According to Union Healthy Ministry officials, the state could not claim its share of funds last year also.
The Ministry has refused to release Rs 2,763.43 crore, allocated to UP under the scheme, citing non-fulfillment of conditions laid down by the Department of Expenditure.
It has written to the Chief Secretary of UP in this regard, seeking his intervention so that the first tranche of funds could be released at the earliest for the programme.
It also mentioned that the funds were not released due to non-receipt of matching state share arrears (contribution by state government in the scheme) amounting to Rs 300 crore by the state.
According to the Ministry, the state has been struggling to bring its financial discipline back on track since 2010 when various scams came to light.
As per the letter, Rs 2,763.43 crore has been allocated to the state for the financial year 2013-14. It said the state had failed to obtain its due allocation from the Centre last year.