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MCD demands funds from Delhi Govt.

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The Hindu      23.07.2010

MCD demands funds from Delhi Govt.

Staff Reporter

To pay wages, arrears to employees and meet other expenses


Asks for Rs.3,539 crore in grant; Rs.1,000 crore in loan


NEW DELHI: The cash-strapped Municipal Corporation of Delhi has written to the Delhi Government demanding about Rs.3,539 crore in grant and Rs.1,000 crore in loan for paying salaries and arrears to employees and meeting expenses under other heads.

According to civic body officials, though the MCD was receiving funds from both the Delhi Government and the Central Government for projects directly linked to the Commonwealth Games, a lot of the MCD's own funds were being utilised for a number of projects that are not directly linked to the sporting event, prompting the need for additional funds.

MCD Standing Committee chairman Yoginder Chandolia said: “The Municipal Commissioner has written to Delhi Finance Secretary on Thursday in this regard. We have also sought time from Delhi Finance Minister A. K. Walia and will meet him when he gives us an appointment. Apart from demanding the shortfall in our property tax recoveries from the last fiscal which amounted to Rs.1,254 crore, we have also asked for Rs.1,080 crore as one time grant for settling the Sixth Pay Commission arrears of our employees.”

“We demanded Rs.922 crore under Plan head of which only Rs.317 crore has been given. We are now requesting them to grant the remaining Rs.605 crore too. In addition, Rs.600 crore has also been demanded under the head of education," he added.

The BJP leader also said that the MCD had sought Rs.1,000 crore as loan from the Delhi Government for paying salaries of its workers.

Besides struggling to meet its employee salary commitments, the civic body has also been facing trouble for non-payment of dues to the municipal contractors who are on a tool-down strike.

Last Updated on Friday, 23 July 2010 06:53