Bengaluru, July 8: The Congress government in Karnataka, which came to power on the `Five Guarantee Schemes' as poll promises is facing a financial crisis.
While the statement by legislator and Chief Minister's Finance Advisor Basavaraj Rayareddy, asking the people to choose between guarantee scheme benefits and developmental works kicked up a row, the truckers have crippled the supply of rice meant for the guarantee scheme, pending payment from the government.
Two days ago, while speaking at a public function at Koppal, Basavaraj Rayareddy said that the people could not ask for roads, schools and other developmental works, while reaping the benefits from guarantee schemes. ``If you want developmental work, give up rice under Anna Bhagya, Rs 2000 monthly for women and Rs 3000 for graduate unemployed youths or even give up the free bus services to women.''
Since it was a small public function, Basavaraj Rayareddy thought his statement would not have much effect. However, once it was on television, the opposition pounced on the government and sought a white paper on state economy and finances. The opposition BJP and JD(S) criticised that the state government was on the brink of bankruptcy and always pointed at the Centre to cover up its failure in handling the finances.
The sharp criticism shook the government, which resorted to damage control exercises. While Chief Minister Siddaramaiah denied that the state finances was in trouble, Deputy Chief Minister D K Shivakumar, Agriculture N Cheluvarayaswamy and others said that the Guarantee Schemes were flagship programs of the government and would never stop.
Even Rayareddy realised that he had stirred a hornet's nest. He immediately said that it was just a joke and he was not serious about it. ``If I am made a minister, I will extend free bus journeys for everyone, including men. I am not sure if they are going to make me a minister. There is no way the government going back on Guarantee Schemes,'' he said.
They also claimed that the Chief Minister had sanctioned Rs 50 crore for each Assembly constituency for developmental works and would be allocating more money, if needed.
Ever since the government came into existence, it is not a secret that the government is struggling to mobilise money for the guarantee schemes.The government's spending on the guarantee scheme has gone up to Rs 56,000 crore for this year, from previous year's Rs 38,356 crore.
There have been complaints about Bhagya Laxmi scheme, Rs 2000 per month dole for all the women above 18-years are delayed by two to three months. The monthly Rs 3000 for unemployed graduates has also run into trouble. However, when the issues were taken up by the media, Deputy Chief Minister D K Shivakumar said that there is no deadline like the money would be transferred on the first day of every month. AT times, the payments would be delayed.
However, the real test came just within a week of Rayareddy raking up the controversy. The truckers in the state have stopped transporting rice meant from the guarantee scheme. The government has not paid the truckers for the last four months and the outstanding has come up to over Rs 265 crore.
Food and Civil Supplies Minister K H Muniyappa said that the government would convince the truckers to transport the rice. ``We are making a partial payment of Rs 150 crore immediately and will clear the rest of the dues within a week or two. We will convince them to transport the rice.''
However, the Transport Association President Shanmukhappa is not amused. He said that the truckers will not lift even a grain of rice until the government makes complete payment.
``For the last two days, we have stopped our trucks and the rice is not being transported. We are not transporting the rice till every paise is paid to us. Last time, when the government did not pay us for four months, a similar promise of making Rs 100 crore payment immediately. When we started transporting rice, the payment did not come. This time, unless our dues are cleared, we are not lifting the rice,'' he added.