1. MGNREGA
PAYMENTS UNDER MGNREGA THROUGH ELECTRONIC FUND MANAGEMENT SYSTEM e-FMS/ DBT

2. DBT through e-FMS: INTRODUCTION
A National Committee (with PM as chairperson) has been constituted to coordinate action for introduction of DBT to individuals under various government schemes (Notification PMO dated 25 /10/2012).
Under MGNREGA no. of districts identified for DBT are:
PHASE I: 46 districts (out of 51).
PHASE II: 63 new districts have been identified (Out of 70).

3. e:FMS: “Right amount” in “Right account” in time
Earlier / current Practice
Benefits of e-FMS/ DBT
Wage lists along with cheques sent to banks/ PO
Physical movement & cheque clearance delays wage payment
Large no.of A/cs required to be maintained
Large Amounts blocked
Uneven balances with different entities
Data entry an issue
Better management of funds:
Reduction in number of a/cs of stakeholders
Avoids parking of fund
Avoids huge OB
Authentic & real time information on MIS
Reduces payment cycle time
Enhances delivery of entitlements
Improves Accountability

4. e-FMS: Activity Flow Registration of Worker Registration of Worker
Issuance of
Job cards
Issuance of
Job cards
Demand for
work
Demand for
work
Work Allocation
Work Allocation
Preparation of MB
By Engineer
Daily
Attendance
Generation of
E-Muster
Preparation of Wage slip & Wage list
Preparation of FTO debiting Account wise
Material
List preparation
Material
Procurement
First Signatory
Second Signatory
Admin
Expenditure
Admin Expen. List
preparation
Copy of FTO saved on State Archive
FTO sent to Financial Institution

5. Direct benefit transfer in MGNREGA through e-FMS for Banks
NREGAsoft
-Data entry of musterrolls, material & admn. Exp. Bills
-Generation of wage list,material list and admn exp. list
Direct benefit transfer in MGNREGA through e-FMS for Banks
Bank having
Nodal agency account
Bank 1
Bank 2
Integration of response in NREGASoft
Bank 3
…..
Wage List
FTO
FTO
SFTP server
Response
Accounts of workers
First signatory
(panchayat secy/ accountant
Generate FTO and digitally sign
Second signatory
(Pradhan/
BDO
Approve FTO, digitally sign

6. Direct benefit transfer in MGNREGA through e-FMS for Post offices
NREGAsoft
-Data entry of musterrolls, material & admn. Exp. Bills
-Generation of wage list,material list and admn exp. list
Integration of response in NREGASoft
Consolidated FTO
HO 1 A/C
Bank having
Nodal agency account
HO 2 A/C
Wage List
FTO
FTO
SFTP server
HO 3 A/C
…..
Detailed FTO
First signatory
(panchayat secy/ accountant
Generate FTO and digitally sign
Second signatory
(Pradhan/
BDO
Approve FTO, digitally sign
Response
CEPT mysore
Response
HO /SO1
Response
HO /SO2
HO /SO3
…..
Accounts of workers in

7. Integration with Banks/POs
Integration with bank in states/ UTs
United Bank of India (West Bengal)
State Bank of India (GJ,MP, TR, OR, MH, Pud.)
State bank of Bikaner and Jaipur (RJ)
State bank of Mysore (KR)
Union bank of India (RJ)
Central Bank of India (MP, MH)
Maharashtra Bank (MH)
Bank of Baroda (RJ)
Bank of India (MP, JH)
Oriental Bank of Commerce (RJ)
Axis bank (CH)
Punjab National bank (HR, PB, UP, UK)
Kotak Mahendra (in process)
Integration with post offices: Gujarat, MP, Orissa, MH, Rajasthan, Chhattisgarh, Haryana, Jharkhand, Kerala

8. Strategy for roll out Nature of payments - Wages - Material bills
Locations
-GPs
-Blocks
-Line Deptts
Financial Institutions
- Banks on CBS
- Post
- Cooperative Banks
Nature of payments
- Wages
- Material bills
- Admn Expenses

9. Strategy and timeline for implementing e-FMS by 1st Dec, 13SN
ACTIVITY
TIMELINE I
verification & Freezing of Accounts
15th Sep to 15th Oct, 2013 II
Identification of Authorized person
15th Sep to 30th Sep, 2013
III
DSC issuance and enrolment in NREGASoft. IV
Complete conversion to e-FMS for all locations, Financial Institutions & types of payments.
1st Dec, 2013

10. Steps to be taken 1. Validation/ freezing of accounts 2
Steps to be taken 1. Validation/ freezing of accounts 2. Issue of DSCs 3. Capacity Building 4. FTO generation 5. Aadhaar Seeding into NREGASoft 6. FTO for Bank and Post Offices. 7. FTO for Wage and material payments.

11. Kindly Contact Any Time… RITESH SAXENA MoRD (MGNREGA) New Delhi