GS Paper 2
Syllabus: Government Policies and Interventions
Source: IE
Context: The Central Bureau of Investigation (CBI) has registered a case against unknown nodal officers and bank officials for alleged fraud in the implementation of minority scholarship schemes.
More about the News:
The scam involved 830 “fake” institutions receiving benefits, causing a loss of more than Rs 144 crore to the Ministry of Minority Affairs between 2017-18 and 2021-22.
The central government provided three different minority scholarship schemes to approximately 65 lakh students every year between 2017-22. The schemes were:
- Pre-Matric Scholarships
- Post-Matric Scholarships
- Merit-cum-Means for the students of Six Minority communities
| Scholarship Scheme | Description |
| Pre-Matric Scholarship Scheme | Centrally funded scholarship scheme; Open annually; Provides financial aid for classes 1 to 10; Encourages minority students’ education |
| Eligibility for Pre-Matric Scholarship: Student in Class 1 to 10; From minority community; Parent/guardian income ≤ ₹1 Lakh/year | |
| Post-Matric Scholarship Scheme | Centrally Sponsored Scheme; Implemented through State Govt. and UT administration; Covers classes 11, 12, undergraduate, and postgraduate courses; Supports higher education and career growth |
| National Means Cum-Merit Scholarship Scheme (NMMSS) | Centrally Sponsored Scheme (CSS); Launched in 2008; Assists meritorious minority students with limited finances; Promotes academic excellence and equal opportunities |
Impact of the Scam:
| Implications | Description |
| Financial Impact | Loss of over ₹144 crore to the Ministry of Minority Affairs. |
| Diversion of funds intended for genuine beneficiaries. | |
| Scholarship Scheme Undermined | Pre-Matric Scholarship Scheme targeted by the scam. |
| Funds meant for deserving minority students were misused. | |
| Collusion and Exploitation | Collusion of institutions, applicants, nodal officers, and more. |
| Diversion of scholarship funds through fraudulent means. | |
| Impact on Beneficiaries | Genuine students from minority communities are potentially denied rightful aid. |
| Misuse of scholarships affects educational opportunities. | |
| Ethical Impact | Betrayal of Trust; Inequity and Injustice; Colluding parties compromise ethical standards for personal gains; Erosion of moral values in education and administration; Exposure of such scams erodes public confidence in government initiatives |
Minority Communities in India:
- Recognized under the National Commission for Minorities Act, 1992: Muslims, Sikhs, Christians, Buddhists, Parsis; and Jains added in 2014.
- 19.3% of the total population as per the 2011 Census.
- Major groups: Muslims (about 14%), Christians (about 2%), Sikhs (1.7%), Buddhists (0.7%), Jains (0.4%), Parsis (0.006%).
- The term “minority” is not defined in the Indian Constitution. However, the Constitution recognizes only religious and linguistic minorities.
- Constitutional Provisions: Article 29 preserves distinct language, script, and culture; Article 30 grants education institution rights.
- Article 350-B: Special Officer for Linguistic Minorities established by the Seventh Constitutional Amendment Act of 1956.
- Parliamentary Provision: The National Commission for Minorities Act, 1992 defines minorities as notified by the Central government.
Other schemes for minorities:
- Education Loan Scheme by NMDFC
- Employment and Economic Empowerment Schemes
- Jiyo Parsi
- Qaumi Waqf Board Taraqqiati Scheme (QWBTS)
- Shahari Waqf Sampatti Vikas Yojana (SWSVY)
- Pradhan Mantri Jan Vikas Karyakram (PMJVK)
Insta Links
Prelims Links:
In India, if a religious sect/community is given the status of a national minority, what special advantages it is entitled to? (UPSC 2011)
- It can establish and administer exclusive educational institutions.
- The President of India automatically nominates a representative of the community to Lok Sabha.
- It can derive benefits from the Prime Minister’s 15-Point Programme.
Which of the statements given above is/are correct?
(a) 1 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
Ans: C








