Debt-ridden East MCD may be merged with south civic body
25 Nov 2014 5:35 AM IST
According to sources, the Centre is of the view that it will not be practical to finance East MCD forever as it is not even able to meet the salary expenditure of its employees.
In his budget estimates for 2015-16, the acting commissioner of East MCD, Manish Gupta had presented a budget deficit of Rs 688 crore. The corporation started with a loan of Rs 770 crore from Delhi government, when it was formed after trifurcation of unified MCD in 2012.
The East MCD, covering trans-Yamuna area of Delhi has two zones — Shahdara (North) and Shahdara (South). The erstwhile MCD had 12 zones, out of which six zones are with North MCD and four with South MCD. According to sources, the Centre believes that the city ‘can be well managed with two civic bodies’.
‘It would reduce the cost of running a separate head quarter. Furthermore, the East MCD is demanding more officers at senior level on the pattern other two civic bodies, which is very difficult to fulfill’, said a senior officer involved with the development.
He further added that presently East MCD has only one third of the sanctioned senior staff at head quarter level and some of the departments (town planning, public health and IT) are being run by South MCD. Various others departments like press and information are run by North MCD, he informed.
Meanwhile, South MCD, which had started with high revenue earning areas like South Delhi, Central Delhi, West Delhi and Najafgarh zones, reportedly earned a profit of over Rs 200 crore in 21013-14.
Manish Gupta, commissioner of South MCD presented a budget of Rs 3,770 core for the next financial year with a target to make the civic body debt free by 2017-18.
In his budget estimates for 2015-16, the acting commissioner of East MCD, Manish Gupta had presented a budget deficit of Rs 688 crore. The corporation started with a loan of Rs 770 crore from Delhi government, when it was formed after trifurcation of unified MCD in 2012.
The East MCD, covering trans-Yamuna area of Delhi has two zones — Shahdara (North) and Shahdara (South). The erstwhile MCD had 12 zones, out of which six zones are with North MCD and four with South MCD. According to sources, the Centre believes that the city ‘can be well managed with two civic bodies’.
‘It would reduce the cost of running a separate head quarter. Furthermore, the East MCD is demanding more officers at senior level on the pattern other two civic bodies, which is very difficult to fulfill’, said a senior officer involved with the development.
He further added that presently East MCD has only one third of the sanctioned senior staff at head quarter level and some of the departments (town planning, public health and IT) are being run by South MCD. Various others departments like press and information are run by North MCD, he informed.
Meanwhile, South MCD, which had started with high revenue earning areas like South Delhi, Central Delhi, West Delhi and Najafgarh zones, reportedly earned a profit of over Rs 200 crore in 21013-14.
Manish Gupta, commissioner of South MCD presented a budget of Rs 3,770 core for the next financial year with a target to make the civic body debt free by 2017-18.
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