The Pradhan Mantri Fasal Bima Yojana, launched to safeguard farmers against crop losses due to natural calamities, has come under serious scrutiny in Jhansi after shocking irregularities were uncovered during an official investigation. In several villages, compensation was distributed to far more individuals than the actual number of farmers, with lakhs of rupees transferred into questionable bank accounts.
According to official records, across 495 gram panchayats of Jhansi, a total of 4,19,576 insurance claims were filed for the Rabi 2024 season. Of these, 4,10,190 claims were submitted by Kisan Credit Card (KCC) holders, while 9,386 claims were filed in the category of non-loanee farmers.
Preliminary scrutiny indicates that the bulk of the fraud occurred through non-loanee farmer claims, where verification mechanisms appear to have been systematically bypassed.
Multiple Claims on the Same Land Records
A major case has emerged from Bajna village of Babina block, where blatant manipulation of land records was detected. On Araji number 10/10, crop insurance compensation was sanctioned in the names of Kiran Devi, Savitri, Rajkishore, Ritik, and others — a total of six individuals for the same plot of land.
The same set of beneficiaries again received compensation using Araji number 311/11, effectively duplicating claims on identical land parcels.
What further raised red flags was the fact that none of the beneficiaries maintained bank accounts in Babina block. Most accounts were found to be located in Konch and Moth blocks, suggesting deliberate routing of funds outside the local jurisdiction.
On Araji number 18/42, compensation was again released in the names of Dalchand, Gyandevi, Dhaniram Gautam, and Rachna Devi. In Bajna village alone, 444 individuals received compensation, despite the village having only 95 actual farmers.
Insurance Issued Even on Acquired and Drain Land
An even more alarming case surfaced in Dagarwaha village, where land had already been acquired for the BIDA industrial area, and compensation had previously been paid to landowners. Despite this, crop insurance claims worth crores of rupees were allegedly approved on the same acquired land.
Key findings include:
- On Araji number 703, eight people received compensation amounting to nearly ₹16 lakh
- On Araji number 98, officially recorded as a drain, ₹2.5 lakh was transferred to two accounts
- On Gata number 178, claims worth ₹4 lakh were released in multiple names
Officials confirmed that insurance should never have been sanctioned on such land categories.
A Systematic Misuse of the Scheme
Sources associated with the investigation believe the fraud was executed through the manipulation of online portal entries, misuse of bank account details, and the repeated insurance of the same land parcels under different names.
In several cases, claims were allegedly uploaded through Common Service Centres (CSCs), raising questions about verification processes at the last-mile level.
As the probe progresses, authorities say new linkages and beneficiaries continue to surface, indicating that the fraud may be much larger in scale.
Administration on High Alert
Deputy Director (Agriculture) Mahendra Pal Singh confirmed that a comprehensive investigation is underway.
“Wherever irregularities are established, recovery proceedings will be initiated, and FIRs will be registered. The role of officials and staff involved is also under examination,” he said.
Following similar complaints from other districts, the state government has ordered re-verification of both old and new crop insurance claims, and several suspicious policies have already been cancelled.
Anger Among Genuine Farmers
Genuine farmers have expressed strong resentment, alleging that while they either received minimal compensation or none at all, fake beneficiaries walked away with large payouts.
They argue that lack of transparency and weak verification allowed middlemen and fraudsters to exploit loopholes in a scheme meant for farmer welfare.
With the scam now exposed, affected farmers are demanding strict action against those responsible, recovery of wrongly disbursed funds, and reforms to prevent recurrence.
