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Probe into misuse of Mineral Foundation Funds

  • Published
    2nd Mar, 2022

Recently a Chhattisgarh MLA demands an inquiry by a central agency into the alleged misuse of the District Mineral Foundation (DMF) funds in the state.


About District Mineral Foundation (DMF):

  • District Mineral Foundations are statutory bodies in India established by the State Governments by notification.
  • They derive their legal status from section 9B of Mines and Minerals (Development and Regulation) Act, 2015.
  • Each District Mineral Foundation is established by the State Governments by notification as a trust or non-profit body in the mining operation affected districts.
  • Objective: The objective of District Mineral Foundation is to work for the interest of the benefit of the persons and areas affected mining related operations in such manner as may be prescribed by the State Government.
  • The Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY) will be implemented by the DMF's of the respective districts using the funds accruing to the DMF.
  • The various state DMF rules and the Pradhan Mantri Khanij Khestra Kalyan Yojana (PMKKKY) guidelines stipulate some “high priority” issues for DMFs, including:
  • Drinking water
  • Health
  • Women and child welfare
  • Education
  • Livelihood and skill development
  • Welfare of aged and disabled
  • Sanitation

About Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY):

  • The programme is meant to provide for the welfare of areas and people affected by mining related operations, using the funds generated by District Mineral Foundations (DMFs).
  • The overall objective of PMKKKY scheme will be
    • to implement various developmental and welfare projects/programs in mining affected areas, and these projects/ programs will be complementing the existing ongoing schemes/projects of State and Central Government
    • to minimize/mitigate the adverse impacts, during and after mining, on the environment, health and socio-economics of people in mining districts
    • to ensure long-term sustainable livelihoods for the affected people in mining areas
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