Kirodi Lal Meena,Agriculture Minister,Rajasthan
Rajasthan Agriculture Minister Meena named Kshema Insurance Company, a private sector stand alone Agriculture Insurance company, alleging that it was found to be a prima facie defaulter
Minister Meena also highlighted that around 15,000 landless individuals across the state were insured fraudulently, with total fake claims estimated at nearly Rs 1,150 crore.This organised scam has allegedly been operating for years with the involvement of bank staff, insurance agents, and intermediaries
Jaipur:Rajasthan Agriculture Minister Kirodi Lal Meena on Monday said serious irregularities by insurance companies have surfaced in several districts under the Pradhan Mantri Fasal Bima YojanaPMFBY), and assured the state Assembly that the matter would be investigated by the Special Operations Group (SOG).
Replying to supplementary questions during Question Hour, Meena said fraud involving banks and insurance firms had deprived farmers of compensation for crop losses. He cited an inspection in Karanpur in Sri Ganganagar district, where an insurance company surveyor allegedly signed crop loss intimation forms on behalf of farmers, agriculture supervisors and revenue officials.
According to the minister, of the 1.70 lakh forms examined, around 32,000 showed zero per cent crop damage despite actual losses ranging between 50 and 70 per cent. This allegedly resulted in a loss of about ₹128 crore to farmers.
Dr Meena named Hyderabad based Kshema Insurance Company, alleging that it was found to be a prima facie defaulter.
“Kshema Insurance Company kept this amount and earned interest on it. The investigation is ongoing,” he said.
An FIR has been registered in Rawla in this connection and an investigation is underway, added Meena.
Meena said the Centre has been urged not to award any further tenders to the insurer.
The Rajasthan government has written to the Government of India seeking blacklisting of the company and urging that no future tenders be awarded to it, though empanelment decisions are taken at the central level, said Meena.
“FIRs will be registered, independent agencies will investigate the case, and the concerned insurance company may also be blacklisted,” stated Meena.
The minister also flagged another case of alleged fraud in Salasar, where 71 bank accounts were opened in State Bank of India using fake documents in farmers’ names to facilitate premium deductions. He said the irregularity could have led to wrongful payments of around ₹9 crore from the state and central governments.
An FIR has been filed in this case as well.
Meena informed the House that irregularities have also been reported from Sanchore, Jalore, Churu, Nagaur and Bikaner districts, along with instances of underreporting crop damage in Shergarh assembly constituency.
He said the current government has paid crop insurance claims worth ₹6,328 crore for the rabi and kharif seasons, including ₹188 crore pending from the previous regime. In Shergarh alone, claims amounting to ₹42.62 lakh for 659 eligible farmers from Kharif 2020 to Rabi 2024–25 remain pending due to issues such as non-verification of bank accounts or Aadhaar details, failed NEFT transactions and the death of insured farmers.
District collectors have been directed to expedite verification of bank accounts, Aadhaar details and succession certificates to ensure early disbursal of pending claims, the minister added.
He emphasised that protecting farmers’ interests is the state government’s top priority and warned that no one involved in cheating farmers will be spared.