PM Narendra Modi said today that the practice of ‘cut money’ has ended in West Bengal, pointing to direct bank transfers under the Annapurna Yojana scheme as evidence.
The fourth instalment of the Annapurna Yojana is being transferred directly to the bank accounts of nearly 1.5 crore women beneficiaries, according to Modi.
‘Cut money’ refers to the alleged practice of intermediaries deducting a portion of welfare funds before they reach intended beneficiaries.
Direct Benefit Transfer mechanisms route government payments straight into beneficiaries’ accounts, aiming to reduce diversion through middlemen.
The claim comes amid ongoing political debate over welfare delivery and governance in West Bengal, ahead of the state’s upcoming assembly elections.
PM Modi said the fourth instalment of the Annapurna Yojana scheme is being transferred directly to the bank accounts of nearly 1.5 crore women beneficiaries.
The direct bank transfer mechanism is being cited by the government as evidence that the practice of ‘cut money’ has ended in West Bengal.
‘Cut money’ refers to the alleged practice of intermediaries deducting a portion of welfare scheme funds before they reach intended beneficiaries.
Direct Benefit Transfer (DBT) schemes route government payments straight into beneficiaries’ bank accounts, reducing the scope for funds to be diverted through intermediaries.
The Annapurna Yojana is aimed at providing financial support to women beneficiaries across West Bengal as part of the state’s welfare programming.
PM Modi’s remarks on the scheme come amid continued political debate over welfare delivery and governance in West Bengal.
The Indian government has expanded DBT infrastructure significantly over the past decade, covering hundreds of welfare schemes across states.
Aadhaar-linked bank accounts have played a central role in enabling direct transfers, reducing leakage compared to earlier cash or voucher-based systems.
West Bengal has multiple state-run welfare schemes targeting women beneficiaries, with Annapurna Yojana forming one component of this broader support system.
Women at a public information campaign, Paschim Medinipur, West Bengal (representative image), Wikimedia Commons, GODL-India
