Former dy mayor alleges loss of interest worth Rs 300 cr by PMC

ST Correspondent
Friday, 6 July 2018

“According to the then Land Acquisition Act, the PMC had deposited its share in the land acquisition fund which amounted to around Rs 487 crore. Then the Act was invalidated and a new Act was passed in its place,” Bagul said.

PUNE: Senior Congress leader and former deputy mayor Aba Bagul alleged that the carelessness of the Pune Municipal Corporation has caused a loss of Rs 300 crore worth of interest over the amount that it had deposited with the State government eight years ago. The senior Congressman said that in the time of cash crunch, such a huge amount would have made a huge difference.

Bagul said that around Rs 500 crore was deposited with the State government for land acquisition. “According to the then Land Acquisition Act, the PMC had deposited its share in the land acquisition fund which amounted to around Rs 487 crore. Then the Act was invalidated and a new Act was passed in its place,” Bagul said.

He further added, “As no acquisition took place, the amount lied as it is in the treasury of the State, with no interest accruing on it. The interest, if that amount would have been invested or deposited in a fixed deposit, would have earned the PMC an interest of about 250-300 crore over 8 years,” adding, “In times when the PMC budget is facing a deficit of Rs 1,500 crore, such an amount would have been very useful.”

Bagul said that this is a reflection of the callous attitude of the PMC. “The PMC recently raised an amount of Rs 200 crore from the market. The High Capacity Mass Transit Road project requires Rs 4,000 crore for the construction and Rs 2,000 crore for the land acquisition,” he said, adding, “If this amount was available to the PMC, traffic woes of the city could have been dealt in a single stroke.”

“The PMC administration should wake up from its slumber. Such callous attitude is not acceptable. Do Punekars not deserve development?” Bagul questioned. He further said, “The PMC commissioner and mayor should answer this question. If any of my allegations are false, they should prove it. In my tenure, I had established a revenue committee which was also dismantled. It must be reinstated for the better of the people.”

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