Unused MLALAD funds to go to State exchequer
Not a single paisa of MLALAD funds was used during the fiscal 2006-07 in 
Dholai, Baitholangshu, Majuli, Dergaon, Jorhat, Bijni, Sidli and Dhemaji LACs 
By our Staff Reporter
GUWAHATI, Oct 14: Massive “underutilization” and “unutilization” of cash 
released by the Planning and Development Department of the Asom Government as 
MLA Local Area Development (MLALAD) funds over the years has prompted the State 
Government to think to make the non-lapsable MLALAD funds lapsable i.e. 
introducing the system of the taking the unused money of the MLALAD funds back 
to the State exchequer. Besides exposing the lack of commitment on the part of 
the elected representatives of the State towards the development of their 
respective Legislative Assembly Constituencies (LACs), “underutilization” and 
“unutilization” of the released cash failed the very purpose of the MLALAD 
funds which had been introduced in the State by then Chief Minister Hiteswar 
Saikia in 1994.
According sources, the Additional Chief Secretary in-charge of P & D Department 
has prepared a note stating that the unused MLALAD funds will go back to the 
State exchequer. However, the Additional Chief secretary’s note is yet to be 
approved by the Chief Minister. The system prevalent at present is that the 
unused MLALAD funds are released for developmental schemes of the 
constituencies in the following financial year.
According to sources, from fiscal 2002-03 to 2006-07, the State Government 
released Rs 17,640 lakh as MLALAD funds, but Rs 3343.42 lakh of this amount 
remained unused. In the fiscal 2006-07 alone, the State Government released Rs 
3,780 lakh as MLALAD funds for its 126 Legislative Assembly Constituencies 
(LACs), but Rs 1283.42 lakh of the amount remained unused. The worst is that 
not a single paisa of MLALAD funds was used during the fiscal 2006-07 in 
Dholai, Baitholangshu, Majuli, Dergaon, Jorhat, Bijni, Sidli and Dhemaji LACs. 
Meanwhile, the P & D Department recently informed the district administration 
that Rs 3,150 lakh was released for the 126 LACs of the State at the rate of Rs 
25 lakh per LAC as the first instalment of the MLALAD fund for the fiscal 
2007-08. The department, however, made it clear to the deputy commissioners 
that all pending schemes up to 2006-07 have to be implemented as per the 
standing guidelines, and the entire amount released by December 31, 2007 has to 
be used. “If any funds of the previous years remain unused, that may be 
surrendered and deposited in the State exchequer,” the P & D Department said, 
and added: “The deputy commissioners should furnish the reports of completion 
of works along with unutilization certificates in respect of MLALAD funds to it 
in due course.”
   
   (The Sentinel,15.10.2007)



       
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