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Friday, Feb 04, 2005

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No federal question

Sir, — Central subsidy for the tsunami victims is to be routed through the State Governments, which will also identify the beneficiaries. Only in cases involving bank loans, the subsidy component will be released through the banks. The scheme is meant to make relief really productive and purposeful. The Centre is underwriting the scheme. It is not directly doling out funds or selecting the beneficiaries and will not be reaping any political gains. There is no Centre-State impropriety or violation of federal norms involved.

A.N. Lakshmanan,
Coimbatore, T.N.

Sir, — The Rajiv Gandhi Rehabilitation Package for Tsunami Affected Areas does not seek to curtail or affect the flow of funds from the Centre to the States.

K.S. Gopalakrishnan,
New Delhi

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