At the height of a national emergency, the people of India responded with trust, generosity, and hope. But the PM CARES Fund, established under the leadership of Prime Minister Narendra Modi, now raises a fundamental question: why is a fund built on public contributions shielded from public accountability?
When the PM CARES Fund was established in 2020 at the peak of the COVID-19 pandemic, India was going through a humanitarian crisis. Images of migrant workers walking hundreds of kilometers, abandoned and desperate, were stark reminders of administrative failure. At the same time, political narratives were sharply divided—particularly in Delhi, where allegations of misgovernance and misplaced priorities dominated public discourse. Amidst this chaos, instead of strengthening existing institutional frameworks, the Prime Minister chose to establish a new fund.
This decision raises a fundamental question: Why was a new fund needed at all? India already had two established mechanisms - the Prime Minister’s National Relief Fund (PMNRF) and the National Defence Fund—both designed to mobilize resources in times of national crisis. The creation of a separate entity, particularly one structured as a private trust, appears unnecessary and, more importantly, questionable.
The concerns deepen when one examines the legal and institutional positioning of the PM CARES Fund. Despite being chaired by the Prime Minister and administered by top cabinet ministers, the fund has been classified as a private trust. This classification has allowed the government to deny transparency under the Right to Information (RTI) Act, arguing that the fund does not receive money from the Consolidated Fund of India and therefore is not a “public authority.” Consequently, requests seeking details about donations and expenditures have been rejected.
Further compounding the issue, even Parliament has effectively been kept at arm’s length. Reports suggest that during a parliamentary session, instructions were issued not to entertain questions related to the PM CARES Fund. This raises a critical concern: Why should a fund chaired by the highest constitutional authority in the country operate beyond the scrutiny of both citizens and Parliament?
Financially, the fund has seen rapid accumulation. Within days of its creation, it reportedly collected thousands of crores in donations, and by 2023, the corpus had grown substantially. Yet, the absence of detailed public disclosure regarding contributors and expenditure patterns fuels suspicion. Some media reports have also hinted at possible instances of quid pro quo, where corporate donors allegedly received favorable considerations—though such claims require thorough and independent investigation.
Adding another layer to the controversy is a report by The Quint, which revealed that Indian missions abroad were advised to actively publicize the PM CARES Fund. This included embassies in major countries such as the United States, United Kingdom, China, Japan, Germany, France, Sweden, South Korea, and even Pakistan. The use of official diplomatic channels to promote donations to a fund classified as a “private trust” further blurs the line between state machinery and private institutional structures.
The composition of the fund’s governing body is also puzzling. It is headed by the Prime Minister, along with key cabinet ministers like the Defence Minister and Home Minister. This raises an important question: why are top constitutional leaders managing what is officially called a private trust?
Suggested Reading:
Subscribe to our channels on YouTube and WhatsApp
Download our app on Play Store