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Financial crisis: Local bodies department stops Ludhiana MC from floating new tenders

Residents and opposition parties are already raising a hue and cry over the MC’s failure to carry out development works, including the construction of roads and installation of interlocking tiles
Hindustan Times, Ludhiana | By Harsimran Singh Batra, Ludhiana
PUBLISHED ON JAN 08, 2020 10:24 PM IST

 Reeling under a severe financial crisis, the municipal corporation (MC) is set to face more trouble as the local bodies department has restricted it from floating new tenders for development works till the condition improves.

Residents and opposition parties are already raising a hue and cry over the MC’s failure to carry out development works, including the construction of roads, installation of interlocking tiles, etc, in the city. The dilapidated condition of roads has further added to the misery of both residents and the civic body.

An MC official, requesting anonymity, said that orders have been issued to civic bodies across the state as most are facing a financial crisis. The Ludhiana MC is finding it difficult to even pay salaries to its employees.

Earlier too, the local bodies department had directed the MC to float new tenders only after viewing the financial condition of MC. The MC has to pay over 100 crores to contractors for development projects which were taken up in the past, said the official.

MC commissioner Kanwalpreet Kaur Brar confirmed that the local bodies department has restricted the civic body from floating new tenders for development works such as road construction. Brar said that they will comply with the directions which they have received from the high authorities.

The civic body is working to expedite recovery of pending dues from residents and efforts are being made to improve the financial condition, said Brar.

The opposition parties have been taking a dig at the Congress government for its failure in taking up development projects. In December, Ludhiana Member of Parliament (MP) Ravneet Singh Bittu had also raised questions over the alleged failure of finance minister Manpreet Badal in improving the financial condition of the state. A controversy had erupted over his statement and the Shiromani Akali Dal (SAD) had also demanded the minister’s resignation.

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