The Aam Aadmi Party (AAP) government also informed Delhi High Court that it has initiated the process of constituting the 5th Finance Commission by sending a proposal to its Urban Development Department and the entire procedure would be completed within four months.
The submission was made in an affidavit placed before a bench of Chief Justice G Rohini and Justice Jayant Nath which had on June 29 pulled up the AAP government for delaying the constitution of the 5th Finance Commission and for "sleeping over" implementation of recommendations of the 4th such panel.
The court was hearing a PIL filed by an NGO, Campaign for People Participation in Development Planning, for directions to Delhi government led by Arvind Kejriwal and Lt Governor Najeeb Jung to "immediately release adequate funds" to the municipalities to enable them perform their functions.
The NGO, represented by advocate Anil K Aggarwal, today moved an application for removing Delhi government as a party from the matter, saying as per the Government of NCT of Delhi Act, 1991, in all matters concerning the national capital, only the Centre can sue or be sued against.
The NGO has also moved an application to restrain the LG from "utilising" the consolidated fund of the national capital till the share of the municipalities is disbursed from it.
The court has sought response of the city government on the two applications and listed the matter for further hearing on August 6.
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