Forum Seeks Probe Into Rs.1,000 Crore Fisheries Scheme

Allegations of lapses in implementation

Forum for Good Governance has written to the Chief Minister of Telangana seeking an inquiry into the ₹1,000 crore fisheries development scheme sanctioned in 2017–18 and 2018–19 under the direct funding scheme of the National Co-operative Development Corporation (NCDC).

The project, with a loan of ₹600 crore from NCDC, a central grant of ₹200 crore, state subsidy of ₹56 crore and beneficiary contribution of ₹144 crore, aimed to develop fisheries, create employment, and strengthen food security. The Forum stated that instead of constructing new fish farms, fish seed was procured from private contractors in Andhra Pradesh and released late in September and October, leading to yield reduction by up to 60 percent. It also pointed out that 66 markets were constructed at a cost of ₹1,471.80 lakh, including three in Hyderabad costing ₹669.60 lakh, which it claimed were not useful as fishermen continued to sell fish on roadsides.

Loan repayments and missing contributions

According to the Forum, NCDC released ₹800 crore, comprising loan and grant, with interest charged at 10.5 percent compounded monthly and penalties for delayed payments. Between 2017–18 and 2020–21, ₹600 crore loan and ₹200 crore grant were received, while details of the state’s ₹56 crore subsidy and ₹144 crore beneficiary contribution were unavailable.

It stated that against the ₹600 crore loan, ₹543.98 crore as principal and ₹243.26 crore as interest had been repaid, totaling ₹787.24 crore. The Forum also noted that this year, despite sanction of ₹94 crore for 85 crore fish seed, tenders were delayed, leading to late release into tanks. The Forum concluded that the scheme failed to deliver expected results, with public funds spent without satisfactory outcomes, and requested a government inquiry.