Quick Telecast
Expect News First

‘Clearance of dues by Delhi Govt only solution to MCD’s financial woes’ 

0 56


A week after the constitution of the unified Municipal Corporation of Delhi (MCD), employees at the civic body continue to remain an unhappy bunch with no clarity over the possible solution to the growing financial troubles that include pending salaries.

However, a senior official familiar with the development told The Hindu that the “only solution” to curb financial crunch was the payment of pending funds owed by the Delhi Government to the three erstwhile municipal corporations  – North, South and East – that have now merged into a single entity (MCD). 

Recurring delay

Prior to the merger, a key concern raised by employees was the recurring delay in the payment of salaries and pensions, while civic officials in the North and East corporations expressed concerns over the financial liabilities that resulted in the snail-paced development – or close to no progress – of projects.  Earlier this week, the MCD issued pending salaries and pensions of its employees for one month, releasing funds totaling to ₹432.84 crore – that it received from the Delhi Government.

“Asking the Delhi Government for the pending funds, even after the merger, is also an indication that the Centre might not provide a bailout package for the financial crisis. While the government says that they have calculated and paid what was necessary to the civic bodies, we [MCD] are back to the same problem of no clarity on how the financial crisis will be solved,” said another senior official. 

Devolution of funds

According to a document accessed by The Hindu, a regular gap in the devolution of funds to three erstwhile civic bodies was observed from the financial year 2016-17 to 2020-21.

For instance, in the the financial year 2019-2020, the erstwhile East Corporation was to receive a devolution of ₹2,137 crore, as recommended by the Fifth Delhi Finance Commission (DFC). However, the devolution by the Delhi Government to the civic body, stood at ₹1,845.96 crore, which, according to the senior MCD official, added to the worsening financial crisis. 

“The party’s senior State leadership is already in touch with the unified MCD regarding civic issues. Politically, the unification will give the Delhi BJP an opportunity to drop non-performing councillors who have been a part of the MCD over the last 10 years. A new civic leadership will emerge by the time the MCD elections are held,” a senior Delhi BJP leader said.


A week after the constitution of the unified Municipal Corporation of Delhi (MCD), employees at the civic body continue to remain an unhappy bunch with no clarity over the possible solution to the growing financial troubles that include pending salaries.

However, a senior official familiar with the development told The Hindu that the “only solution” to curb financial crunch was the payment of pending funds owed by the Delhi Government to the three erstwhile municipal corporations  – North, South and East – that have now merged into a single entity (MCD). 

Recurring delay

Prior to the merger, a key concern raised by employees was the recurring delay in the payment of salaries and pensions, while civic officials in the North and East corporations expressed concerns over the financial liabilities that resulted in the snail-paced development – or close to no progress – of projects.  Earlier this week, the MCD issued pending salaries and pensions of its employees for one month, releasing funds totaling to ₹432.84 crore – that it received from the Delhi Government.

“Asking the Delhi Government for the pending funds, even after the merger, is also an indication that the Centre might not provide a bailout package for the financial crisis. While the government says that they have calculated and paid what was necessary to the civic bodies, we [MCD] are back to the same problem of no clarity on how the financial crisis will be solved,” said another senior official. 

Devolution of funds

According to a document accessed by The Hindu, a regular gap in the devolution of funds to three erstwhile civic bodies was observed from the financial year 2016-17 to 2020-21.

For instance, in the the financial year 2019-2020, the erstwhile East Corporation was to receive a devolution of ₹2,137 crore, as recommended by the Fifth Delhi Finance Commission (DFC). However, the devolution by the Delhi Government to the civic body, stood at ₹1,845.96 crore, which, according to the senior MCD official, added to the worsening financial crisis. 

“The party’s senior State leadership is already in touch with the unified MCD regarding civic issues. Politically, the unification will give the Delhi BJP an opportunity to drop non-performing councillors who have been a part of the MCD over the last 10 years. A new civic leadership will emerge by the time the MCD elections are held,” a senior Delhi BJP leader said.

FOLLOW US ON GOOGLE NEWS

Read original article here

Denial of responsibility! Quick Telecast is an automatic aggregator of the all world’s media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials, please contact us by email – [email protected]. The content will be deleted within 24 hours.

Leave a comment
buy kamagra buy kamagra online
Ads Blocker Image Powered by Code Help Pro

Ads Blocker Detected!!!

We have detected that you are using extensions to block ads. Please support us by disabling these ads blocker.

Powered By
Best Wordpress Adblock Detecting Plugin | CHP Adblock