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PM-KISAN: Government Reclaims ₹416 Crore from Ineligible Beneficiaries

Written by: Team Angel OneUpdated on: Mar 20, 2025, 2:23 PM IST
The government has recovered ₹416 crore from ineligible PM-KISAN beneficiaries, ensuring the scheme reaches only those who qualify.
PM-KISAN: Government Reclaims ₹416 Crore from Ineligible Beneficiaries
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The Pradhan Mantri Kisan Samman Nidhi (PM-KISAN) scheme, launched in February 2019, aims to provide financial assistance of ₹6,000 annually to eligible farmers through Direct Benefit Transfer (DBT). 

However, strict monitoring has revealed that ineligible individuals, including income tax payees, PSU employees, government staff, and constitutional post holders, received funds unlawfully. In response, the government has recovered ₹416 crore and reinforced verification measures to maintain transparency.

PM-KISAN: Strengthening Verification and Compliance

To prevent further misuse, the government has made Aadhaar-based payments, land seeding, and electronic Know Your Customer (eKYC) processes mandatory. Payments to farmers who fail to meet these requirements have been temporarily halted, with pending instalments to be released upon compliance. 

These steps ensure that only eligible farmers benefit from the scheme, reducing fraudulent claims and improving fund allocation.

PM-KISAN: Technology-Driven Enhancements

To enhance efficiency, the government has integrated various technological tools:

  • PM-KISAN Portal and Mobile App – Allows farmers to register, track payments, and complete eKYC.
  • Facial Authentication eKYC – Introduced in June 2023, this enables remote verification using face scans.
  • Common Service Centres (CSCs) – Over 5 lakh CSCs assist farmers with registration and verification.
  • AI Chatbot ‘Kisan-eMitra’ – Launched in September 2023, it provides instant assistance in local languages.

Additionally, nationwide saturation drives, in collaboration with State Governments, have expanded enrolment. Since November 15, 2023, over 1.5 crore new farmers have joined the scheme.

Conclusion

PM-KISAN has played a crucial role in supporting farmers, with ₹3.68 lakh crore disbursed across 19 instalments. Research by the International Food Policy Research Institute (IFPRI) highlights its positive impact on rural economic growth, credit accessibility, and agricultural investment. 

With stricter compliance measures and advanced technology, the government aims to ensure that financial aid reaches only deserving beneficiaries, strengthening the agricultural sector’s foundation.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Published on: Mar 20, 2025, 2:23 PM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

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