Gruha Lakshmi Scheme: ₹68 Lakh Paid to Deceased Beneficiaries; Karnataka Govt Begins Software-Based Cleanup
Over 1.44 lakh deceased beneficiaries identified; government moves to stop misuse and recover public funds

The Karnataka government has initiated corrective measures under the Gruha Lakshmi scheme after it was found that payments amounting to nearly ₹68 lakh were credited to the bank accounts of deceased beneficiaries.
The issue came to light during a workshop on the implementation of the state’s five guarantee schemes, organised by the Dakshina Kannada district administration and Zilla Panchayat in Mangaluru and Belagavi on December 24.
H.M. Revanna, Chairman of the Karnataka Guarantee Schemes Implementation Authority, revealed that around 1,44,056 beneficiaries who were no longer alive had received payments due to the Direct Benefit Transfer (DBT) system.
“Because of direct cash transfers, money has been deposited into accounts even after beneficiaries passed away. This is public money, and efforts are being made to recover it,” Revanna said. He added that implementation committees have a responsibility to ensure that benefits reach all eligible recipients while preventing misuse.
Meanwhile, Minister for Women and Child Development, Disabled and Senior Citizens Empowerment, Lakshmi Hebbalkar, announced that the government will deploy a software-based system to identify and remove deceased beneficiaries from the scheme.
“It has come to our notice that funds were credited to the accounts of women who are no longer alive. The government is committed to ensuring that welfare schemes reach only deserving beneficiaries. A dedicated software tool will be used to trace deceased beneficiaries and stop payments to such accounts,” the minister said.
To verify accounts flagged by the system, Anganwadi workers will conduct door-to-door visits to confirm beneficiary details and prevent further misuse of the scheme.
Minister Hebbalkar also confirmed that pending incentives under the Gruha Lakshmi scheme were released on December 22. She said the payments will be disbursed to all beneficiaries simultaneously and are expected to be completed by December 27.
She further assured that technical issues causing delays in earlier payments are being addressed to ensure smoother and timely disbursal in the future.