The mayor of NDMC has alleged that Delhi government has not paid transfer duty of over Rs 386 crore to municipal corporations pending for the last six months. The mayor also alleged that the government is intentionally delaying the payments to compel the corporation to impose new taxes or increase existing taxes.
‘Delhi government is compelling the newly created corporations to impose new taxes or hike the existing taxes, but not releasing their share of taxes. They are also not releasing the rightful share of corporation,’ said Mira Agarwal, Mayor, NDMC.
According to the corporation officials, the government has sanctioned around Rs 30 crore for NDMC, but it had not transferred the money into their account. The mayor also alleged partiality as Delhi government has been providing bailout packages to private DISCOMS like BSES, NDPL and government agencies like DJB, but give loans to corporations at 12 per cent interest.
NDMC on Tuesday unanimously passed a resolution to convert loan into grant in aid.
‘It’s mentioned in the very Act of partition of the MCD that extra financial burden, if any, would be shouldered by Delhi government, but now they are refusing all their responsibilities,’ added Agarwal.
According to officers, the government owes Rs 386 crore of transfer duty of the three corporations. The share of corporations in the transfer duty is released by Delhi government on monthly basis, but it has not been released since last December. The budget deficit of Rs 790 crore is also pending with Delhi government so is the Rs 600 crore of contractors liability in which NDMC’s share is Rs 242 crore.
‘The global share of the corporations is also not fixed so far,’ alleged Agarwal. The unified MCD used to receive Rs 237 crore of global share from Delhi government, which has not been paid since 2011. According to NDMC officers Delhi government has defaulted its payments by three to six months.
‘Delhi government is compelling the newly created corporations to impose new taxes or hike the existing taxes, but not releasing their share of taxes. They are also not releasing the rightful share of corporation,’ said Mira Agarwal, Mayor, NDMC.
According to the corporation officials, the government has sanctioned around Rs 30 crore for NDMC, but it had not transferred the money into their account. The mayor also alleged partiality as Delhi government has been providing bailout packages to private DISCOMS like BSES, NDPL and government agencies like DJB, but give loans to corporations at 12 per cent interest.
NDMC on Tuesday unanimously passed a resolution to convert loan into grant in aid.
‘It’s mentioned in the very Act of partition of the MCD that extra financial burden, if any, would be shouldered by Delhi government, but now they are refusing all their responsibilities,’ added Agarwal.
According to officers, the government owes Rs 386 crore of transfer duty of the three corporations. The share of corporations in the transfer duty is released by Delhi government on monthly basis, but it has not been released since last December. The budget deficit of Rs 790 crore is also pending with Delhi government so is the Rs 600 crore of contractors liability in which NDMC’s share is Rs 242 crore.
‘The global share of the corporations is also not fixed so far,’ alleged Agarwal. The unified MCD used to receive Rs 237 crore of global share from Delhi government, which has not been paid since 2011. According to NDMC officers Delhi government has defaulted its payments by three to six months.