Letters: Fund mismanagement

Apropos the report, "Why is the PMO concerned over railways' performance?" (September 25), the note from the Prime Minister's Office (PMO) is silent on the most vital issue: rail safety. Ever since Suresh Prabhu took charge of the railway ministry there has been a spate of train accidents. The related formal enquiry reports and the post-enquiry action taken report are never put in the public domain.

It's disturbing to learn that the PMO had to intervene to highlight the "less than satisfactory performance" of the railways, with respect to many of its key projects. This report reveals that the railways is lagging behind, as it had, till the end of the first quarter, spent 20 per cent of the Rs 40,000-crore gross budgetary support provided by the Centre for the current financial year. Even now there is no substantial improvement in the railways' spending, according to the latest data available in the media.

While the details of the PMO's note has been accessed by Business Standard, the refusal by the rail ministry spokesperson to acknowledge the receipt of such a note is beyond comprehension.

One wonders what prevents the railways from quickly and effectively using the huge funds made available by the Centre to meet its ambitious targets -more so, when one gathers that the railways is seeking funds from the LIC and the World Bank for the purpose. How would it be able to arrange for the servicing of such external debts, in case it has already borrowed or has plans to do so in the near future?

Kumar Gupt Panchkula

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