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This is an archive article published on June 19, 2010

‘Spend half of MLA LAD fund without govt nod’

Fast-tracking the release of MLA LAD funds,Finance and Urban Development minister A K Walia on Friday enforced new rules under which half of the funds allotted to MLAs will be allowed to be spent without any clearance from the Urban Development Ministry.

Fast-tracking the release of MLA LAD (local area development) funds,Finance and Urban Development minister A K Walia on Friday enforced new rules under which half of the funds allotted to MLAs will be allowed to be spent without any clearance from the Urban Development Ministry. The MLAs are allotted Rs 2 crores every year for development works in their constituencies.

Legislators complain construction works they approve in their constituencies under the MLA local area development funds are usually delayed because the Urban Development department takes too long to approve the expenses.

Walia said,“I am confident that the new instructions will facilitate early execution of works.”

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But according to the new rules Rs 70 crore,or half of the collective Rs 140-crore annual fund of the city’s all 70 legislators,will be given directly to civic agencies at the beginning of the year.

The MCD that owns most of the city’s civic infrastructure will get Rs. 67 crore. Rs. 2 crore will be given to the New Delhi Municipal Council and the Delhi Cantonment Board,which manages the Delhi Cantonment will get Rs 1 crore.

“The agencies can’t use these funds on their discretion. They can spend the money only on projects that legislators approve,” said Walia.

The remaining Rs 1 crore that every legislator sanctions for work will still have to be cleared by the Urban Development department.

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Former Health minister and the Bharatiya Janata Party’s legislator from east Delhi Harshvardhan welcomed the move but said the entire Rs 2 crore should be transferred to civic agencies.

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