tgnns logo

SERP AP Financial Mismanagement and Diversion of Funds by YSRCP

SERP AP Financial Mismanagement and Diversion of Funds by YSRCP

The YSRCP administration has come under scrutiny for transforming the Society for Elimination of Rural Poverty (SERP), which plays a crucial role in empowering women through self-employment initiatives, into a disorganized entity. The government has been accused of prioritizing promotions and salary hikes for those loyal to the party, diverting funds, and compromising the organization’s primary mission.

Allegations of Favoritism and Mismanagement

SERP’s Core Mission Undermined by Political Appointments

SERP, established to eradicate rural poverty by empowering women through self-employment, has been reportedly misused by the YSRCP government. Over the past five years, the organization has shifted focus from its mission, instead providing employment to YSRCP workers and sympathizers. The state office has seen an influx of personnel selected for their allegiance to the party, with numerous appointments made on the recommendations of YSRCP leaders. These new recruits have enjoyed arbitrary salary increases and promotions, a practice that has drawn criticism for undermining the meritocratic principles the organization was founded upon.

Financial Misappropriations

Diversion of Central Government Funds and Misuse of Savings

SERP has also faced allegations of financial mismanagement. Funds provided by the central government under the National Livelihood Mission and Rs. 2,100 crores saved by DWCRA women under the Abhaya Hastham scheme have been reportedly diverted. Additionally, Rs. 1,000 crores borrowed from banks for women’s self-employment initiatives have been misused. These diversions allegedly occurred under the tenure of CEO Imtiaz, who later contested and lost the MLA election from Kurnool as a YSRCP candidate.

Misuse of Survey Funds

Questionable Expenditure on Surveys

In a controversial move, Rs. 110 crores from SERP funds were redirected to a survey organization called ‘Y Creators’ to gather public opinion on the Navaratna schemes. Critics argue that this expenditure was unnecessary and contributed to the financial strain on SERP.

Unregulated Promotions and Salary Hikes

Consultants and Promotions without Proper Approval

Between 2019 and 2024, the YSRCP government appointed 30 consultants at the SERP state office, with 10 selected on the recommendation of then Panchayati Raj Minister Peddireddy. CEO Imtiaz also appointed several individuals, many without proper authorization from the finance department. While long-serving employees saw no salary hikes, the new appointees received annual raises. The human resources department similarly experienced arbitrary salary increases.

Political Appointments Influence Operations

Influence of YSRCP Leaders in SERP Operations

Many current SERP directors are reportedly YSRCP loyalists. During the party’s tenure, several appointments were made on the recommendation of MP Avinash Reddy from the YSR district, with salaries paid from district federations.

Irregularities in Cheyutha Marts

Construction of Cheyutha Marts and Allegations of Corruption

The YSRCP government constructed 51 Cheyutha Marts across the state, collecting Rs. 200 to Rs. 300 from each DWCRA woman under the guise of investment. Key SERP officials allegedly received substantial kickbacks from these funds, with the majority of construction contracts awarded to a single company amid allegations of financial irregularities. The women investors did not receive any share of the profits, and the marts primarily sold private company products rather than DWCRA goods.

Resistance to Government Orders

Stree Nidhi MD Defies Directives

Retired officials appointed during the previous government’s tenure have stepped down following the new government’s orders. However, Stree Nidhi MD Namcharya, known for his loyalty to YSRCP, has reportedly defied these directives. His tenure has seen allegations of fund misappropriation, prompting the current government to explore legal action against him.


Restoring SERP’s Mission

To realign SERP with its original mission of empowering women through self-employment, a comprehensive overhaul is essential. Addressing the issues of favoritism, financial mismanagement, and corruption is crucial for restoring public trust and ensuring the organization can effectively serve its intended purpose. The focus must return to creating sustainable livelihoods for women, free from political interference and financial misconduct.

Related Articles

Unemployment in Gujarat Nithiin & Sreeleela Exclusive Funny Video on New Movie Sets Ladli Behna Awas Yojana 2023 సైబర్ నేరాలపై పోలీసుల వినూత్న ప్రచారం Telangana Police Ram Gopal Varma’s 9 Critical Questions for Pawan Kalyan