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Move to run Aahar centres with CSR funds creates doubts

Post News Network
Updated: June 29th, 2018, 10:47 IST
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Jajpur: The state government decision to run Aahar centres, providing subsidized meals with funds available through the Corporate Social Responsibility (CSR) programmes of companies has raised doubts about its implementation, a report said Thursday.

The matter came out after G. Mathibhatnan, secretary, urban development department, wrote a letter (16495, dated June 16, 2018) to the principal secretary, steel and mines asking him to take steps regarding this.

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The decision has brought little cheer as public doubts whether companies will agree to hand over CSR funds to the district administration for running Aahar centres. Their fear stems from a case on management of CSR funds pending in the Supreme Court since 2009.

Sources said most industrial units in Jajpur district have neglected development projects in their areas although it is part of their CSR programmes.

The companies at the time of establishment had promised to promote public health, education, drinking water, environment protection, road building and beautification projects. However, they have done little.

The government launched Aahar centres in the state April 1, 2015 to provide subsidized meals of rice and dalma to people at a nominal charge of Rs 5.

The subsidized meals are provided through 115 Aahar centres in 77 towns. These Aahar centres supply around 70,000 meals a day and runs under the supervision of the state and district Aaha Society. The collector is the ex-officio president of the Aahar Society and Rs 33 crore is spent annually in running the centres.

A sum of Rs 20 is spent per meal out of which the implementing partners spend Rs 15 while Rs 5 is borne by customers. The Aahar centres in Jajpur, Jajpur Road, Chandikhole and Duburi supply 200 meals every day.

The Assembly committee had decided to spend CSR funds under the supervision of Collectors. However, the companies are unlikely to hand over funds to the district administration to carry out CSR activities.

This happened after the HC hearing a petition filed by a Kolkata-based company in 2008 ruled that state governments cannot force companies to sanction five per cent of profits for CSR and will have to get their consent.

The government moved the Supreme Court against the HC order in 2009 but the SC has not yet given a ruling in the case.

 

PNN

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