CHANDIGARH, July 14 — The Punjab Government has launched a fresh investigation into the alleged misuse of subsidies for stubble management machinery, cracking down on farmers, cooperatives, and custom hiring centres that have resold machines before the mandatory five-year holding period.
The state’s action comes even as a central government inquiry into missing machinery purchased between 2018-19 and 2021-22 is still underway. That probe involved around 11,200 machines bought under a 50% subsidy scheme and uncovered fake bills amounting to ₹140 crore. Officials estimate that hundreds of machines bought more recently are now being resold, in violation of the rules.
“We will now give the subsidy amount in two-three instalments,” said Agriculture Minister Gurmeet Singh Khudian. “Physical verification of all machines will become a regular feature. We will take action against the culprits without any delay.”
Under the Centre’s Promotion of Agriculture Mechanisation for In Situ Management of Crop Residue scheme, farmers and custom hiring centres are required to keep subsidised machines such as happy seeders and rotavators for a minimum of five years. A written declaration to this effect is signed at the time of subsidy disbursal.
Despite this clause, officials say the resale of machines has become rampant, with many units—some procured as recently as 2023-24—being advertised and sold through social media platforms.
“We’ve been receiving a growing number of complaints about machines being sold just one or two years after purchase,” an official from the Department of Agriculture and Farmers Welfare said.
Director of Agriculture Jaswant Singh has written to all Chief Agricultural Officers, directing them to scan news reports and social media posts to identify cases of misuse. “Full recovery of the subsidy, along with applicable interest, will be ensured in such cases,” he wrote.
In the earlier probe, over 900 agriculture department officials were issued show-cause notices for their alleged involvement in subsidy fraud. Despite the exposure of fake billing and missing equipment, authorities believe the misuse has continued unabated.
The government has made clear it will pursue defaulters aggressively and recover all misappropriated funds, as part of broader efforts to tighten enforcement and protect environmental initiatives targeting stubble burning.
