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Refund unspent fund with 10% interest: Centre

Updated: January 13th, 2015, 05:43 IST
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Bhubaneswar, Jan 13: Disappointed with the delay in submission of utilisation certificates (UC) for funds sanctioned under three Central sponsored projects, the Union ministry of urban development (MoUD) has asked the state housing and urban development (H&UD) department to refund the unspent money with 10 per cent interest.
“The utilisation certificate of 100 per cent of the grant released is essential. If there is an unspent amount lying with the organisation, the same may please be refunded to the ministry along with 10 per cent interest from the date of receipt of grant and assistance released,” MoUD under secretary SK Pal wrote to H&UD secretary G Mathivathanan.
UCs against `1.25crore, under the heads of three projects, are pending for more than four years. UCs of `37,84,985 sanctioned in March 17, 2008, for implementation of a project assisted by the UN Development Programme (UNDP) is pending.
Similarly, “Certificates against `71, 89,164 sanctioned June, 30, 2008, for implementation of the UNDP-assisted project on capacity-building for decentralised urban governance and `16,00,00 sanctioned March, 30, 2010 under National Urban Information System (NUIS) scheme, are yet to be submitted to the Centre,” says the letter, a copy of which is available with Orissa Post.
Sources said that, after failing to receive the UCs from state, despite reminders, the Centre has sent this letter. The Centre also sent similar letters to some other states.
Recently, during a review meeting of a Central scheme, the rural development department had asked the district-level officials to refund the allocated fund, failing which an 18 per cent interest will be charged.
However, no one (neither the government nor the officials) wants to find out the reason behind the poor performances of the officials, a source said.
In another case, fearful of government orders, some civic bodies have recently returned the unspent money provided under the special relief commission as grant, sources said.

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