Delhi civic bodies failed to utilise Rs 2,000 crores collected as conversion, parking charges

Although the three Delhi civic bodies collected around Rs 2,000 crores as conversion and parking charges, most of this amount was diverted to employee-related expenditures, a government source has revealed

All three municipal corporations in Delhi were not able to utilise around Rs 2,000 crores collected as conversion and parking charges from the city’s markets between 2006 and 2017, a government source said, on January 24, 2018. Most of this amount was ‘diverted’ into employee-related expenditures, according to the source, who cited details of a report submitted by the MCDs to a special committee of the Delhi assembly.

See also: Delhi house panel asks civic commissioners to give conversion charge details

Earlier this month, assembly speaker Ram Niwas Goel, had referred issues related to the ongoing sealing drive and conversion charges to the special committee and asked it to submit its report, on the first day of the next session. The Aam Aadmi Party, which leads the Delhi government, has been opposing the BJP-led civic bodies’ ongoing sealing drive.

All three municipal commissioners appeared before the committee and submitted details that the funds collected as conversion and parking charges, were ‘diverted’ for making payments of salaries, arrears, bonuses and other employee-related expenditure. The North MCD submitted that it had collected a total of Rs 1,772.13 crores from 2006-17, of which it spent Rs 1,642.55 crores on ’employee-related expenditure’, while only Rs 129.58 crores was spent for the markets, the sources said. Similarly, the East MCD reported that it collected Rs 49.95 crores since 2012-17, of which Rs 8.38 crores were spent for ‘development of parking sites’ and Rs 18.16 crores on payment of salaries, they added.

 

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