Centre ready to clear pending dues of Rs 2,300 cr: Punjab CM

Punjab chief minister Captain Amarinder Singh said Thursday that the Centre has agreed to clear outstanding payment of Rs 2,300 crore towards grain procurement and tax reimbursement.

The chief minister, who met Union Food Minister Ram Vilas Paswan on this matter, was however informed in the meeting that the payments will be cleared at the earliest if claims are submitted in a proper manner.

"There are pending payments amounting Rs 2,300 crore. We have resolved it now. We need that amount as the crop cutting will begin soon," Singh told reporters after the meeting.

On the other hand, Paswan said that the Centre is trying to sort out the pending bills of the Punjab government.

"Their pending bills will be cleared in a time-bound manner if claims are submitted properly, " Paswan said.

About Rs 1,154 crore will be cleared by the end of this month, said a senior union food ministry official separately.

This includes Rs 354 crore towards pre-GST reimbursement of taxes and cess, Rs 400 crore reimbursement of food subsidy under food law pending for second and third quarter of this year and Rs 400 crore payments towards maintenance and storage of paddy for 2003-04 to 2016-17, the official added.

Another demand made by the Punjab government was regarding reopening of files related to the payment towards maintenance and storage of wheat in CAP (Cover and Plinth) and open areas between 2007-08 and 2013-14. But the centre said it will reopen the cases provided the state gives a convincing reason.