New Delhi: In order to end the financial irregularities, the Centre is mulling to transfer money directly into the bank account of the beneficiaries of various government schemes through the E-banking services.

As per the scheme, the government subsidy on fertilizer and kerosene gas and MNREGS wages will be transferred to the bank accounts of the beneficiaries through the e-banking mode. The proposed move will not only end the role of mediators in the entire exercise but also save a whopping amount of Rs 1 lakh crore per annum for the government.

An Inter-Ministerial Committee comprising  officials of Union Finance Ministry, Planning Commission, Prime Minister’s Office and other concerned Ministries have prepared a roadmap of this scheme to trim the government spending.

In the meeting at the Finance Ministry, the Committee  approved the scheme which aims at stopping the role of mediators between government schemes and the beneficiaries. 

It was decided to adopt electronic mode of payment to the beneficiaries of social development schemes from 2013. The scheme has provisions for checking misuse of subsidy, cost cutting implementation and eradicating corruption.

Department wise data mentions Food Supply Ministry will save over Rs 25,000 crore through E-banking. Infrastructure costs for setting up E- banking will be in range from Rs 60,000 to Rs 70,000 crore.

Sources said the success of this scheme will entirely depend on the Unique Identification Authority of India (UIDAI) and the Finance Ministry. Therefore, they have been asked to expedite opening of bank accounts and distribution of UIDAI cards in the far flung areas of the country.

Over 1 lakh villages with population of 1,000 will have access of e-banking system by 2013