Centre's formula on transferring funds to states wrong: Mukul

Meghalaya Chief Minister Mukul Sangma today said the Centre's formula on transferring of resources to the states is "wrong" and demanded restoration of special block grants released for Special Category States including those in the NE region.
"This (withdrawing of the grants) is like setting a same benchmark for all states in the country. We feel this formula is wrong," Mukul said while replying to a call attention motion moved by Leader of Opposition Donkupar Roy in the state Assembly.
"The contention of the Centre has been that since increase from 32 per cent to 42 per cent is already substantial, therefore states are expected to have enough money and resources," he said.

"State governments are not receiving entitlements based on the mercy of the Centre... It is our entitlement and it cannot be tampered upon," the Chief Minister said.
"Successive governments in the past have understood the complexity of the problems of the North East and the huge gap in respect of development of this region," he said.
"This (perception) is not true. The union government can't actually reduce the funds by manipulating with the figures. Whatever is entitlement of the state government will keep on coming as per recommendation of 14th Finance Commission."
Mukul stated that the state government would continue to demand release of special block grants from the Centre for Meghalaya.