Maharashtra budget 2025: Over 4.3 lakh crop insurance applications rejected due to irregularities

The Maharashtra government has rejected 4.30 lakh crop insurance applications under the PMFBY scheme for Kharif 2024, citing irregularities such as fraudulent claims on government land and false geo-tagging. Minister Manikrao Kokate assured that strict measures are in place to prevent misuse.

More than 4.30 lakh crop insurance applications under the Pradhan Mantri Fasal Bima Yojana (PMFBY) were rejected in Maharashtra during the Kharif 2024 season due to various irregularities, the state government informed the legislative council on Monday.

State Agriculture Minister Manikrao Kokate, in a written response to a query raised by BJP MLC Chitra Wagh, stated that these applications were rejected primarily due to discrepancies such as insurance being claimed on government-owned land, municipal land, areas exceeding actual landholdings, and non-eligible crops.

According to PTI, the minister clarified that no financial loss had been incurred by the government as no insurance premiums were paid for these invalid claims.

"As many as 4,30,443 crop insurance applications were rejected during the Kharif 2024 season, compared to 2,85,468 applications that were turned down in Kharif 2023," Kokate stated. He further mentioned that stringent scrutiny measures had revealed various irregularities, including fraudulent geo-tagging of non-agricultural land as agricultural land.

As per PTI, the minister emphasised that the state government is committed to ensuring transparency and preventing misuse of the crop insurance scheme. He assured the council that action was being taken against fraudulent claims to uphold the integrity of the PMFBY.

Beed district has emerged as a hotspot for such irregularities in both 2023 and 2024, PTI reports. According to the minister, investigations revealed widespread fraudulent activity by Common Service Centre (CSC) operators, who facilitate farmers in applying for crop insurance under the scheme. In light of these findings, licences of 11 CSC operators in Beed were revoked in Kharif 2024, and complaints were lodged against them.

Across Maharashtra, action was taken against a total of 21 CSC operators involved in fraudulent practices. The government has warned that strict measures will continue to be enforced to curb any misuse of the scheme, as per PTI.

Since its inception in Kharif 2016, the Pradhan Mantri Fasal Bima Yojana has seen widespread participation from farmers in Maharashtra. The scheme aims to provide financial security against crop losses due to natural calamities and other unforeseen events.

For the Kharif 2024 season alone, approximately 15 lakh farmers applied under PMFBY, covering around 113 lakh hectares of farmland, the minister stated. However, with the increasing number of rejections due to irregularities, the state government has reinforced its verification process to ensure that only genuine applications receive insurance coverage, PTI reports.

The agriculture department is working towards further strengthening the monitoring mechanisms, ensuring that the scheme benefits the intended beneficiaries while eliminating fraudulent claims. The minister reiterated that safeguarding the interests of Maharashtra’s farmers remains a priority for the state government.

(With inputs from PTI) 

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