Modi's DBT vision for Bengal: No leakage, no cut-money, PM tells diaspora
Synopsis
Key Takeaways
Prime Minister Narendra Modi, addressing the Indian diaspora in Jakarta, Indonesia on Monday, 7 July, made a pointed reference to the alleged culture of corruption and “cut-money” in West Bengal, using a question from the audience to articulate his vision for the state under a Bharatiya Janata Party (BJP) government: direct benefit transfers with zero leakage.
What Modi Said
Elaborating on the merits of the Direct Benefit Transfer (DBT) system — under which financial benefits from government welfare schemes are credited directly to beneficiaries’ bank accounts — Modi said the mechanism is designed to be foolproof. When an audience member asked him about his vision for West Bengal, he gave a direct answer: “Direct Benefit Transfer, no leakage, no cut-money.”
The remark was widely read as an implicit indictment of the All India Trinamool Congress (TMC) government that ruled the state from 2011 to 2026 under former Chief Minister Mamata Banerjee, during which large-scale allegations of corruption in the distribution of centrally-sponsored welfare funds were repeatedly raised.
The Cut-Money Controversy in Bengal
The term “cut-money” refers to the alleged practice of local political functionaries demanding a share of welfare scheme payouts before passing benefits on to intended recipients. Critics, including the BJP, have long accused TMC leaders and ministers of systematically enabling such leakages across 15 years of governance.
Notably, Modi had raised this issue repeatedly at election rallies ahead of the recently concluded West Bengal assembly elections, accusing TMC functionaries of using these leakages to enrich themselves personally. His Jakarta remarks extended that political argument to an international platform.
The BJP’s Bengal Pledge
With the BJP now in power in West Bengal under Chief Minister Suvendu Adhikari, Modi’s diaspora address served as a public commitment: that the new state government would dismantle the alleged cut-money infrastructure and ensure DBT flows reach beneficiaries without diversion. Officials have not yet outlined a specific timeline or verification mechanism for this pledge.
Broader Context
The DBT framework, rolled out progressively by the Centre since 2013, covers schemes ranging from cooking gas subsidies to scholarship disbursements and MGNREGS wages. The Centre has credited DBT with preventing significant fund diversion at the national level, though independent assessments have noted uneven implementation across states.
Whether West Bengal’s new administration can operationalise the same rigour — and how quickly — will be closely watched by both welfare recipients and political observers in the state.