Manish Sisodia Counters Bogus Claims by Three MCD Mayors, Says ‘It Owes Rs 8,600 Crores to Delhi Govt’

Agencies
·5-min read

New Delhi, October 29: Deputy CM Manish Sisodia today wrote a scathing letter to each of three Mayors of MCD calling out their lies and petty politics over the issue of delayed salaries to health workers in MCD hospitals. The three Mayors had earlier protested in front of CM’s residence claiming a large amount of balance payment from Delhi government to the MCDs.

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Countering the bogus claims made by the Mayors, Deputy CM Manish Sisodia presented hard facts showing that not only had Delhi government paid all the funds due to the MCDs as per the Fifth Delhi Finance Commission, they have paid over and above this amount resulting in a huge outstanding loan. MCDs Are Putting Baseless Allegations Against Delhi Government for Lack of Funds, Says Satyendar Jain.

Based on latest records, MCDs have outstanding loans from Delhi Government to the tune of Rs 6008 Crores, they also have arrears of Rs 2596 Crores to the Delhi Jal Board. Hence, in all, they owe over Rs 8600 Crores to the Delhi government. Dy CM Sisodia urged the three Mayors to rise above petty politics and focus on the real issue of corruption and financial mismanagement in each of the three MCDs. He urged the Mayors to demand the unpaid amount of Rs 12,000 Cr to the Central government that is a right of the people of Delhi Mayors to

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Writing to the Mayors, Dy CM Sisodia said, “I am writing this letter with much anguish and disappointment over your actions as the three Mayors of Delhi (NDMC, EDMC, SDMC) with regards to the unpaid salaries of doctors and healthcare workers in MCD hospitals.

From your actions, it is clear that rather than find a viable resolution of the matter using all administrative options available to the MCDs, you are only interested in peddling lies and indulging in shameful politics over this issue. In the process, you have caused unprecedented pain to the families of thousands of healthcare workers and lowered the prestige of the national capital at a time when the entire country has united in the fight against Corona.”

Presenting hard facts to counter the bogus claims of the three MCD mayors, Dy CM said:

1. Over the past many years, not only has the Delhi government paid MCD their due share of taxes, but it has paid a large sum over and above as loan. As on 1st April 2020, a total of Rs 6,008 Cr loan is outstanding over the three MCDs, as per records of the Urban Development department, GNCTD. This includes Rs 1977 Cr outstanding from EDMC, Rs 3243 Cr from NDMC and Rs 788 Cr from SDMC.

2. Even the recent CAG report (Audit Report No. 1) on State Finances of NCT of Delhi has noted that a large amount of unpaid loans to the extent of Rs 3814.89 Cr are due from the three MCDs to the Govt of NCT of Delhi as on 31st March 2018.

3. Besides the huge amounts of outstanding loans owed by the MCDs to Govt of NCT of Delhi, the three MCDs collectively owe Rs 2596.32 Cr in arrears to the Delhi Jal Board.

4. As for the amount owed by Govt of NCT of Delhi to MCDs for the current financial year 2020-21, as per the Fifth Delhi Finance Commission calculations, a total of Rs 1965.91 Cr is due until 26th October 2020 of which Rs 1752.61 Cr has been already paid. So it is clear that no major amount is due from Govt of NCT of Delhi, and any other figure that the Mayors of MCDs are demanding from Govt of NCT of Delhi is fictional and an attempt to divert the attention of public from the deep financial mismanagement and corruption inside the MCDs.

5. The fact that no dues from Govt of NCT of Delhi is outstanding to MCDs has been upheld by the courts too. In the order dated 12.06.2020 of the Hon’ble Chief Justice of Delhi High Court, it is clearly stated that Govt of NCT of Delhi has already disbursed the legally payable amount to North Delhi Municipal Corporation in the month of May 2020. However, since NDMC was still unable to pay the salaries of doctors and health workers from March 2020 onwards, Govt of NCT of Delhi went out of its way to make an advance payment of Rs 8 Crore towards the salaries of staff in six hospitals of NDMC, to be adjusted against future payments.

6. It is the Central Government that has not paid the due amount to the MCDs to the tune of Rs 12,000 Cr. It is well known that the Central Government provides grants to all the Municipal Corporations of our country. The amount given to Municipal Corporations is calculated based on their population and for every person residing in that city, Rs 488/- per person is given as municipal development funds. In total, Rs 2,87,636 is given as municipal funds to all the cities of the country except the Delhi MCDs. The Central government has granted funds to Ghaziabad and Gurugram from this fund, but none to the MCDs in Delhi. Based on Delhi’s population, this amounts to a total of Rs 12,000 Cr over the last ten years that should have been granted by the Centre to the MCDs. Why has not a single rupee out of this amount been demanded by the MCDs from the Central government?

7. MCD's own internal audit reports have pointed to complete financial mismanagement of the three MCDs. In the internal audit report of 2016-17, North MCD's Chief Municipal Auditor found Rs 3,299 Cr of financial irregularities. Additionally, the audit reports pointed that South MCD has Rs. 1,177 Crore outstanding arrears of property tax but there is no attempt to recovery – we all know what that means.