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Puducherry Cabinet to seek Central assistance for arrears payment

PUDUCHERRY: The Puducherry government on Saturday decided to seek Central assistance for the disbursement of 40 per cent of the arrears accounting for Rs.350 crore to the government employees as per the recommendations of the VIth Pay Commission.

Shortly after the first Cabinet meeting of the new government, Chief Minister V.Vaithilingam told reporters that it had been a routine practice that the Central government provided 75 per cent of the funds required for payment of arrears to the employees while the remaining 25 per cent would be met by the territorial government.

The 75:25 ratio was adopted in the disbursement of arrears to the tune of Rs.1000 crore in the wake of the Vth Pay Commission recommendations, he recalled. He expressed the hope that the same system would be followed in the case of payment of arrears now.

The Cabinet had decided that a delegation of Ministers led by him would shortly visit Delhi to submit this demand to the Central government.

The delegation would also seek additional Central assistance to the tune of Rs.354 crore required for the implementation of various welfare schemes in the Union Territory.

The Cabinet had a detailed discussion on the financial requirements of the Union Territory with a focus on the implementation of schemes such as the tsunami relief, projects implemented through the Public Works Department, reimbursement of fees to the students admitted to the professional colleges through the Centralised Admission Committee, providing bicycles for school students and disbursement of education loan for higher studies, he said.

The Cabinet also reviewed issues relating to the financial implications of schemes such as land acquisition for educational institutions and construction of school and college buildings, he added.

Mr.Vaithilingam said that the government faced a shortfall of Rs.354 crore including Rs.230 crore for payment of dues for works undertaken by the PWD, Rs.50 crore needed immediately for the Rs.80 crore-project to construct permanent houses under the rehabilitation programme for the tsunami-affected people at Kalapet and Rs.14 crore for the completion of the left out works at the government women and child hospital.

The Cabinet had also decided to provide land tax remission for farmers in the tsunami-hit areas and those in the areas affected by floods in 2005.

Another decision taken by the Cabinet related to withdrawal of cases registered against persons who participated in agitations such as road roko since 2002, the Chief Minister said.

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