NEW DELHI: Development work worth up to Rs 700 crore under the MLA Local Area Development (LAD) scheme may be hit this year as the Delhi government has suspended the fund due to financial issues arising out of COVID-19 pandemic.
The opposition BJP has demanded the AAP government to clarify its stand on MLALAD fund, claiming not even a single proposal under the scheme has been accepted since the constitution of the 7th Delhi Legislative Assembly in February.
Speaking at the one-day special session of the Delhi Assembly held last week, Delhi Urban Development Minister Satyendar Jain had said the MLALAD fund has been suspended.
"The MLALAD fund has been suspended by the Delhi government due to finances," he said.
Delhi Finance Minister Manish Sisodia had earlier this month accused the Centre of betraying the states by running away from its responsibility and asking them to borrow money to compensate for their revenue shortfall.
He had claimed that the Delhi government collected Rs 7,000 crore less tax in the first four months of the fiscal year of 2020-21, which would lead to a shortfall of Rs 21,000 crore by the end of the year.
The central government should take loan on our behalf as we also need to pay salaries to our doctors, teachers, engineers and other employees," Sisodia had said after a GST Council meeting.
Meanwhile, BJP MLA and former Leader of Opposition Vijender Gupta on Sunday sought further clarification from the AAP government over the status of MLALAD scheme.
"I had sought a reply in the Assembly as to why no proposals were being received under MLALAD by the urban development department, but no concrete reply was given by the government," he said.
Under MLALAD, each of 70 members of Delhi Assembly are allocated Rs 10 crore per annum to spend on development work in their respective constituencies.
The BJP leader also suggested that proposals under MLALAD could atleast be received and the work done whenever funds were available.
He said there was no clarity on how long the work would be stopped.
He said he will write a letter to the city government, urging it to clarify its stand on MLALAD fund and allow receipt of development proposals under the scheme.
There was no immediate reaction from the Delhi government or the Aam Aadmi Party (AAP).