EDMC seeks LG’s intervention over ₹245 crore ‘pending payments’ from Delhi govt
To make timely payment of salaries to its employees, the East Delhi Municipal Corporation (EDMC) has sought the intervention of Lieutenant Governor Anil Baijal to pressure the Delhi government to release pending payments amounting to over ₹245 crore which the civic body claims it is owed in the first two quarters of the ongoing 2021-22 fiscal year. The Delhi government said it does not owe any money to the civic body.
Addressing the media on Monday, EDMC mayor Shyam Sunder Aggarwal said the total shortfall of the first and second quarters from the Delhi government against the fifth Delhi finance commission (DFC) allocation is ₹246.16 crore. “The shortfall includes dues of ₹123.56 crore in basic tax assignment and ₹122.60 crore for schemes related to sanitisation, health and primary education. We have intimated Lieutenant Governor (LG) Anil Baijal in person, about this non-cooperative approach of the state government. The corporation is reeling under acute financial crisis and we are not in a position to even pay the salary of our employees,” he said.
Aggarwal attributed the shortfall in allocation to faulty calculations by the Delhi government. “The net tax revenue collected in the first two quarters of the present fiscal is ₹40,765.02 crore. As per the provisions made under the fifth DFC, EDMC’s share of Basic Tax Assignment (BTA), which is 41.805% of the net tax revenue, should be ₹1,022.50 crore. But we have received only ₹864.83 crore, due to the wrong calculations. The LG has assured us help in releasing the additional BTA amount of ₹157.67 crore as soon as possible,” he said.
The EDMC mayor also said that he apprised the LG about several other issues like encroachment and misconduct of nominated members in EDMC house meeting and master plan 2021.
Echoing similar views, Bir Singh Panwar, the chairman of the EDMC’s standing committee, pointed out that the shortage of funds will affect salary payments ahead of Diwali. “The Delhi government should release the outstanding funds of the corporation as soon as possible. For the development of Delhi, the Delhi government needs to adopt a cooperative attitude,” he said.
A Delhi government spokesperson called the claims “baseless”. “The Delhi government is constantly making payments of 12.5% of its revenues to the MCD as per the ruling of the Delhi Finance Commission. These allegations are completely false and there is no basis for the MCD to seek more payment. The Delhi government does not have an open chest to hand out cash as per MCD’s arbitrary and unwarranted demands; and it can certainly not cut the salaries of its own officers just because MCD wants more money that they should get,” said the spokesperson.