CAG Audit Reveals PMKVY Irregularities

Summary of CAG Findings on Pradhan Mantri Kaushal Vikas Yojana (PMKVY)

Key Issues Identified:

• Irregularities: Significant discrepancies noted in the implementation of the PMKVY from 2015 to 2022:
  • Use of placeholder bank account numbers (e.g., “11111111111”).
  • Same photographs used for multiple beneficiaries.
  • Pending payouts for over 34 lakh candidates.
  • Several training centers reported closed.

PMKVY Overview:

• Launch: July 2015.
• Objective: To provide industry-relevant skill training to combat youth unemployment.
• Budget Outlay: Approximately Rs 14,450 crore for three phases:
  • Phase 1: 2015-16
  • Phase 2: 2016-20
  • Phase 3: 2021-22
• Target: Training and certifying 1.32 crore candidates, with 1.1 crore certified by 2022.

Statistics from the CAG Report:

• Of the 95,90,801 participants analyzed:
  • 90.66 lakh had no proper bank account details (94.53%).
  • 12,122 unique bank accounts were repeated across 52,381 candidates.
• Direct Benefit Transfer (DBT):
  • Payments were processed only for 24.53 lakh (25.58%) certified candidates.
  • Successful payments for 17.69 lakh (18.44%).
  • Out of 95.91 lakh, 61.14 lakh (63.75%) received payments through DBT.

CAG's Audit Analysis:

• Verification Issues: The Ministry's data did not provide adequate assurance of participant verification.
• Email Communication: High failure rate of 36.51% in email delivery; only 3.95% response rate from those reached.
• Training Centers: Multiple centers were found closed during inspections.

Recommendations from the CAG:

• Highlighted the need for accurate bank account data during participant registration to facilitate financial transactions.

Ministry's Response & Corrective Measures:

• Strengthened Implementation: The Ministry claims significant improvements in monitoring, accountability, and technology use:
  • Aadhaar-enabled e-KYC.
  • Deployment of face-authentication and GPS-tagging for attendance.
  • Implementation of a unified data platform, the Skill India Digital Hub.
  • Use of QR-coded digital certificates for authenticity.

Additional Details:

• Guidelines: The PMKVY requires candidates to maintain valid bank accounts for DBT payments.
• Monitoring Enhancements: The Ministry announced measures including virtual and physical inspections, improved regulatory oversight, and a penalties framework for non-compliance.

Conclusion

The CAG report highlights significant compliance failures and irregularities within the PMKVY scheme, indicating a need for robust measures to ensure transparency, accountability, and effective distribution of benefits to the intended beneficiaries. The Ministry's commitment to implementing corrective actions demonstrates an ongoing effort to rectify previous lapses.