The Election Commission of India (ECI) on Monday ordered the Telangana government to stop all the disbursements under the state government’s Rythu Bandhu Scheme after a violation of the model codes of conduct.

The EC withdrew the permission from the Telangana government, led by chief minister K Chandrashekar Rao, to disburse financial aid to farmers for rabi crops under the Rythu Bandhu Scheme. This comes after a state minister made public announcements regarding the scheme, violating the model code.

Just a few days ahead of the Telangana election 2023, the EC said in an official statement, “There shall be no disbursement under the Scheme till the Model Code of Conduct in the State of Telangana ceases to apply in all its forms.”

What is the Rythu Bandhu Scheme?

The Rythu Bandhu scheme is also known as Farmer’s Investment Support Scheme (FISS), and is a welfare programme for farmers started by the Telangana government in 2018.

Under the scheme, the state government provided the 58 lakh farmers in Telangana with ₹5,000 per acre of their land as a farm investment for two crops. This investment is made twice a year, once for kharif harvest and once for rabi harvest.

The Rythu Bandhu Scheme is the country’s first direct farmer investment support scheme where cash is paid directly to the beneficiary. The scheme was started by Telangana CM K Chandrashekar Rao in 2018, and ₹12,000 crore were allocated from the state budget for the scheme.

Why did EC stop the scheme?

The election commission had allowed the disbursement of funds for the rabi harvest this season, provided they are not publicised, in accordance with the poll code of conduct.

However, the model code was violated after the state finance minister made a public announcement of the same. “The disbursement will be made on Monday. Even before the farmers complete their breakfast and tea, the amount will be credited into their account,” he had said.