The Maharashtra government owes the Brihanmumbai Municipal Corporation (BMC) a total of Rs 10,931 crore in pending dues, the Legislative Council was informed on Monday, with the state assuring that the amount will be released in phases.
The outstanding payments include Rs 7,241.38 crore in primary and secondary education grants, Rs 934.28 crore owed by the Housing Department, and unpaid property tax, sewage tax, and water tax dues from various state departments.
During Question Hour, Industries Minister Uday Samant responded to a query raised by Shiv Sena (UBT) MLC Sunil Shinde. He acknowledged the pending liabilities and said the government would gradually clear the dues owed to the civic body.
He added that the BMC currently has infrastructure projects worth Rs 1,41,356 crore underway. Minister Samant pointed to a major discrepancy between the BMC and the state’s Education Department regarding pending education grants.
While the BMC has claimed Rs 5,655 crore in outstanding grants, the Education Department maintains that only about Rs 200 crore is due. According to Samant, the difference arises because the BMC is seeking funds based on the Seventh Pay Commission, while the state intends to release grants as per the Fourth Pay Commission.
He said Municipal Commissioner Bhushan Gagrani would be asked to find a middle ground between the civic body and the state government. He also assured that the Rs 86 crore due to the BMC under the Right to Education (RTE) Act would be paid before the Monsoon Session.
The discussion triggered a verbal exchange between Minister Samant and Shiv Sena (UBT) MLC Anil Parab. Parab questioned how the BMC’s liabilities were rising even as the state owed it thousands of crores. He alleged that Rs 1,600 crore in development funds had been allocated to ruling party MLAs and MPs over the past three years.
Minister Samant described the allocations as the “price of courage,” prompting a sharp retort from Parab, who called it the “price of betrayal.” Parab compared the funding to rewards once given by the Nizam to defectors.