Shimla — Under the Central Government’s Ashiana‑II housing scheme, the Shimla Municipal Corporation constructed a total of 94 dwellings in the Dhalli suburb, specifically designated for Below Poverty Line (BPL) families lacking homes or land. The first 64 homes were allotted between 2017 and 2018, and the remaining 30 were distributed in September 2020.
The project recently found itself embroiled in controversy following a formal complaint alleging wrongful allotment. According to officials, a woman received one of the houses in 2020 based on documents claiming poverty, only for the investigation to reveal that her husband has held a government position for several years, rendering the family ineligible for the scheme. The Municipal Corporation has confirmed that the allotment will soon be revoked.
MC Shimla has admitted that serious irregularities have been found during the probe. Further complaints alleging misuse of allotments—including cases involving government employees, subletting, and the unauthorised operation of homestays—have been handed over to the project director for in-depth inquiry.
Residents of the Dhalli colony have voiced scepticism over the poverty status of several beneficiaries, observing that dozens of parked vehicles—some upscale—regularly clutter the area. “The presence of so many vehicles led locals to question how these families could genuinely qualify as poor,” reported sources familiar with the matter.
Despite the scheme’s clear eligibility criteria requiring applicants to prove landlessness and homelessness, the municipal authorities allowed fraudulent documents to pass initial checks. Neighbours report seeing multiple houses in the colony being used for rental or homestay businesses, in direct opposition to the intent of providing housing for the needy.
The scandal raises broader concerns about administrative laxity and misuse of welfare programs in Shimla. Ashiana-II, sanctioned in February 2008 to construct 384 dwellings, faced delays and eventual downsizing due to land acquisition for a four-lane highway project. Of the originally planned units, only 94 were ultimately completed and transferred to the municipal corporation.
As authorities deepen their investigation, steps are underway to cancel confirmed fraudulent allotments and scrutinise other suspect cases. The Municipal Corporation has signalled its intent to strengthen verification procedures for future distributions to safeguard the integrity of the scheme and ensure that aid reaches truly deserving families.











