Uttar Pradesh Chief Minister Akhilesh Yadav on Wednesday withdrew proposal to allow the MLAs of state assembly to buy cars using public funds, following criticisms from the opposition parties.
Akhilesh on Tuesday announced to allot a sum of Rs 2 million for the MLAs from area developmental funds to buy cars, which drew flaks from opposition parties.
Akhilesh announced in the state assembly that he has rolled back his latest proposal. He stated that he would withdraw the decision on allotting money for legislatures from public funds to buy cars. He added that the decision was taken considering the fact that most of the MLAs were against the proposal and were not ready to redeem the offer after the "media hype."
Akhilesh kicked off a controversy in the state assembly on Tuesday by suggesting MLAs to buy cars within Rs 2 million using local area development (LAD) fund, in a bid to help the members of assembly who are not in a position of buying a car.
According to Akhilesh Yadav, a legislative member needs a car to visit places and effectively survey work across his/her constituency. Hence, the MLAs, who don't own a car can buy one using public fund.
Eventually, the MLAs who brought a car using the public funds either should return the car back to the government at the end of their five-year-term at office or purchase it for themselves at depreciated value.
As part of the announcement, Yadav has also hiked the MLA's developmental funds from Rs 1.25 crore to 1.50 crore.
The Uttar Pradesh state assembly consist of about 403 MLAs. If everybody claims Rs 2 million for buying cars from the developmental funds, then it would incur a cost of Rs 80 crore to the state exchequer, which could cause more monetary problems for already cash-starved state.
"Despite a financial crisis, the SP government has fulfilled all the promises it made in the party manifesto in the budget. We entitle MLAs to purchase vehicles upto Rs 20 lakh from their local area development fund", Yadav told the assembly, according to the media reports.