Some cheques out of the 468 beneficiaries in the district have not been honoured by the banks.
The cheques varying from Rs 25000 to Rs 50000 were given to the beneficiaries according to their educational qualification.
A Social Welfare Department official said it was wrong on the part of the banks to return the cheque citing insufficient funds. The cheques had been given only after depositing money in the account. If the cheques had returned by the banks, it could be only due to mistake on the part of the banks or beneficiary.
The applicant would have given one spelling for his name in the application for the scheme and another spelling in the bank or the beneficiary would have deposited the cheque in some other town instead of the town mentioned under the scheme.
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Officials would hold a special grievance day for sorting out all the problems relating to the bounced cheques on May 12, she said.
Azhagar Samy, a villager, said the cheque given to his daughter under the scheme had bounced. Another beneficiary Muthiah said officials had advised him to deposit the cheque a week after the date mentioned in cheque.
A senior bank official said they would return the cheque only if sufficient money was not in the account.