The Calcutta High Court on Wednesday issued a directive to the Central Government, instructing it to implement the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) scheme prospectively in West Bengal, starting from August 1. This decision comes after the suspension of the scheme in the state for almost three years due to allegations of irregularities in the disbursement of wages.
A division bench, led by Chief Justice TS Sivagnanam and Justice Chaitali Chatterjee (Das), acknowledged the existence of irregularities in the MGNREGA wage distribution process in certain districts of West Bengal. However, it emphasized that the Centre retains the authority to impose special conditions, regulations, and restrictions in the state to prevent any recurrence of these issues. The court noted that while the Centre can continue its investigation into past irregularities, the focus now shifts to the prospective implementation of the scheme.
The bench stressed that although past mistakes should not be overlooked, the goal was to ensure that the benefits of the MGNREGA scheme are not indefinitely stalled. The court underscored that the law does not allow the scheme to be kept inoperative indefinitely, as it serves a vital purpose in providing employment opportunities and wages to the rural population.

In its observations, the court acknowledged the corrective actions already undertaken, including recoveries made from those responsible for the irregularities. The recovered amounts are being held in a bank account managed by the state nodal agency for MGNREGA. The bench emphasized that such measures are essential to maintain accountability and ensure that illegal beneficiaries are held responsible.
The Calcutta High Court concluded by stating that the implementation of MGNREGA from August 1 would be in the public interest, advancing the core objectives of the Act. The Centre’s continued inquiry into past irregularities, combined with the implementation of the scheme under special conditions, is expected to foster transparency and prevent future illegalities.
This decision marks a significant step in reinstating the MGNREGA scheme in West Bengal, providing much-needed relief and employment opportunities to rural communities while ensuring stricter oversight to prevent misuse of funds.