SC restrains Andhra govt from diverting SDRF funds to personal deposit account

The Supreme Court on Wednesday restrained the Andhra Pradesh government from transferring funds from the State Disaster Response Force (SDRF) to personal deposit accounts and issued notice to the State government.

A bench of Justices MR Shah and BV Nagarathna said this is a "very serious issue" after it was informed that Andhra Pradesh has diverted funds from SDRF, from where the ex-gratia compensations are being disbursed to the kins or family members of the persons who have lost their lives to COVID-19 death, to personal deposit accounts.

The apex court issued notice to the State of Andhra Pradesh and also to the Centre.

"The state of Andhra Pradesh is restrained from transferring the funds from State Disaster Response Force to a personal deposit account and whatever is transferred, the same shall not be utilised under the Disaster Management Act. Additionally, service to the standing counsel for the state also," the bench stated in its order and posted the matter for hearing on April 28.

Advocate Gaurav Bansal, appearing for petitioner Palla Srinivasa Rao, told the bench that the state government is illegally utilising the funds of the State Disaster Response Fund for purposes other than specified under Section 46 (2) of the Disaster Management Act, 2005.

Transferring funds from SDRF is not permissible under the Disaster Management Act, he added.

The plea stated, "At a time when the court is actively and continuously monitoring the implementation of its order dealing with the issue of disbursing of ex-gratia assistance of Rs 50,000 to next of kin of those died due to COVID-19 and is leaving no stone unturned to provide benefits of the said order to public at large, the act of Andhra Pradesh whereby the State is diverting the State Disaster Response Fund to personal deposit account is not only against the law of the land but is also contemptuous is nature."

Additional Solicitor General Aishwarya Bhati, appearing for the Centre, told the court the Ministry of Finance has asked questions from the State on the issue and directed it to take corrective measures.

( With inputs from ANI )

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