Financial crisis Strictures enforced, salary saved
Source: The Sangai Express
Imphal, April 03 2012:
With an acute financial crisis looming ahead, the State Government has directed the Finance Department not to release any funds, save for the salaries of the Government employees.
Speaking to The Sangai Express an official source said that a ban on release of funds under the Plan and non-Plan expenditures have been enforced with immediate effect.
Even funds under the Centrally sponsored schemes have come under the blanket ban, said the source.
The ban however is relaxed in the case of releasing salaries for Government employees, pensions, repaying loans, payment of interest and funds for purchasing energy from power corporations.
With the State Government withdrawing Rs 700 crore on the last day of the last financial year (March 31) the State has nothing left in its account now.
There is however no official report on whether the Reserve Bank of India has conveyed the deficit amount incurred by the State Government or not.