Centre asks states to complete audit of DMF by this fiscal

The Centre has advised the states to complete the audit of District Mineral Foundation (DMF) up to FY2018 by the end of current financial year.

"Most of states have carried out or are in the process of carrying out the audit of DMF," Minister of State for Mines Haribhai Parthibhai Chaudhary said in a written reply to the Lok Sabha.

All states, he said, have been advised to complete the audit up to the year 2017-18 by end of current financial year.

"Ministry of Mines vide letter dated October 4, 2018 has requested the state governments to audit the funds of DMF utilised under PMKKKY (Pradhan Mantri Khanij Kshetra Kalyan Yojana)," he said.

The minister said, as per the guidelines of September 16, 2018, the accounts of DMF will be audited every year by the Chartered Accountant appointed by the DMF, or in such other manner as the government may specify.

"Section 9B of the Mines and Minerals (Development and Regulation) Act, 1957 provides for establishment of ....DMF in each district affected by mining related operations," the minister said.

The government had earlier said that at least 60 per cent funds of the DMF, which are being spent for benefit of people affected by mining-related operations, will be utilised in high priority areas like drinking water and pollution control.

It had said that to facilitate synergy in implementation of DMF across states, the centre has launched the Pradhan Mantri Khanij Kshetra Kalyan Yojana with the objective of welfare of areas and people affected by mining-related operations.