It has come to notice that 53% of institutions under a minority scholarship programme across several states are fake, leading to a Rs 144.83-crore scam over 5 years

: Union Minister Smriti Irani has ordered a CBI inquiry into the issue.

Investigations revealed for the year 2018-2019, a single mobile number was associated with all 2239 scholarships. In the period between 2019 and 2020, a total of 577 scholarships were linked to a single mobile number.

The investigation encompasses over 8 crore scholarships across 21 states, with 80 percent of them directed towards Muslim groups. At present, fake madrasas, tribal schools and officials are under investigation

Notably, the scholarship program under the Minority Ministry covers around 1,80,000 institutions. Launched in 2007-08, the initiative provides scholarships to students from class 1 to higher education. During Ministry’s internal investigation, it was found that these fake beneficiaries were claiming the scholarships meant for minority students every year.

On a state-wise analysis, the data becomes scarier as in many states more than half of the registered institutions were found to be fake or non-existent – for example, in
Chhattisgarh (100%)
Rajasthan (77.34%)
Assam (68%)
Karnataka (64%)
Uttar Pradesh (44%)
West Bengal (39%).


*This data is based on no. Of institutions so far investigated.

In Malappuram, Kerala, one bank branch disbursed 66,000 scholarships. These were higher than the registered number of minority students eligible for scholarships.

In Anantnag, Jammu, and Kashmir, a college received 7,000 scholarships despite having 5,000 registered students.

But the question is why did such an inquiry take place ?


In July 2022, the union government stopped the scholarship given to minority students, totalling around 4 million, from Class I to Class VIII. The government had expected a major backlash, but since that didn't happen, officials got suspicious and an investigation was conducted by the National Council of Applied Economic Research (NCAER).

The NCAER filed its first report, covering 1,572 minority institutions in 21 states, in the first week of July. The investigation found that as many as 830 (53%) of these institutions were non-existent or had no students registered. As much as ₹144.83 crore had been transferred to those who were claimed to be students at these institutions till 2021-22.

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