K’taka govt to move SC over Rs 2,186 crore Panchayat grants withheld by Centre
Bengaluru: The Karnataka government has decided to approach the Supreme Court against the Centre for withholding Rs 2,186.20 crore in grants due to the state’s gram panchayats under the recommendations of the 15th Finance Commission.
Rural Development and Panchayat Raj (RDPR) Minister Eshwar B. Khandre held a meeting with Advocate General Shashikiran Shetty and senior officials at his office on Thursday to discuss the legal options available to the state.
Khandre expressed displeasure over the Centre’s refusal to release the Rs 2,186.20 crore allocated to Karnataka’s gram panchayats for the 2025-26 financial year.
During the meeting, the participants discussed the legal grounds on which the Centre’s decision could be challenged before the Supreme Court.
Khandre pointed out that Karnataka was facing drought-like conditions due to deficient rainfall this year. Drinking water shortages have been reported in 710 villages, while water is being supplied through tankers to 149 villages. The government has also hired 561 private borewells to meet the drinking water requirements.
He said farmers were facing difficulties as seeds sown in several areas had failed to germinate due to inadequate rainfall. Against this backdrop, the Centre’s decision to withhold funds that were due to gram panchayats would further affect rural development and basic services, he said.
The minister said the state would examine all legal aspects and take the matter to the Supreme Court to seek the release of the pending funds.
Meanwhile, Khandre also reviewed preparations for holding elections to gram panchayats, taluk panchayats and zilla panchayats whose terms have expired.
He said the state government was making preparations to conduct the elections before the end of the year.
Khandre said the elections had been delayed as government staff were deployed for the Special Intensive Revision (SIR) exercise. The government is now fully prepared to conduct the gram panchayat elections, and a preliminary notification would be issued shortly, he said.
The minister also sought details from Advocate General Shashikiran Shetty and Panchayat Raj Department Secretary D. Randeep on the legal aspects involved in conducting the elections.