Dev projects stalled as Amritsar MC yet to release funds to pvt firms

The Amritsar Municipal Corporation is facing shortage of funds which led to disruption of development work of the city. Contractors and construction companies have reportedly stopped several projects because the MC has not paid their dues. The municipal corporation (MC) has not received due amount from Punjab Municipal Infrastructure Development Corporation (PMIDC) for a long time.

Though the MC sent the utilization certificate (UC) twice in the last two months, funds were not released. The municipal corporation used to get an instalment of about Rs 18 crore every month from GST, which used to meet the salary and other expenses of the employees. With the non-release of funds, only grade-4 employees got salary, while grade-3, grade-2 and grade-1 employees have not received the salary for February yet.

According to MC officials, the taxes deposited by the MTP Department to the Local Bodies Department, Chandigarh, is also not being given to the MC due to which the financial crisis has deepened. The government has not paid the due share to the MC against the payment of taxation and fee deposited by the MC in the state exchequer.

Moreover, the MC is not receiving the sewerage and water supply bills paid on the state government’s M Seva Portal.

The Municipal Corporation has repeatedly requested PMIDC on this issue, but no solution has been found yet. If funds are not received soon, the development work of the city may remain stalled for a long time, said an official.

Mayor Jatinder Singh Moti Bhatia said, “Due to delay in the formation of MC house, there were some issues of funding. Now we have formed the house and funds would be released soon. The MC employees will get their salaries on time.”