2023-11-10 02:50:00
Title: Kerala Government Initiates Aggressive Tactics to Collect Unpaid Dues Amidst Financial Crisis
In a rare admission of financial burden, the Chief Minister of Kerala revealed in the Keralayam program that the state government is now resorting to extraordinary measures to collect the mounting arrears. With liabilities exceeding 50,000 crores, the government has found itself struggling to meet its obligations, prompting a special campaign initiated by the Department of Cooperatives from November 15 to December 15.
The cooperatives are expected to pay millions of crores in shares, loans, guarantee commissions, and fees to the government, of which a significant portion remains unpaid. The Department of Cooperation has grappled with this issue since 2009, often issuing directives to collect a portion of the dues every three months, with little success.
Furthermore, the government is facing arrears related to salaries, pensions, pay revision, and the welfare pension fund. Additionally, outstanding amounts are owed to various sectors such as education, healthcare, and infrastructure development, exacerbating the financial strain on the government’s coffers.
The central government’s reduction in compensation, grants, and tax share has further deepened the state’s financial crisis, with a total of 57,400 crores owed. In terms of central assistance, arrears have surged to 4,224.87 crores, showing the extent of financial irregularities that have accumulated over the years.
As a result of these mounting challenges, the government has decided to take an aggressive approach to recover the unpaid dues. While the specifics of these measures are yet to be outlined, it is evident that unprecedented actions will be taken to address the financial quagmire.
It remains to be seen whether these efforts will yield the desired results and provide much-needed relief to the state’s strained finances. Nonetheless, it is clear that the Kerala government has taken the first steps towards a more proactive and assertive approach to overcome its financial crisis.
#crores #arrears #pinching