The Hindu : New Delhi News : MLAs resent delay in release of funds

Online edition of India's National Newspaper
Thursday, Sep 09, 2004

New Delhi

New Delhi

MLAs resent delay in release of funds

By Our Staff Reporter

NEW DELHI, SEPT. 8. Strong resentment prevails among the MLAs belonging to the ruling party as well as the Opposition over the unending delay by the State Finance Department in releasing the MLAs' Constituency Development Fund leaving very little time and space to carry out developmental works during 2004-05. However, the Department has blamed the delay on failure of the Municipal Corporation of Delhi to submit accounts on expenditure of this fund during the previous year.

A total of Rs. 140 crores is at stake in the Capital's 70 Assembly constituencies. With almost six months into the current financial year, the Finance Department finally gave its nod for release of the Rs. 2 crore per MLA fund this week. The release of funds is unlikely to help the situation as majority of the legislators fear they would not be able to spend their money. It takes about three to four months for the MCD to formulate scheme and another two months for completing the tendering process. By the time the contract is awarded for the various works, the current financial year will be over forcing a lapse of money into the next financial year. What is shocking is the laid back approach adopted by the Finance Department for release of such an important fund which gives a direction to the developmental agenda of the Delhi Government.

Insiders in the Delhi Government informed that the Finance Department had recently released Rs. 66 lakh each to the MLAs. However, this amount was termed as inadequate by the legislators who voiced their strong protest against continued delay in release of funds. What is even more surprising is that even after the passage of the budget in July, it took the Delhi Government well over a month to release rest of the money under this fund. It is not the first time that the Finance Department has played havoc with the developmental projects. It had held back the High Capacity Bus system initiative for months together for no valid reason. The project was finally given the go ahead after the Delhi Government came under criticism and pressure to go ahead with the environment friendly project. "It is nothing new for such a thing to take place. The Finance Department is known for sabotaging projects by withholding consent or putting hurdles by raking up frivolous issues. The computerisation programme in Government schools is another example of this callous attitude," a senior official remarked.

However, the Finance Department officials squarely blame the MCD for the botch up on the MLA Constituency Development Fund front. The officials pointed out that despite repeated reminders the MCD has failed to furnish accounts of nearly Rs. 68 crores under this head. It was only under political pressure that the entire fund was released without seeking a final settlement of the previous accounts. "The Rs. 68 crore deficit is alarming but this has happened in the past also. The Corporation officials have not settled these bills as they must be waiting for the contractors to arrive at a "settlement" before the payments are made. Only after the palms of the unscrupulous officials are greased will these bills be paid to the concerned parties," a senior Minister conceded.

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