Karnataka govt orders closure of accounts with SBI, PNB over non-refund of deposits
Bengaluru, Aug 12: The Karnataka government has ordered all its departments, boards, corporations, public sector units and universities to withdraw all their deposits and investments in the State Bank of India and the Punjab National Bank and stop transacting any business with these institutions.
The order came after the denial to redeem Rs 12 crore deposited by the Karnataka Industrial Area Development Board (KIADB) following a scam involving bank employees.
A state government circular on August 12 said the meeting with the bank officials did not yield any result and the matter is now sub judice.
Similarly, Rs 10 crore deposited by the Karnataka State Pollution Control Board (KSPCB) was not returned by the bank owing to a scam by the bank officials, the circular said.
The finance secretary P C Jaffer (budget and resource) said in the circular that the Auditor General too had objected to it.
“In this background, it is informed through this circular that the state government’s departments, public sector units, corporations, boards, local bodies and universities and other institutions should withdraw all the deposits/investments made in all the branches of the State Bank of India and the Punjab National Bank and no deposits/investments should be made in future,” the circular read.
The government also directed the government institutions to close their accounts in these two banks and submit the certified closer report and send details of deposits and investment reports in the prescribed format to the finance department by September 20, 2024.
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Karnataka Congress MLA Gaviyappa wants CM to stop some poll guarantees, draws DK Shivakumar's ire
Bengaluru/Vijayanagara, Nov 26: Karnataka Congress MLA H R Gaviyappa on Tuesday urged Chief Minister Siddaramaiah to drop some poll guarantees, citing lack of funds, which drew sharp response from Deputy CM D K Shivakumar.
The ruling party MLA from Vijayanagara suggested that the election guarantees have made it difficult to provide houses to the poor in the state.
“Because of guarantee schemes, there is difficulty in providing houses to poor. We are also asking the Chief Minister to drop two or three schemes, which are not needed. Let’s see what the Chief Minister says,” Gaviyappa said in a public meeting in Vijayanagara.
He, however, maintained that he would stand by the decision taken by the Chief Minister.
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According to the Congress MLA, the CM raised Rs 40,000 crore this year keeping development in mind.
The legislator's statement irked Deputy Chief Minister Shivakumar.
“This is Congress party. I am going to issue him a showcause notice. He can’t do that. No question of closing any guarantee. We have committed to the people of Karnataka. No one can raise their voice (against the guarantees),” the Deputy CM, who is also the Congress state president told media in Bengaluru.
He said a Congress MLA cannot speak against the guarantees.
Those who are ineligible will not get the benefit, Shivakumar said adding the same policy has been adopted in the recent revision of BPL cards.
The Karnataka government has decided to remove the government employees and income tax payees from the list of BPL card holders as per the Central government norms.
