Rs 700 crore unutilised deposit in Escrow a headache for Panchayats

Rs 700 crore unutilised deposit in Escrow a headache for Panchayats – Kota Srinivas Poojary

Udupi: “Rs 700 crore of deposits that remain unutilised in Escrow accounts is a headache for Gram Panchayats,” said MLC Kota Srinivas Poojary while addressing a press meet at his office here, on June 14.


“The money in Escrow accounts of Gram Panchayats cannot be utilised for developmental works. The deposits made by the 14th Finance Commission and the state government in Escrow accounts is utilised to pay electricity and water supply bills. After clearing electricity bills, the amount cannot be used for any developmental work other than clearing electricity bills,” said Poojary.

He further said that the state government should soon issue a notification directing banks and MESCOM to direct the unutilised deposit in Escrow account to Gram Panchayats. The RDPR department should waive the interest of unsettled electricity bills amounting to Rs 1000 crores and the principal which is Rs 2000 crore should be collected.

The central government has released Rs 375 crore for various developmental projects, but Rs 100 crore has been deposited in Escrow accounts. The state government should soon initiate proper measures to support the development of Gram Panchayats by effectively utilising the unutilised amounts in Escrow accounts.

The promise made by the government of providing title deeds to people residing in government lands has only remained as a promise. 6202 applications have been received in Karkal taluk under 94C, of which 105 applications are processed but there are still 6075 applications pending to be investigated. Of the 2859 applications received in Udupi taluk under 94C, 132 applications have been processed while 1762 applications have been rejected. 6312 applications were received in Kundapur taluk under 94C. 862 applications are processed and 5450 applications are pending to be investigated. 55455 applications were received under 94C in DK, of which 20633 have been processed. The district in-charge ministers should address the issues on 94C and 94CC, he added.

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