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THE TRIBUNE SPECIALS
50 YEARS OF INDEPENDENCE

TERCENTENARY CELEBRATIONS
H I M A C H A L   P R A D E S H

CM releases White Paper on fiscal reforms
Shimla, April 1
Taking the BJP head on for signing memorandum of understanding on fiscal reforms, Mr Virbhadra Singh, Chief Minister, today presented a White Paper in the Vidhan Sabha on the issue to assert that the much-debated document was, in fact, baby of the Dhumal regime.

HP sports Bill introduced in Vidhan Sabha
Shimla, April 1
In a major step to regulate the functioning of sports bodies in the state Mr Ram Lal Thakur, Forest Minister, introduced the Himachal Pradesh Sports (Registration and Regulation of Associations) Bill in the Vidhan Sabha today.

Near-total bandh against VAT
Shimla, April 1
Traders and businessmen observed near-total bandh throughout the state for the third day today to protest against imposition of value-added tax (VAT) from today.

CM misleading public on MoU and VAT: Dhumal
Shimla, April 1
Terming the White Paper issued by the government on fiscal reforms as “black paper” former Chief Minister and Leader of the Opposition P.K. Dhumal today accused the Congress regime of misleading the Assembly and the public on the issue of MoU on fiscal reforms and the VAT.

No penal action under VAT, says minister
Shimla, April 1
Mr Rangila Ram Rao, Excise and Taxation Minister, today announced that no penal action would be taken under the VAT legislation in the first year to enable its smooth transition to new tax regime.



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Shimla


EARLIER STORIES

 

Lawyers go on two-day strike
Shimla, April 1
The District Courts here wore a deserted look today after the lawyers resorted to a two-day strike beginning today.

Lapro sterilisation picking up among men: CMO
Dharamsala, April 1
The promotion of ‘No-scalpel vasectomy (NSV)’ is the new focus of family planning programme in Kangra district.

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CM releases White Paper on fiscal reforms
Tribune News Service

Shimla, April 1
Taking the BJP head on for signing memorandum of understanding (MoU) on fiscal reforms, Mr Virbhadra Singh, Chief Minister, today presented a White Paper in the Vidhan Sabha on the issue to assert that the much-debated document was, in fact, baby of the Dhumal regime.

Tracing the genesis of the MoU, the 77-page White Paper clearly shows that the document was first signed in April, 1999. The BJP-led government not only signed but also implemented it and sent the “action taken report” to the Government of India. Subsequently, most of the measures contained in the MoU found their way in the Budget proposals of 2000-2001. It also made an important disclosure that the file pertaining.

While starting the reform process in pursuance of the MoU the previous government also submitted a “Medium Term Fiscal Forecast” in which the achievements were listed. These included halting the regularisation process of daily wagers, banning creation and filling of non-functional posts, abolishing 1,006 posts in various departments, winding up three offices of divisional commissioners, abolishing five out of 41 posts of IAS, IPS, IFS and state Administrative Services, discontinuing budgetary support to all public sector undertakings (except six PSU’s engaged in development activities), freezing or phasing out subsidies on agriculture and allied sectors inputs and starting the disinvestment process in the tourism sector.

The “Medium Term Fiscal Forecast” also served as the government’s medium term fiscal reform programme on the basis of which the Government of India sent a draft MoU.

Presenting the document the Chief Minister said the previous government was forced to initiate fiscal reforms to have access to additional funds from the Centre for a temporary bailout but it was mortally scared of the political implications of its action. It chose to carry out reforms by stealth. He said when his government took over in February 2003 there was no record of the MoU available as the relevant file had gone missing.

It was very clear that the components and substance of the MoU of 1999 and that of 2004 were same. Thus the 1999 document was an MoU in the same manner and with the same validation as the 2004 document, but with harsher covenants. He said while informing about the progress of reforms the then Chief Minister wrote to the then Union Finance Minister that a phased medium term programme had been finalised to raise the user charges to a semblance of reasonableness.

It was clear from the letter that there was a constant reporting on the implementation of the fiscal restructuring programme pursuant to the MoU at various levels in the state government. Very clearly, as in the case of the missing file revealed the then state government was not ready to stand-up and be counted in terms of undertaking reforms in the fiscal sector.

If the government had been bold enough to follow its claims and commitments with concrete action and had signed the MoU on fiscal reforms after suitably modifying it to protect the state’s interests, and actually followed it up with achieving the requisite milestones laid down in it the Government of India would not have withheld Revenue Deficit Grants and taken other stringent measures, such as completely debarring us from any exposure to external sources of funding.

Signing the MoU had become inevitable because the 11th Finance Commission released some part of the Revenue Deficit Grant conditional on the Fiscal Reforms Programme to be carried out by the states. To avail the Fiscal Reforms Facility Funds, the state government submitted the Medium Term Fiscal Forecast in October 2001. Those opposing the document today must understand that they were the precursors and the creators of the MoU process.

On the other hand the government negotiated with the Centre and managed to get the harsh terms of the original draft MoU relaxed. For instance the blanket ban on recruitment would not be applicable in the case of certain functional departments. Instead of the ceiling of 250 for employment under compassionate employment policy had been enhanced to 300. The policy of regularisation of daily wagers would continue in conformity with judicial orders and instead of a blanket ban on the release of any new allowance. It had been agreed that the same would be allowed subject to the fiscal health of the state and its ability to bear the financial burden. The conditionality of DA lease had been withdrawn and the state government had released instalments due up to January, 2004.

The Government of India also recommended the World Bank to finance Rs 540 crore Integrated Watershed Development Project for Himalayas. Other projects in the pipeline for external funding included Rs 485 crore Swan River Flood Management and Integrated Watershed Development Project with JBIC assistance, a Rs 53 crore project for effluent treatment plant at Baddi-Brotiwala with GTZ and the Rs 120 crore Natural Resource Management Project for sustainable livelihoods in the Himalayas with JICA.

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HP sports Bill introduced in Vidhan Sabha
Tribune News Service

Shimla, April 1
In a major step to regulate the functioning of sports bodies in the state Mr Ram Lal Thakur, Forest Minister, introduced the Himachal Pradesh Sports (Registration and Regulation of Associations) Bill in the Vidhan Sabha today.

Besides the mandatory registration, the Bill seeks to lay down the norms and guidelines for constitution, elections , recognition and audit of funds of sports bodies. As per the proposed provisions election to the executive body of a state-level sports association shall be held in the presence of an observer appointed by the state sports council. Each affiliated primary body will have the right to cast one vote for the district-level association and the president and the secretary of the district body will have one vote each in the election for the state-level association.

No individual or life member of any sports association will have a right to cast vote in the election of the executive body. The procedure for the authorisation of persons for the purpose of casting vote on behalf of a sports association will be prescribed in the bylaws.

Every sports association will have its accounts audited by a chartered accountant and these will be sent to the state sports council, which could recall any record for any inquiry under the Act.

A sports association will be liable to action if it failed to maintain accounts or submit those or fail to produce the accounts when called for inspection.

The failure to hold elections in accordance with the bylaws and the misappropriation of funds will also attract disqualification. The Registrar could hold an inquiry on the request of not less than half the number of total members of associations or on his own motion.

After holding an inquiry the Registrar could appoint an ad-hoc executive committee and call to hold fresh elections within three months. No existing office-bearer who has been disqualified will be permitted to contest election for a period of six years from the date of disqualification.

Mr Thakur said the Bill was aimed at advancing, encouraging and promoting sports in the state and to create a democratic structure to discourage nepotism.

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Near-total bandh against VAT

Shimla, April 1
Traders and businessmen observed near-total bandh throughout the state for the third day today to protest against imposition of value-added tax (VAT) from today.

The traders held a massive rally to protest against the VAT, describing it as anti-trader and anti-people, and alleged that it was being implemented without educating the traders and the general public.

Shops and business establishments, including tea shops, dhabas and cigarette and betal shops, remained closed in all the major towns, causing great inconvenience of the people and tourists.

The decision of the All-India Beopar Mandal and other organisations sponsoring the bandh has caused anxiety among the people as various beopar mandals in the state were holding meetings to take a final decision on extending the bandh which was to end today. — PTI

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CM misleading public on MoU and VAT: Dhumal
Tribune News Service

Shimla, April 1
Terming the White Paper issued by the government on fiscal reforms as “black paper” former Chief Minister and Leader of the Opposition P.K. Dhumal today accused the Congress regime of misleading the Assembly and the public on the issue of MoU on fiscal reforms and the VAT.

Talking to media persons here today, he said that the Congress government had been exposed on the two issues of the MoU and the VAT. “Had the BJP government signed the MoU the grant from the Centre would not have been stopped as Mr Virbhadra Singh in the White Paper had himself said that the grant started from 2003-2004 onwards,” remarked Mr Dhumal.

The BJP leader said the Congress had termed the MoU as a “death warrant” when it was tabled in the Assembly for discussion by his government on March 28, 2002. “It is amazing how a document which was termed as anti-people, anti- employee and anti-farmer would suddenly protect the interest of the state and its people,” he quipped.

Mr Dhumal said the government claim that the term of the MoU had come to an end on March 31, 2005, was wrong as it was only the fiscal reform facility, which had ended, and the people of the state would have to bear the adverse implications of the MoU.

Mr Dhumal said that contrary to government claims foodgrains had also been brought under the VAT and the sale tax increased from 8 to 12 per cent. “No doubt, after the implementation of the VAT and profession tax, the state government would not have to beg for money before the Centre but it is the common man who will bear the brunt,” he remarked.

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No penal action under VAT, says minister
Tribune News Service

Shimla, April 1
Mr Rangila Ram Rao, Excise and Taxation Minister, today announced that no penal action would be taken under the VAT legislation in the first year to enable its smooth transition to new tax regime.

Addressing a press conference he said the state government was earning revenue of Rs 547 crore from sales tax whereas the VAT was expected to yield Rs 500 crore. The Central Government had assured that any shortfall in the revenue would be fully compensated in the first year, to the extent of 75 per cent in second year and 50 percent in the third year. The Central sales tax would be phased out over the next three years.

He said goods of local and state importance had been exempted from tax and the limit of taxable turnover had been raised to Rs 6 lakh from Rs 4 lakh. For dealers with a turnover of Rs 20 lakh per annum, a special composition scheme allowed payment of 1 per cent tax on the turnover and the returns filed would be deemed to be assed. 

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Lawyers go on two-day strike

Shimla, April 1
The District Courts here wore a deserted look today after the lawyers resorted to a two-day strike beginning today.

The lawyers are protesting against proposed imposition of professional tax under which each lawyer may have to pay a maximum of Rs 200 per month to the state government. The lawyers organised a two-hour dharna on the court premises.

According to Shimla District Courts Bar Association chief Ramesh Negi, the tax is being thrust on them without associating them in the process leading to imposition of tax. He expressed surprise over imposition of tax when the government was providing no facility worth its name to the lawyers.

He demanded immediate withdrawal of the tax failing which the lawyers would chalk out their further course of action.

HAMIRPUR: Lawyers observed strike in protest against the imposition of professional tax. They held a meeting and urged the state government to withdraw the tax which, according to them, was anti-people and anti-lawyers. — UNI

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Lapro sterilisation picking up among men: CMO
Tribune News Service

Dharamsala, April 1
The promotion of ‘No-scalpel vasectomy (NSV)’ is the new focus of family planning programme in Kangra district.

This was pointed out by Chief Medical Officer C.S. Rathore at a press conference here to highlight the achievements of the Health Department under various programmes during the past one year.

Even though lapro sterilisation remains the most popular method of contraception, the NSV is gradually picking up among men. “Myths like a man losing strength after vasectomy is a major hurdle,” he said.

“The NSV is safer than regular vasectomy as it does not involve any surgery or stitches and there is, therefore, no scope for infection or bleeding. The technique was introduced at the national family welfare programme in 1997 but the acceptance is less than 3 per cent of the total sterilisation,” he said.

He appealed to the people to get themselves tested for AIDS at the voluntary counselling and testing centre (VCTC) in case of a doubt.

“We maintain absolute anonymity and the testing process is three-tier as blood samples are sent to Shimla for confirmation, unlike the single-testing procedure followed by private practitioners,” said Dr Rathore.

Under the New AIDS Control Programme, 2,566 units of blood was collected and the ratio of voluntary donation to replacement donation was placed at 60.63 per cent during last year.

A total of 8,583 patients were treated under the STD programme, which included 446 cases of utheral discharge and 5507 cases of vaginal discharge.

The focus of the AIDS awareness programme last year was gender equality and youth in the age group of 16-23 were informed about the disease.

He said the district had five TB units and 28 microscopy centres. Sputum microscopy was being done at all microscopy centres under the revised national tuberculosis programme. “All TB patients are getting treatment free of cost at all health institutions,” he said.

“We plan to organise NSV camps in various health institutions of the district during the later half of the year. Weekly camps have been arranged at the Civil Hospitals at Dehra, Palampur and Kangra and the Zonal Hospital at Dharamsala,” he added.

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Man held with stolen truck
Our Correspondent

Nalagarh, April 1
The police arrested a man with a stolen truck last night.

Dharam Pal, driver of truck No. HP-12A4755, had complained that his vehicle, laden with Dabur products and glucose, had been stolen by Satinder Singh of Reta Nangal village in Uttar Pradesh. The truck was parked near Pick-up Union office here. Acting swiftly the police arrested the accused.

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