Sports federations have to go cashless

The new directions by Ministry of Youth Affairs and Sports (MYAS), Government of India show that Indian Olympic Association (IOA) and all the National Sports Federations will go cashless now. No need to get panicked! Ministry is not going to stop their grants but advised the NSFs to use the electronic/digital money transfer system for all the transactions.

Fraud Prevention measures

The main reason behind this step is to promote transparency and avoid misuse of the funds so that the money can be transferred directly to the account of the actual beneficiary. A lot of complaints came in the notice regarding the transfer of the events fee/championships fee in some personal accounts by national federations. It has been noticed that in some cases national federations are not following the proper procedure for transferring the funds/grant in their affiliated unit’s accounts.

The main problem occurs at the time of audit of the account. It leads to the dispute among IOA, NSFs and their affiliated units. Which results in unnecessary problems for the investigating agencies and Ministry.

Ministry’s main motive for going digital/cashless is to encourage the NSFs to be more transparent and for smooth functioning with their units.

Also Reas Commonwealth Games News

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