Madhya Pradesh govt hikes cash grants for decorated soldiers ahead elections
The one-time cash grant for PVC or AC awardees from the state has been increased from ₹20 lakh to ₹1 crore.
Madhya Pradesh, which goes to the polls later this year, has announced a massive hike in cash grants for soldiers from the state awarded gallantry and distinguished service medals by the defence services, with the monetary compensation for the top awards for uncommon bravery such as Param Vir Chakra (PVC) and Ashoka Chakra (AC) increased fivefold, and for ‘mentioned in despatches’ raised more than 200 times.

The one-time cash grant for PVC or AC awardees from the state has been increased from ₹20 lakh to ₹1 crore, while soldiers mentioned in despatches will now get a hefty ₹25 lakh instead of the ₹12,000 they got earlier.
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An order passed by the state government on March 30 has revised the cash grants given to soldiers.
In May 2022, HT had highlighted the yawning mismatch in the cash grants given by different state governments and union territories to decorated soldiers. This had led to calls from several quarters in the armed forces for a uniform policy to honour the sacrifice, bravery and service of India’s soldiers.

The March 30 order, seen by HT, has hiked the cash grant for Maha Vir Chakra (MVC) and Kirti Chakra (KC) from ₹12 lakh to ₹75 lakh, for Vir Chakra (VrC) and Shaurya Chakra (SC) from ₹8 lakh to ₹50 lakh, and for Sena Medal, Nao Sena Medal and Vayu Sena Medal (all three for gallantry) from ₹50,000 to ₹25 lakh.
PVC, MVC and VrC are India’s highest, second-highest and third-highest wartime gallantry awards, respectively. Their peacetime equivalents are AC, KC and SC, respectively.
It is rare for states to hike cash grants for soldiers on this scale.
The order also lays down how the cash grant is to be split in case of posthumous awards. The soldier’s wife and children will get a share of 35% each, while the parents will get 30%. In case the parents are no more, the money will be split equally between the wife and children. If the soldier has no children, his wife and parents will get 50% share each.
Manipur, which is among the Indian states that offer the lowest cash grant to their soldiers for gallantry and distinguished service, is also looking at reviewing its policy to enhance the monetary benefits.
Madhya Pradesh has also revised the cash grants it gives to soldiers for distinguished service. The one-time cash grant for Sarvottam Yudh Seva Medal (SYSM) has been raised from ₹1.45 lakh to ₹10 lakh, for Uttam Yudh Seva Medal (UYSM) from ₹1,4 lakh to ₹7 lakh, and for Yudh Seva Medal (YSM) from ₹80,000 to ₹5 lakh.
Similarly, the cash grant for Param Vishisht Seva Medal (PVSM) has been increased from ₹1 lakh to ₹5 lakh, for Ati Vishisht Seva Medal (AVSM) from ₹50,000 to ₹2.5 lakh, for Sena Medal, Nao Sena Medal and Vayu Sena Medal (all three for devotion to duty) from ₹25,000 to ₹2 lakh, and for Vishisht Seva Medal from ₹20,000 to ₹1 lakh.
The development comes at a time when there are huge variations in the cash rewards given to soldiers by different state government for similar acts of valour, and outstanding service --- the monetary compensation for PVC and AC ranges from a high of ₹2.25 crore to a measly ₹20,000.
Official data lays bare the inconsistency in the cash grants policy of different states.
If a soldier from Telangana, Punjab, Karnataka or Haryana is awarded AC, he is eligible for a cash grant of ₹2.25 crore, ₹2 crore, ₹1.5 crore and ₹1 crore, respectively. However, if the same soldier is from Manipur or Gujarat, all he gets is ₹20,000.
Chandigarh and Uttarakhand offer ₹30 lakh for AC, while Tamil Nadu and West Bengal give a cash grant of ₹20 lakh and ₹8 lakh, respectively. The variation is proportionate when it comes to other gallantry awards that are announced by the government every year.
Take the case of soldiers who are awarded KC. Depending on the states they belong to, the cash element can vary from ₹1.25 crore to a few thousand, data shows. Similarly, those who are awarded SC get anything between ₹5,000 and ₹75 lakh.
Each state should take equal pride in their soldiers and acknowledge their services to the nation, military affairs expert Lieutenant General Vinod Bhatia (retd) earlier said. “The Centre should lay down guidelines to ensure equity when it comes to states honouring the gallantry and distinguished services of soldiers. It’s high time that the cash grants policy of different states is standarised,” he said.
Many in the defence establishment echo that sentiment, and feel the central government should reach out to states for reworking their cash grants policy and standardising it for the sake of fairness and equality. They argue that a soldier fights for the country, and not for his state. There have been constant demands for a minimum threshold for gallantry and distinguished service awards.
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The matter has been taken up by parliamentary panels but remains unresolved. To be sure, the benefits offered by the central government to gallantry awardees are standard. These include a fixed month allowance, tax-free pension, discounted air tickets and railway concessions. A KC awardee, for instance, gets a monthly allowance of ₹9,000.
There are huge variations in cash grants given by states to soldiers for distinguished service, official data shows. If a general from Haryana, Maharashtra or Chandigarh is awarded PVSM, he is eligible for a cash grant of ₹6.5 lakh, ₹4 lakh and ₹3 lakh, respectively. But a general from Himachal Pradesh and West Bengal gets only ₹15,000. Karnataka, Delhi and Tamil Nadu offer ₹1.7 lakh, ₹1.15 lakh and ₹75,000 to PVSM awardees.
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