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Tamil Nadu's Rs 1,000 Pongal gift to holders of ration card stayed

The AIADMK government had on January 2 announced that over two crore families with ration cards in the state would each get Rs 1,000 in cash as a Pongal gift.

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Madras High Court
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In a setback to the ruling AIADMK government, the Madras High Court on Wednesday stayed the distribution of a Pongal gift of Rs 1,000 in cash to all ration card-holders by the Tamil Nadu government.

The High Court ruled in favour of a PIL challenging the Tamil Nadu government's scheme, contending that the decision had been unmindful of the state's financial condition.

The AIADMK government had on January 2 announced that over two crore families with ration cards in the state would each get Rs 1,000 in cash as a Pongal gift.

Terming the move as totally misconceived, the petitioner Daniel Jesudass, sought a direction from the court to restrain the government from distributing the cash gift.

"How can you give Rs 1,000 to all ration card holders and call it a policy decision? It's not your party money for us not to raise questions about. It is government money. One can understand if Pongal gifts are given to Below Poverty Line citizens, and it's not wrong. But what's the intention behind giving away Rs 1,000 to all ration card-holders? Already reeling under a big financial burden, it will only increase the burden on the state government," said a division bench of Justice M Sathyanarayanan and P Rajamanickam.

Why would the judges of the High Court and Advocate General of Tamil Nadu would need Rs 1,000 Pongal money from the government, asked the bench. "Why are you splurging government money in the name of Pongal? If political parties give away their money, we will not raise these questions," the court said. "Are you distributing this money without even completing the cyclone Gaja relief measures? The government can do a lot using this money, including improvement of infrastructure," the court said.

Referring to RTI information, Daniel Jesudass further claimed that the current tax revenue of Tamil Nadu is Rs 1,12,616 crore, whereas the total liability is Rs 3,55,845 crore. "The decision to provide a cash gift of Rs 1,000 to all ration card-holders, irrespective of their financial status, is totally misconceived, particularly considering the financial condition of the state," he said.

Skewed Finances

Referring to RTI information, activist Daniel Jesudass further claimed that the current tax revenue of Tamil Nadu is Rs 1,12,616 crore, whereas the total liability is Rs 3,55,845 crore. “The decision to provide a cash gift of Rs 1,000 to all ration card-holders, irrespective of their financial status, is totally misconceived, particularly considering the financial condition of the state,” he said

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