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New HR govt blames previous Congress regime for fiscal mess

Press Trust of India  |  Chandigarh 

Blaming the previous Congress regime in the state for "fiscal mess", Haryana Finance Minister Captain Abhimanyu today said the new government will focus on boosting economic growth and equitable development of the state.

However, the state government said it would be difficult to bring the state's fiscal situation on track "within one or two years".

While replying on the general discussion on the budget estimates, Haryana FM also accused the previous government of giving "undue favour to certain individuals" at the cost of state's fiscal health.

Citing a case of "unrecovered" revenue of Rs 15,000 crore of Haryana Urban Development Authority (HUDA), the minister said the previous government "failed" to act in recovering the revenue which could have been used for plan or capital expenditure.

"...The revenue should have been gone into the state exchequer. But everybody knows that the previous government worked to give undue favour to certain individuals," he alleged.

He said Rs 11,500 crore should have been credited into HUDA account which had been lying with private builders and a payment of Rs 3,500 crore was paid as income tax which could have been prevented by maintaining accounting practices.

On this, former Haryana Chief Minister Bhupinder Singh Hooda said, "...If you have courage, then go and recover it."

Asserting that Haryana's economy offers "immense potential" in generating revenue, Narnaund MLA said the state government will make use of information technology and computers for raising the revenue by bringing transparency and removing corrupt practices.

With a projected revenue deficit of Rs 9,500 crore, Haryana FM expressed surprise over the "deferred expenditure" of Rs 1,778 crore and Rs 2,210 crore projected as "excess revenue" by the previous government.

Several schemes worth Rs 2,025 crore were floated without making provision in the state budget by previous government in 2013-14 in the wake of ensuing elections, he said.

He said expenditure to the tune of Rs 4,500 crore for 2013-14 was deferred to year 2014-15 for payment.

Referring to the Opposition charge of the revenue deficit going up and the fiscal deficit not being contained, Capt Abhimanyu blamed the previous government for the same.

Only 46.59 per cent of the Budget receipts had been collected upto October 2014 when present government took reign of the administration. "With concerted efforts, we have achieved gross revenue receipts of 83 pc so far," he said.

On the issue of FRBM Act for revenue and fiscal deficit, he said that State government would ensure minimizing the revenue deficit and borrowing, if any, would be within the prescribed limits.

The debt whatsoever taken would be utilised for planned expenditure and capital expenditure, he said.

However, he said, "We could not rectify (the fiscal situation) in 1 or 2 years but whatever will do that will be in the interest of state.

First Published: Fri, March 20 2015. 20:22 IST
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