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Monday, July 09, 2001

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MoU runs into rough weather




By Our Staff Reporter

NEW DELHI, JULY 8.

The  signing of a Memorandum of Understanding (MoU) by the  Delhi 
Government  with the Municipal Corporation of Delhi has run  into 
rough  weather.  The Corporation has expressed its  inability  to 
enter   into   such  a  agreement  for  various   political   and 
administrative reasons. 

The  Delhi  Finance  Minister, Mr.  Mahinder  Singh  Saathi,  had 
announced during the Budget session about signing of a MoU on the 
lines  of  those signed with the Delhi Vidyut  Board,  Delhi  Jal 
Board and Delhi Transportation Corporation. But with almost three 
months  of the current financial year gone, there is no  sign  of 
the MoU. The Delhi Government gives nearly Rs. 850 crores to  the 
MCD  annually for developmental works. The money is  released  on 
quarterly  installment basis and often the State  Government  and 
the MCD have clashed on the release of money.

Mr.  Saathi has, time and again, accused the MCD of not giving  a 
proper account and had, through the MoU, proposed to put in place 
the  accountability factor which would keep a close watch on  the 
spendings.  But,  according  to  officials  in  the  Finance  and 
Planning  Departments, the MCD Commissioner, Mr.  S.P.  Aggarwal, 
has expressed his inability to sign the MoU. 

Mr. Aggarwal is understood to have pointed out that the MoU would 
have  to be approved by the House and the Standing  Committee  of 
the MCD, which is dominated by the BJP, which is unlikely keeping 
in  mind  the political stakes. It was felt that  any  such  step 
would  lead  to  politicisation of the issue just  a  few  months 
before  civic polls. To avoid such a situation, the  best  course 
was  to  handle  the issue administratively  as  this  would  not 
require  any  political  sanction, and it could be  done  at  the 
Commissioner's level.

The  idea  is  understood to have found  favour  with  the  State 
Government  which  is  keen  to put  in  place  a  mechanism  for 
monitoring  of the funds. It is now being proposed that  the  MCD 
and State Government reach at some understanding where release of 
funds  could be linked to spending of funds and  providing  their 
account.  As the funds are released on a quarterly basis,  it  is 
proposed that the MCD could provide detailed account highlighting 
the sectors where money has been spent.

Going  a  step forward, the Finance Minister is keen  to  have  a 
meeting  with  political leaders to urge them to  work  out  some 
solution  about  the  developmental funds. It  is  expected  that 
Mr.Saathi would soon be convening a meeting with participation by 
the Mayor, Mr. Shanti Desai, the Leader of the House, Mr.  Mahesh  
Chander Sharma, the Standing Committee Chairman, Mr. Prithvi  Raj 
Sawhney and the Leader of the Opposition, Mr. Ram Babu Sharma.

Mr.  Saathi  is  expected to plead with them that  some  kind  of 
formula  be  worked  out  under  which  elected  representatives, 
cutting  across  party lines, keep out the issue  of  development 
from politics and it be purely dealt on merit. But with MCD polls 
only months away, any such move is unlikely to bear fruit. 



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