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MCDs deserve benefits of Fourth Delhi Finance Commission, don't stand on ego: Delhi HC to AAP government

Court has ordered AAP govt to immediately release payments to EDMC and North MCD

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The Delhi High Court (HC) has directed the Aam Aadmi Party (AAP) government in the national Capital on Monday to immediately release the payments of the two municipalities -- East Delhi Municipal Corporation (EDMC) and North Delhi Municipal Corporation (North MCD) -- as per the Fourth Delhi Finance Commission (DFC) so as to enable the civic bodies to pay wages of their employees, both past and present.

A bench of Acting Chief Justice Gita Mittal and Justice C Hari Shankar said, "Do not stand on ego and say that since the government of India is not paying you, you will not pay the municipal corporations."It has been observed that despite having funds, the Delhi government does not appear willing to implement the 4th DFC, under which the civic bodies have been allotted more funds than they are receiving at present, the bench said.

The Delhi government has been directed to release the amount within four weeks and would be for the period from November 1, 2017, to March 31, 2018. The court, however, made it clear that its interim order would be confined only to the EDMC and the North MCD.

The bench, while hearing a batch of writ petitions on providing adequate funds to all the local bodies, including the three municipal corporations, said that lack of funds with the corporations would not only affect the morale of its employees but would indirectly impact the civic amenities being provided to the citizens.

While the court directed the AAP government to place on affidavit its calculation based on which it has been releasing funds to the corporations, it also asked the Centre to indicate on affidavit how much funds the Delhi government was entitled to and the basis for deciding the same.

During the hearing, the Delhi government said it has in April this year released funds which are much more than what was indicated under the 4th DFC. It said that it has given over Rs 3,000 crore as loans to the corporations. However, the EDMC and North MCD said it was not sufficient and added that the amounts given as loans were much less than what they were entitled to get under the 4th DFC.

Meanwhile, the bench listed the matter for hearing on August 28 saying that the issues raised in the PILs require serious consideration.

THE DIRECTIVE

  • The court directed the AAP government to place on affidavit its calculation based on which it has been releasing funds to the corporations, it also asked the Centre to indicate on affidavit how much funds the Delhi government was entitled to and the basis for deciding the same.
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