HP Assembly passes Budget
Tribune News Service
SHIMLA, July 24 — The Himachal Assembly today passed the Budget for 1998-99 and also adopted the related Appropriation Bill authorising the government to spend Rs 4,085.01 crore out of the consolidated funds of the state.
Moving the Appropriation Bill, Chief Minister Prem Kumar Dhumal announced several tax concessions. He said keeping in view the suggestions put forward by members during the Budget debate he had decided to withdraw the proposal to impose 8 per cent sales tax on photographs, meat, fish and eggs. Similarly, the hike on sales tax on motor cars from 3 to 4 per cent had also been withdrawn. The increase in sales tax from 4 to 8 per cent on gold and gold jewellery had also been withdrawn.
He also announced some relief in sales tax on tyres, and tubes. The rate of sales tax, which was proposed to be increased from 9 to 12 per cent, had been reduced to 10 per cent.
The sales tax on photographs, eggs and meat, proposed for the first time, had evoked strong reaction from the masses and trading community.
With these concessions, the Budget deficit of Rs 1,321 crore was likely to increase further marginally. Mr Dhumal said the loss of revenue on this account would be met by better tax administration.
The committee system on the pattern of Parliament for a close scrutiny of the Budget proposals was introduced in the Vidhan Sabha for the first time. The Budget was presented on July 3 and after general discussion the House was adjourned for a nine-day recess on July 10.
The seven department related standing committees examined the proposals during the recess and submitted reports when the House reassembled on July 20. Demands for grants pertaining to various departments were discussed for two days.
This was the first Budget of the BJP-HVC coalition government. The new government assumed office on March 24 and it passed a vote-on-account for the first four months of this financial year on March 30.
Mr Mohinder Singh, Rural Development Minister, introduced the Bill to amend the state Motor Spirit (Taxation of Sales) Act to empower the government to notify rates of tax on different kinds of motor spirit. At present, the tax is being levied at a rate of six paise in a rupee on all kinds of spirits. It had been proposed in the Budget to enhance the tax on motor spirit (excluding diesel) from six to 10 paise in rupee.
Mr Dhuman introduced a Bill to amend the state Lokayukta Act to bring the salary payable to the Lokayukta on a par with the Chief Justice of the state high court.

Plea against shifting of HQ fails
Tribune News Service
SHIMLA, July 24 — A Division Bench of the Himachal Pradesh High Court comprising the Chief Justice, Mr D. Raju, and Ms Justice Kamlesh Sharma, today dismissed the writ petition challenging the order of the state government to shift the headquarters of Shah Nehar project circle from Jwali to Fatehpur.
Accepting the contention of the government, the court held that this policy decision was not amenable to writ jurisdiction and that the petitioners and other residents of Jwali did not have any legally protected, personal or individual rights in exercise of which they could ask for a writ of mandamus to direct the government to continue the circle at Jwali. Further, the petitioners had not been able to demonstrate that the administrative and policy decision to shift the circle headquarters was unreasonable, arbitrary of malafide and taken for extraneous reasons in colourable exercise of powers. It was for the petitioners to show that the decision was wanting in reasonableness or was not taken in public interest.
In the petition, field by 20 residents of the Jwali area, it was stated that the circle had been shifted from Jwali town to a remote village of Sihal in Fatehpur at the behest of a legislator. The government had refuted the claim and asserted that Sihal was located on strategic Nurpur-Talwara-Mukerian highway.
Mr Sanjay Karol, Advocate-General, had further averred that the entire command area of the Shah Nehar project fell in Fatehpur and Indora tehsils of Kangra district and no area of Jwali tehsil was to be irrigated by the Shah Nehar project. The petitioners had no locus standi to file a petition. By shifting the headquarters, the government had taken the office closer to the project area.
The Shah Nehar project circle office was shifted on June 27, 1998 along with the administrative and technical control of the Sidhata irrigation project.
The petitioners were represented by Mr Om Prakash and Mr Ashok Chaudhary.

27 helipads planned
Tribune News Service
SHIMLA, July 24 — The Himachal Government propose to construct 27 helipads at a cost of Rs 40 crore to connect land-locked tribal areas and some important tourist places of the state.
Announcing this during question hour, Mr P.K. Dhumal, Chief Minister, said that as many as 22 helipads were planned for the tribal areas of Lahaul-Spiti, Kinnaur and Pangi and the remaining five were to be constructed at Bir-Billing (Kangra), Deot Sidh (Hamirpur), Manikaran (Kulu), Renuka (Sirmaur) and Chail (Solan).
Plans were also afoot to extend the length of airstrips of the three existing airports in the state. The length of Shimla airport runway was to be increased from 3800 ft to 4200, Bhuntar airstrip from 3900 ft to 4500 and Kangra airstrip from 4200 ft to 4900. This would enable bigger aircraft to land.
The government had urged the Centre to subsidise air fares in northern circuit, comprising Himachal and Jammu and Kashmnir, on the pattern of the north-eastern states.
Replying to a question of Mr Harsh Mahajan, Mr Dhumal said that his government ordered transfer of 45 IAS officers, 21 IPS officers, 75 State Administrative Service officers and 17 forest officers during the last 100 days.
The number of transfers were not high as many of these were necessitated by deputation to the Government of India, promotions and completion of tenure in the tribal areas. Moreover, no tenure had been fixed and officers were posted keeping in view factors like suitability and job requirement.
Mr Dhumal informed Mr Gangu Ram that the coalition government would implement common points in the manifestoes of the BJP and the HVC. He said the promises would be fulfilled in a phased manner. Regarding the promise to transfer the shamlat lands back to the owners, he said under the State Village Common Land Act, 1972, there was no such provision. It would take some time to implement such promises.
He also informed the House that there was no proposal to disband the State Administrative Tribunal.
In a written reply, the Chief Minister told Mr Kaul Singh that out of the total 25 public undertakings, 17 were in the red. There was no move to close down or merge the loss-incurring units. The Himachal Worsted Mills and Nahan Foundry had been liquidated and their assets were being disposed off.
Mr Ramesh Dhawla, Irrigation and Public Health Minister, informed Mr Chander Kumar that so far no funds had been received from OPEC for the Shimla sewerage system scheme.
The OPEC and the state had signed an agreement under which the cost of the project was to be shared in the ratio of 73 and 27. The states share came to Rs 14.80 crore. The 10th Finance Commission had sanctioned Rs 10 crore for the scheme and the government had made a provision of Rs 4 crore.
Replying to a call-attention motion of Mr Ravi, the Chief Minister said that effective action was being taken to monitor the activities private financial companies against which there were numerous complaints of fraud and cheating. Necessary instructions were issued to Deputy Commissioners in this regard last month. Besides, legal formalities had been completed to empower district and subdivisional magistrates to take action against erring companies under the Reserve Bank of India Act.
He appealed to the people not to be lured by such companies and instead deposit their money with banks.