Siddaramaiah writes to FM Nirmala Sitharaman, urges immediate release of Special Grants to Karnataka
Bengaluru: Chief Minister of Karnataka, Siddaramaiah, has penned a letter to Union Finance Minister Nirmala Sitharaman, highlighting concerns and making an urgent plea for the release of Special Grants and State Specific Grants for Karnataka. The letter emphasized the critical financial situation faced by the state and urged the Finance Minister to consider the recommendations of the 15th Finance Commission.
In the detailed letter, Chief Minister Siddaramaiah expressed concern over the reduction in Karnataka's share in tax devolution recommended by the 15th Finance Commission. The share has been reduced to 3.647% of the divisible pool for the period between 2020-21 and 2025-26, down from the 4.71% recommended by the previous 14th Finance Commission. This drastic 23% decrease in allocation is attributed to the reduction in devolution share.
Another issue raised by Siddaramaiah is the adverse impact of the Income-Distance criteria adopted by the Commission. He pointed out that the new methodology for computing the Gross State Domestic Product (GSDP) under the 2011-12 series has disproportionately increased Karnataka's GSDP by over 30%, significantly higher than the average increase of less than 9% observed in other states. This change has led to a decrease in the State's standing, impacting its share in the Income-Distance parameter from 4.2% as per the 14th Finance Commission to a mere 1.1%. Consequently, the State's devolution share has also decreased from 4.71% to 3.64%.
Additionally, Chief Minister Siddaramaiah highlighted the absence of proportional contribution of the growth in GSDP attributed to IT-related services to State taxes. He underscored the importance of acknowledging this discrepancy and addressing the implications on financial allocations.
The letter further stated that the reduction in tax devolution share has led to a substantial decrease in total tax devolution to Karnataka over the past four years, amounting to Rs. 37,011 crore between FY 2020-21 and FY 2023-24.
Chief Minister Siddaramaiah also drew attention to the unfulfilled recommendations of the 15th Finance Commission regarding Special Grants and State Specific Grants. Despite the Commission's recommendation of Rs. 5,495 crore for Special Grants in 2020-21 and Rs. 6,000 crores for specific projects, these grants have not yet been released to the state. This delay has further strained Karnataka's already fragile fiscal position, the letter added.
Siddaramaiah urgently urged Finance Minister Nirmala Sitharaman to reconsider the Commission's recommendations and release the Special Grants and State Specific Grants to Karnataka. He underscored the critical need for these funds to address the State's financial constraints and maintain fiscal stability.
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Man held for killing teacher over Rs 13 lakh loan in Karnataka
Kalaburagi (Karnataka) (PTI): A 27-year-old man has been arrested for allegedly killing a teacher after she repeatedly demanded repayment of a Rs 13 lakh loan that he had taken from her, police said on Wednesday.
The accused, Amar, allegedly attacked the woman with a sharp weapon and later set the body on fire on the Kamalapur-Kalmood road in the district in an attempt to destroy evidence, they said.
Police identified the victim as Jyoti (57), a resident of Kalaburagi city, who was working as a teacher in Bidar district.
The matter came to light after an unidentified female body was found beside the Kamalapur-Kalmood road, they said.
Initially, it was treated as an unidentified body. Based on a complaint from a local resident, a murder case was registered under 109 of the Bharatiya Nyaya Sanhita at Kamalapur Police Station limits in Kalaburagi district, police said.
The investigation was immediately taken up and her photographs were widely circulated and later, the woman was identified.
During the investigation, police identified Amar, a resident of Kapnoor area, who owns and runs a milk parlour as the accused, Adduru Srinivasulu, Kalaburagi Superintendent of Police told reporters here.
According to him, Amar had borrowed Rs 13 lakh from Jyoti. She had been repeatedly asking him to return the money and had warned that she would lodge a police complaint if he failed to repay the amount. Fearing this, Amar allegedly planned to kill her.
He reportedly took Jyoti towards the Kamalapur-Kalmood road in a vehicle on April 4. On the way, he stopped the vehicle saying that water needed to be poured into the engine. "When she got down, he allegedly threw chilli powder on her face and attacked her with a sharp weapon. After the murder, he allegedly poured fuel on the body and set it on fire before fleeing the scene," the officer said.
Based on the accused's statement, police recorded his confession, collected evidence in the case, arrested him and produced him before a court, which remanded him to judicial custody, he added.
