Imphal, March 09, 2010: Chief Minister O Ibobi Singh, who also holds the Finance portfolio has reiterated State Government's inability to entertain employees demand for release of accumulated arrears of the Sixth Pay Commission recommendation with the assertion that proposals to the 13th Finance Commission has failed to evoked positive response.

Addressing the second day of the ongoing Assembly session today, the CM said taking into account plight of the state Government employees, the 13th Finance Commission had been approached for award of the additional amount in the next allocation but to no avail.

Taking part in the deliberation on the Governor's address in the House, he said there in no intention of the SPF Government to deprive the employees with regard to demands for releasing the arrears.

However, due to lack of resources and dependance of the State upon the Central allocation fund usage has to be commensurate with the fiscal amount provided by the Centre, Ibobi explained.

Confiding that along with non-plan expenditure and certain percentage for clearance of the accumulated arrear a proposal was placed for additional allocation of Rs 21 crore out of only Rs 12 crore had been approved, the Finance Minister maintained that arrear amount calculated from January 1, 2006 hovers around the Rs 2000 crore mark.

Even if the State Government manages to clear the arrear it would certainly lead to such a situation wherein the State would face severe financial crisis even to the extent of shutting down the State treasury and releasing salaries to Government employees when the financial state improves, he highlighted.

The Cm also called upon all the legislators irrespective of political lineages to help in chalking out a mechanism through which the situation could be addressed as diversion of funds out of the plan allocation would lead to serious complication.

Apart from pointing out that Government of Assam would be paying the arrear amount with effect from january 1, 2009 as Assam has its own resources in abundance while the neighbouring State of Nagaland in not in a position to meet arrear demand of its employees, he also pledged SPF Government's commitment to ensure that pensioners are not denied benefits of the Sixth pay Commission recommendation.

Diverting to other issue, the CM expressed grave concern that including medical centres almost the entire Government-run institutions have become a burden to the Government in financial perspective.

Charging medical practitioners (doctors) of sustaining private practices inspite of non-practising allowances provided to them, he also observed that Government employees lack dedication to their assigned duty/service.

Many of the employees have inculcated the concept that the only punitive action which the Government could initiate is limited to transfer and not service termination, the Chief Minister said while calling upon the agitating employees' JAC to call off the ongoing strike.

He also asserted that in case the JAC do not abandon its movement of crippling hospital administration necessary legal action would be initiated.

Regarding measures for redressing the erratic power supply scenario which he blamed on widespread unauthorised connections, the CM informed the house that plans are afoot to lay underground electric lines in a phased manner and supply power on pre-paid basis beginning from greater Imphal areas.

Compared to monthly expenditure of Rs 10 crore each the annual revenue generated by the power Department is a measly Rs 20 crore, he maintained while urging the House members to extend cooperation for approving contents of the Governor's address as the Government is willing to make necessary amendments as had been pointed out during the opening session yesterday.

With members of the Opposition parties taking the CM's commitment with regard to effecting necessary amendments into confidence the House unanimously approved the Governor's address.

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