Delhi Government Pushed The Civic Body Into Financial Crisis: NDMC

New Delhi: The North Delhi Municipal Corporation (NDMC) allegedly claimed that the Delhi government did not release Rs 1,181 crore to the corporation despite several communications “deliberately pushed the civic body into a financial crisis.”

While addressing a press conference, the mayor of NDMC, Jai Prakash said that since May 25 the files concerning to clearance of Basic Tax Assignment (BTA) are pending with the government. The corporation was owed Rs 240 crore under BTA “but those files are not being cleared,” said Prakash.

Basic Tax Assignment is a segment where the state government on behalf of the municipal corporations, raise the tax and pays the share of the civic body later.

Several phone calls and texts messages made to both the Aam Aadmi Party and the Delhi government were not answered. A media adviser, earlier, to Arvind Kejriwal, the Delhi chief minister had said, “The court made it clear last month that Delhi government has no dues left.”

The mayor said that the Delhi government, as per the recommendations of the fifth Delhi finance commission, has to give around Rs 3,000 crore to the north civic body in an year, but the corporation only got Rs 1,600 crore in the financial year 2018-19 and only Rs 1,500 crore in 2019-20.

“It is a deliberate attempt to create a financial problem. This BTA fund of Rs 240 crore is used to pay salaries of sanitation employees and DBC workers. This year as of now the Delhi government has released only Rs 387 crore to the north corporation and we are yet to get Rs 1,181 crore from them,” Prakash said, as quoted by Hindustan Times.

As per the statement of north corporation officials, the civic body also generated revenue of Rs 2,200 crore from the government for its own resources such as property tax, advertisements, parking contracts, stamp duty ta among others. “This year the income of the corporation has gone down drastically due to Covid-19 pandemic so we need funds from the government to sail through the crisis,” the official said.

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Sakchi Khandelwal

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