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Wednesday, June 25, 2014

PIL in High Court alleges misappropriation of Earthquake relief funds

GANGTOK, 24 June: State government functionaries including the Chief Minister, other ministers of the previous government and officials have been accused of misappropriating huge sums of money from the funds released by the Central government for Earthquake Relief [in the wake of the 18 Sept 2011 earthquake].
The public interest litigation [PIL] has been filed in the High Court of Sikkim by Sonam Tshering Bhutia alleging misappropriation at the behest of the Chief Minister and other ministers namely RB Subba and DB Thapa, of the disbursed amounts from the Rs. 1,000 crore sanctioned by the Prime Minister. The filing of this PIL was also referred to by the CM in the Assembly discussions today when he detailed the status of funds and also highlighted that the matter was also sub-judice.
Meanwhile, as for the PIL, misappropriation has also been alleged from the National Disaster Response Fund, the State Disaster Response Fund and also from the Chief Minister’s Relief Fund. The PIL seeks a CBI inquiry or establishment of a Special Investigating Team under the high court considering the range of misappropriation and fund diversion.
Following the hearing in court, Justice SP Wangdi recused himself from hearing the matter as a relative of his also stands accused by the petitioner in the PIL. The PIL will now be taken up by the Chief Justice and a date of hearing has been set for 30 July.
In the mean time the state respondent has been asked to file its counter affidavit.  
The petitioner accuses the state government of misrepresenting facts to the Centre and presenting an inflated expenditure requirement for relief and rehabilitation for damages and compensation to be paid in the wake of the earthquake, particularly to the Planning Commission and the Ministry of Home Affairs, both of which have been made respondents in the petition.
The state government has been charged of presenting expenditure on dubious and nonexistent grounds.
Among the more pertinent illegalities which the state government has been accused of is the supposedly arbitrary manner of ex gratia payment; these, the PIL alleges were made to the acquaintances and supporters of the Chief Minister and other public officials. Ex gratia payments are also alleged to have been made in excess of the prescribed limits.
Where the guidelines stipulate ex gratia payment of Rs. 1 lakh to Rs. 1.5 lakh to kin of deceased, there were payments up to Rs. 5 lakh in Sikkim, it is alleged. The scheme of reconstruction of earthquake damaged houses has also been brought under the scanner for irregularities.
The PIL alleges irregular transactions and misappropriations of funds as shown by the White Paper such as collection of funds in violation of banking norms, high rates of interest on the funds provided by the national banks etc. It has also been brought to notice that these banks are also bankers for the state government.
The Prime Minister’s Office has also been made a respondent to the PIL; representations had been made by the petitioner to the PMO highlighting the irregularities but there was no reply as yet, it is claimed.

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