news details |
|
|
| Rather picks loopholes in Qarra's budget, says financial emergency existing in JK | | | Jammu, Jan 19-Asserting that the budget presented by the coalition government was based more on presumptions rather than real figures, opposition leader and National Conference stalwart Abdul Rahim Rather today made a point by point critique of the financial proposals made by Finance Minister Tariq Hamid Qarra in the State Assembly on January 17.
Participating in the Budget discussion, Rather in his one hour long speech virtually ripped apart the government's claims of presenting zero deficit budget and rising growth rate, by quoting various discrepancies in figures between those shown in Budget speech of Finance Minister and the Budget documents.
Making a scathing attack on the coalition government, Rather alleged that financial emergency is existing in the state as bills and cheques issued by the government are bouncing
"Bills worth crores are pending and the state govt does not have money to honour them", alleged the opposition leader, adding that the financial profligacy was responsible for this mess.
Continuing his tirade against the coalition, he said that govt has proposed to launch an amnesty scheme for traders under J&K State Sales Tax Act which in reality was not possible. "I don't know how this is possible because this act is void after the imposition of VAT in the state", said Rather, startling the treasury as well as opposition benches.
"I will oppose this amnesty scheme as the Govt can not do so under law", he said, adding no where in the world a govt has brought an ordinance to help tax evaders.
The Govt had yielded to pressure from some influential quarters, Rather said "From where has the amnesty scheme parachuted into the budget while the govt had assured that there would be no relief for tax evaders".
Picking on several loopholes in the state budget, Rather alleged that the government was misleading the people, when it said that this was a 'Zero Deficit budget".
How can the govt say that it has zero deficit, when it is running an overdraft of about 2190 crores, alleged the leader of opposition, adding "when NC left the government, we were running an overdraft of around Rs 1000 crores only". "Why the overdraft has increased so much".
When the bank refused to finance such a huge amount, the government resorted to a stratagem and tried to mislead by separating the power budget from the general budget, thus opening two account head, he alleged.
Making further allegation that the proposals made by the government were shaky, Rather said "Finance Minister has proposed a 4000 crore plan for the state, but it can be realized on the ground only if a grant of 1300 crore is released by the Centre as part of power reforms grant".
If this grant is not released by the Union Finance Ministry, than the entire budgetary exercise is wasted, he said.
Alleging that the comptroller and auditor general has passed strictures against the state government for distributing the money in a lump sum manner, he said, "this is due to the fact that money has been distributed arbitrarily with no expenditure details".
This is the first time that such strictures have been passed against the state government for financial mis-governance, he added.
Picking up the gauntlet thrown in by Finance Minister Qarra regarding the fudging of facts and figures, the leader of Opposition alleged "the finance minister in his address says that he has not raised a plan loan this year as these are expensive".
However, a perusal of the budget document tells a different story, he added, as it is clearly mentioned that a plan loan of Rs 394 crore was raised by the state govt during current year.
"If this is not fudging than what is fudging", Rather demanded to know, adding that govt was trying to mislead the people by giving false information.
Blasting the various growth figures quoted in the budget, the National Conference stalwart presented his own calculations in the Assembly.
The growth rate of economy during 1996-2002 under NC rule was 11.21 pc whereas the figure for 2002-2006 is 7.14 pc. Likewise, the per capita income which had seen a growth of 8.96 pc from 1996 to 2002 has fallen to just 4.76 percent from 2002 to 2006.
The govt has not only to explain this fall but also tell why wrong growth figures are quoted in the budget document.
The coalition govt has indulged into fiscal profligacy with abandoned, alleged Rather, "Why has the non-plan expenditure increased from 4945 crores to 9374 crores, which is almost the double".
This govt is wasting valuable resources for running a mammoth establishment, despite the fact that Jammu and Kashmir Fiscal Responsibility and Budget Management Act is in the offing
Taking a hard look at the state power budget, the former Finance Minister said that Govt has bought power worth 1600 crores this year but realizations are negligible.
"How will you pay for this power when the revenue is not coming in", he added.
Criticizing the power department, he said this department refuses to set up new transformers and electricity poles stating lack of funds, " But, why has it surrendered 80 crore rupees as it could not be spent".
Concluding his detailed analysis of the budget,. Rather said that financial mismanagement is the highlight of this government and this is the reason that Finance department has overspent by 300 crores".
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
| |
|
|
|
|
 |
|
|
