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SEWA project halted by Gujarat govt, 12,000 women affected

As the confrontation between the state government and SEWA continues over the alleged misappropriation of funds, thousands of women have been left jobless

Following the Gujarat government's decision, in early September, to block funds meant for Jeevika -- a project initiated by the Self-Employed Women's Association (SEWA) -- thousands of women dependent on the funds for their livelihood have come out in protest, signing a petition requesting the government to release of the money.

Lack of funds has brought Jeevika to a standstill. The Rs 113 crore SEWA project provided livelihoods to at least 12,000 women worst affected by the 2001 earthquake in the Kutch, Surendranagar and Patanhas districts of Gujarat.

Funding for the seven-year project, which began three years ago, is routed through the Centre to the state government's rural development department. So far, the state has disbursed Rs 8 crore.

Because there is no money, SEWA village centres in at least 400 villages have been forced to wind up. According to the petition, around 12,000 women at these centres have not been paid for six months.

"We have not been paid for six months. Now we have no work. We thought we would have guaranteed employment. Instead we have nothing. We have not received payment so we borrow grain from each other. Earlier when there was a guarantee of employment the shopkeeper would give us credit. Now who would give us credit? In fact, the shopkeeper charges us the salary of the person he has kept to recover his loans from us," says the petition requesting the government to take immediate action.

Funds to Jeevika were blocked based on audit objections that ranged from the diversion of project money to relatives of top SEWA functionaries to overcharging for photocopying.

"There are a number of issues which need to be sorted out. After the special audit is over we will release the funds," says rural development minister Bharat Barot. "Financial irregularities is just one aspect; there are other issues as well. SEWA wants funds but is unwilling to listen to the government where discussions are necessary at the planning stage. The manner in which they were spending the money forced the government to set up a special audit," says Jyotika Bannerjee, head of the Jeevika cell of the Gujarat state rural development department, which coordinates with SEWA.

The special audit panel set up in April questioned SEWA's accounts and issued several notices. A government camera team was even sent to get on tape several men in the villages who claimed they were "unhappy and disappointed" with SEWA's work.

The panel objected to the fact that the Disaster Mitigation Institute (DMI), headed by Mihir Bhatt, son of SEWA's mentor Ilaben Bhatt and husband of SEWA's general secretary Reema Nanavati, had been paid close to Rs 45 lakh for the institute's services to SEWA.

SEWA refutes the allegation saying it did not choose the DMI, the International Federation for Agricultural Development (IFAD) did and recommended that its services be used.

Among the allegations levelled against SEWA is that the organisation channels funds through sister concerns like its bank, insurance and cooperative centres. And that it sent its members on foreign trips without government approval. SEWA is also alleged to have constructed buildings under the project and charged rent for their use. From the Jeevika money, SEWA is alleged to have allocated Rs 4.21 crore for its own trade facilitation centre.

SEWA denies most of the allegations. Channelling funds, according to the organisation, was done to streamline operations and, when questions were raised last year, SEWA closed the accounts in its bank and opened new accounts in other banks. "No member has gone abroad under the Jeevika project...No buildings constructed under the project...the trade facilitation centre is meant for women involved in embroidery work, sewing and knitting. Thirty per cent of this is working capital, which SEWA will return to the government at the end of the project," says SEWA countering the charges.

Source: The Indian Express, September 13, 2005
www.oneworldsouthasia.net, September 20, 2005



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