017-23, as well as those which came to the fore in earlier years but could not be reported in the previous audit reports.

During 2019-22, an average of 46% and 39% of the schools in eight sampled districts did not avail themselves of the Pre-Matric and Post-Matric Scholarship Schemes respectively for SC/ST students, the report pointed out.

The non-coverage of potentially eligible SC students under the Pre-Matric and Post-Matric schemes ranged from 21% to 52% and 20% to 29% respectively during the period 2019-23. Similarly, the non-coverage of potentially eligible ST students under the Pre-Matric and Post-Matric schemes ranged from 35% to 55% and 30% to 42% respectively during the same period.

During 2017-22, 2,901 students who were sanctioned the Pre-Matric and Post-Matric SC/ST scholarships dropped out/were excluded in the following year, according to the report.

Additionally, physical scrutiny of 9,076 Pre-Matric and Post-Matric scholarship applications in sampled institutions/schools revealed that the income/community certificates were not found attached to 2,569 sanctioned applications (28%). Besides, there was a lack of transparency and arbitrariness/discretion in the admission process at private institutions for admissions under the Management Quota.

Further, the failure to ensure whether the stipulated procedure was followed while giving admission to students under the Management Quota resulted in the ineligible grant of scholarship to students, thereby violating the scheme guidelines, the report pointed out.

Delayed or non-payment of scholarship

During 2017-23, the payment of scholarship was delayed in 36,510 instances, wherein an amount of ₹7.28 crore was paid to SC/ST beneficiaries in the sampled institutions – the delay ranging from one month to more than one year.

A scholarship amount of ₹1.61 crore was not credited to 3,530 SC/ST/SCC beneficiaries’ bank accounts for reasons such as the students’ bank accounts being blocked or frozen, closure of accounts, or the absence of accounts etc., and was returned during the period 2017-23.

During 2021-23, 2,576 SCC students, who were not eligible to receive Central funds, were paid 60% of the scholarship from the Central share, resulting in the incorrect payment of ₹3.64 crore, the report charged.

As per its recommendations, the CAG said the government should intensify the publicity measures and proactively identify the eligible SC/ST students from the poorest eligible households so as to enroll them under the Centrally sponsored schemes.

It recommended ensuring transparency in admissions under the management quota, identifying students dropping out, scrutinising applications, releasing scholarship amounts in time, and plugging the loopholes in the system. In response, the government agreed to take corrective measures wherever required.