'University' issues bogus construction worker certificates
Welfare funds looted, glaring political patronage exposed
Kolhapur: India’s booming construction sector has crossed Rs 3 lakh crore in annual turnover, and Maharashtra alone accounts for nearly Rs 30,000 crore annually, employing around 80 lakh workers. Yet, shockingly, less than 20 per cent of them are officially registered with the Maharashtra Building and Other Construction Workers Welfare Board — a body created under a 1996 law to safeguard their welfare.
By law, builders and contractors are required to deposit 1 per cent of the construction cost as a welfare cess with the Board. Maharashtra collects the highest amount in the country, averaging Rs 3,500 crore annually. This fund is meant to support welfare schemes for registered workers and their families. But over the years, these schemes have been deeply infiltrated by fake beneficiaries — and the rot runs deep.
A well-orchestrated racket involving the mass registration of bogus construction workers has not only looted public money but allegedly helped politicians secure electoral wins. Certain political leaders, eyeing captive vote banks, are believed to have greenlit fake IDs in exchange for votes, turning welfare into a tool for political gain.
The question now haunting the state is: where exactly is the “university” churning out fake construction worker certificates? Intelligence agencies, say experts, must investigate and expose this shadow network, as the very foundation of welfare distribution stands compromised.
Verification drive
Following rising allegations, the state’s Labour Department began an internal verification drive. In Kolhapur’s Kagal taluka, a large number of fake construction workers were unearthed, followed by similar findings in Hatkanangle. Investigations reveal that a strong network of middlemen and agents has been operating for years, raking in lakhs through commission-based scams tied to these fake registrations.
But the rot is not confined to just a couple of talukas — it’s systemic. What began as an attempt to address the lack of formal documentation among unorganised workers has been turned into a textbook example of how to exploit state schemes. Registered “beneficiaries” with no connection to the construction sector are drawing benefits while genuine workers remain excluded.
By 2019, the Welfare Board had amassed Rs 7,482 crore — but due to poor beneficiary identification, only Rs 830 crore had actually been utilised. After media scrutiny, the state rushed into a “beneficiary hunt.” One senior leader allegedly seized the opportunity, distributing fake IDs to non-workers, creating a large, loyal vote bank in the process.
The scheme took off — free benefits attracted thousands, and soon, fake construction IDs became a commodity. Voters wore the mantle of “construction workers” to tap into crores of rupees lying idle in government coffers. As a result, identifying and dismantling this bogus certificate machinery has now become the biggest challenge before the state.
The pattern is familiar. Be it the Laadki Bahin Yojana, transport fare concessions for senior citizens, or schemes for the differently abled — most state-run welfare programmes have fallen prey to fake beneficiaries and the agents who support them. Behind these lies an unregulated black market of forged documents, diverting funds meant for the most vulnerable.
Unless the state revamps its registration and verification processes, the loot will continue. Today, beneficiaries are registered online, money is disbursed without verification, and investigations begin only after complaints surface. The chain of accountability remains weak, and the political will to act is often absent.
This is not just Maharashtra’s problem. A recent RTI reply from the Union Labour Ministry revealed that Rs 70,744 crore across India remains unspent under construction worker welfare funds.
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