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Punjab govt again urges SC to take up its plea on rural funds

The Punjab Government – wanted immediate release of over Rs 1,000 crore from the Centre on account of alleged dues of Market Fees and RDF – has made several requests to the top court in the last few months to urgently take up its plea
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The Punjab Government on Tuesday urged the Supreme Court to urgently take up its plea seeking an urgent release of over Rs 1,000 crore from the Centre on account of alleged dues of Market Fees and Rural Development Fees (RDF).

"My season is starting today, and the infrastructure of the mandis and the agrarian societies in Punjab is in dilapidation," Punjab Advocate General Gurminder Singh told a Bench led by DY Chandrachud.

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Singh said though the matter was listed on Tuesday, it was unlikely to come up for hearing as the Bench was hearing another part-heard matter.

As the Advocate General requested the Bench to keep the Punjab Government’s suit high on the board (cases listed for hearing before a Bench), the CJI assured him that the matter will be kept in “some higher position” in the list.

The Punjab Government – which wanted immediate release of over Rs 1,000 crore from the Centre on account of alleged dues of Market Fees and RDF – has made several requests to the top court in the last few months to urgently take up its plea.

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The Bhagwant Mann-led AAP government had last year filed a suit before the Supreme Court against the Centre over the non-reimbursement of statutory fees allegedly running into thousands of crores of rupees that the State government had levied on behalf of the Central government during the procurement of food grains.

In its original suit filed under Article 131 of the Constitution, the State of Punjab complained against the Centre for refusing to transfer back the statutory Market Fees and Rural Development Fees levied by the state on behalf of the Centre.

Article 131 of the Constitution deals with the Supreme Court’s original jurisdiction in a dispute between the Centre and one or more states; or a dispute between two or more states.

The levies are important in bearing the expenses of acquiring food grains with minimum transition losses, the State government explained.

The dues on account of RDF were said to be to the tune of Rs 3,637 crores from 2021 and market fees to the tune of Rs 2,400 crores from 2022.

The Centre’s actions went against the Modified Fixation Principles in place since February 24, 2020, the Punjab Government submitted.

 

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