Telangana High Court raises concern over freebies burden on State finances

The Telangana High Court expressed concern over the alleged misuse of welfare schemes and the growing financial burden on the State exchequer. During a contempt hearing, Justice Nagesh Bheemapaka questioned the sustainability of welfare spending and called for accountability in identifying ineligible beneficiaries.

Legal Correspondent

Hyderabad: Telangana High Court on Friday raised concerns over the alleged misuse of freebies and the burden they place on the State exchequer. Justice Nagesh Bheemapaka expressed concern over what he described as the growing strain on the State’s finances, remarking that “danger bells are ringing” and questioning, “What is the future of the coming generations?”

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Justice Bheemapaka made the observations while hearing a contempt case involving Finance Principal Secretary Sandeep Kumar Sultania.

The judge pointed out that financial assistance under the Rythu Bandhu scheme was allegedly reaching even millionaires. After hearing from Sultania that about 1.05 crore white ration cards were operational in the State, the court wondered who should take responsibility for identifying and removing ineligible beneficiaries from welfare schemes. The judge observed that the State was extending a large number of welfare benefits and questioned how the government would be able to sustain such expenditure in the long run. “This court is not criticising anyone, but there is genuine concern over the misuse of freebies. Who should take responsibility?” the judge asked. The judge further observed that even labourers in villages were being sourced from neighbouring States due to the freebies in Telangana.

The remarks came during the hearing of a contempt petition filed by former Secunderabad Cantonment Board member J Ramakrishna, alleging non-compliance with a 2024 High Court order directing the State to consider his representation regarding remission of a surcharge on stamp duty.

Earlier, on July 10, the High Court had issued a bailable warrant against Finance Principal Secretary Sandeep Kumar Sultania after noting that neither a counter-affidavit nor an application seeking exemption from personal appearance had been filed despite earlier directions. The court directed the Hyderabad Police Commissioner to arrest the officer wherever found and produce him before the court on August 7. The warrant also permitted his release on furnishing a personal bond of Rs 5,000 along with an undertaking to appear before the court and continue attending future hearings.

When the matter was taken up on Friday, Sultania appeared before the court in person. During the hearing, Justice Bheemapaka observed that officers often find themselves carrying the burden of financial decisions affecting the State exchequer. The judge remarked that, considering the mounting financial obligations, “the officers have to be detained for their life,” while immediately clarifying that the court could not fault the officer alone. The real issue, the court observed, was the larger question of social responsibility and the circumstances in which officers were unable to comply with judicial directions.

Taking note of the officer’s personal appearance, the High Court dispensed with his further personal attendance until further orders.

The court also recorded that approximately Rs 24.45 crore had already been paid in compliance with its earlier directions. Accepting the request made on behalf of the State, the High Court permitted the balance amount to be paid in six monthly instalments and directed the Finance Principal Secretary to file a detailed affidavit specifying the schedule and manner in which the remaining payments would be be made.