Relief for Karnataka CM as Centre releases GST ahead of budget

News Network
March 4, 2020

Bengaluru, Mar 4: CM BS Yediyurappa may reconsider plans to hike taxes and curtail populist schemes in his budget on Thursday as the Centre released part of GST compensation it owes the state. Officials said the Centre released the first instalment of the bimonthly compensation for October-November amounting to Rs 2,013 crore.

"This is welcome relief as the government has been scrambling to mobilise funds," said BT Manohar, member of GST consultative committee, government of Karnataka. The second instalment of Rs 1,523 crore is also expected to be released soon.

The CM, in his seventh budget, is expected keep the focus firmly on farmers and give top priority to irrigation, agriculture and welfare schemes.

The irrigation sector is expected to land the lion's share with an allocation of at least Rs 25,000 crore, followed by agriculture. Former CM Kumaraswamy had allocated over Rs 17,000 crore for water resources.

The bulk of funds is likely to go to the Upper Krishna (UKP) and Upper Bhadra projects, as it will help backward Kalyana Karnataka and central Karnataka regions. The two are also significant political blocs. The government will also seek assistance from the Centre for the UKP project in the erstwhile Hyderabad-Karnataka region, which enjoys special status under the Constitution owing to its backwardness. P4

Yediyurappa is also expected to spell out populist schemes for the poor.

Former CM HD Kumaraswamy had allocated Rs 17,212 crore in the previous budget for water resources and Yediyurappa is likely to go well beyond that figure. "Priority will be given to irrigation and farmers," Yediyurappa had said recently. "I am making efforts to present a budget within the financial constraints."

he amounts are released once every two months, but the Centre had fallen behind on payments. PX

"There are indications that another payment will be made."

The state's optimism stems from the fact that the Centre's GST collection crossed the Rs 1 lakh crore-mark for four successive months till February.

However, the CM could still hike tax rates marginally. At a pre-budget meet on resource mobilisation where Yediyurappa is learnt to have expressed willingness to borrow funds, officials from the finance department advocated raising tax rates instead.

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News Network
April 16,2020

Bengaluru, Apr 16: A 66-year old man from the city, became the thirteenth COVID-19 related fatality in Karnataka, Health Department officials said on Thursday.

The elderly patient from Bengaluru, who was coronavirus positive died on April 15 at Victoria Hospital in the city, officials said.

"He was referred from a private hospital and was admitted in Victoria Hospital and was on ventilator support since April 10," they added.

A 80-year old woman in Belagavi and a 65-year old man from Chikkaballapura had also died on Wednesday.

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News Network
April 11,2020

Bengaluru, Apr 11: Seven more people have tested positive for coronavirus taking the tally to 214 in the state.

"Coronavirus cases rise to 214 in Karnataka, with seven more people testing positive between 5 PM Friday and 12 PM Saturday," said the Karnataka health department.

According to the health department, all these seven people have a history of contact with COVID-19 patients. Five of them are workers of a pharmaceutical company in Mysuru.

"Out of the total cases in the state, six people have died while 37 others were cured or discharged," added the state health department.

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News Network
July 31,2020

Bengaluru, July 31: Denying irregularities in covid-19 equipment purchase by the Karnataka government, the state unit of the BJP has issued legal notices to Congress leaders Siddaramaiah and D K Shivakumar demanding that they apologize or face a defamation suit. 

The notices seek a public apology for the allegations levelled against the government on irregularities in the procurement of Covid-19 equipment and supplies. 

Both Siddaramaiah and Shivakumar, the Karnataka Congress president, have been doggedly pursuing allegations of corruption against the BJP government and have demanded a judicial inquiry. 

BJP general secretary N Ravi Kumar said that while the Congress leaders claimed that Rs 4,157 crore was spent during Covid-19, they also allege that the government has not responded to any of the 20 letters written by them. "If the government has not provided any answer to the Opposition, where did they get the figures from," he said.

None of the allegations of corruption is specific and the statements made are factually incorrect. "These statements, without any basis, have been issued calculatedly to lower the image and damage the reputation of the government, the Bharatiya Janata Party, representatives of the party and the ministers in the government," the notice issued on behalf of Ravi Kumar read.

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