Shillong, Sep 30: In yet another move to try and pull the failing Garo Hills Autonomous District Council (GHADC) out of its financial quagmire, the Meghalaya cabinet today decided to release royalties in advance to the council to help clear long-pending salary arrears.
Briefing reporters after the meeting, Chief Minister Conrad K Sangma said the decision was based on recommendations of a sub-committee set up to examine the financial situation of the district councils.
The GHADC owes its staff 44 months’ worth of salaries and has offered to clear 12 months in one go in order to bring protesting employees back to work. However, at least a section of the workers are demanding the full amount to be cleared.
To help the council meet its 12-month offer, the state government has approved the release of around Rs 24 crore, which is the GHADC’s share of royalties currently held by the state government. In addition, the government will advance another Rs 25 crore in order that the GHADC will be able to release the salaries by November 1. An earlier cabinet decision was made for the state government to take on the burden of paying salaries of employees of all three ADCs from November 1. Both the GHADC and the state government are run by the National People’s Party (NPP).
Meanwhile, to bring greater accountability, the state government and the GHADC executive committee have agreed to appoint an IAS officer as Principal Secretary to the council. “We have proposed that the Deputy Commissioner will function as ex-officio Principal Secretary so that continuity is maintained,” Sangma said.
The cabinet also directed the GHADC to open an escrow account, through which all funds released in advance will be routed. This mechanism is aimed at ensuring that the money is strictly used for disbursing salaries and for necessary financial reforms.
On whether this decision was a bailout or politically motivated ahead of GHADC elections, Sangma clarified, “This is not a bailout package or intervention. We are only releasing what is due to the council, along with an advance, to enable timely payment of salaries. Employees had been on strike for months and this decision was taken to resolve that crisis.”
He further pointed out that over the past four-and-a-half years, the state government has been extending support to GHADC. “In this period, about 42 months of salaries have been cleared with our assistance. So this is not a sudden move,” the Chief Minister added.
Sangma also said that a majority of GHADC employees – close to 800 out of around 1,200 – have submitted written consent supporting the arrangement of releasing funds through an escrow account.
