Aizawl: Mizoram’s main opposition party Mizo National Front (MNF) on Wednesday strongly blamed chief minister Lalduhoma for allegedly making a false statement over the utilisation of funds under Special Assistance to States for Capital Investment (SASCI) scheme.

The MNF also sought an apology from Lalduhoma for accusing the previous MNF government of poor performance, which led to the lapse of over Rs. 430 crore under part-I of SASCI scheme during the fiscals 2022-2023 and 2023-24.

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Earlier on May 3, Lalduhoma had told reporters that  the Centre sanctioned Rs. 400 crore for implementation of several projects under SASCI scheme during the fiscal 2022-23, of which Rs. 200 was released as first installment to the Mizoram government when the MNF was in power. 

However, the MNF government headed by former chief minister Zoramthanga could not get the second installment as it failed to complete 75 per cent physical achievement on the projects, resulting in the lapse of Rs. 200 crore, he had said.

He also said that another Rs 233 crore out of the total Rs. 700 crore sanctioned under SASCI scheme for the fiscal 2023-24 was also lapsed as his government was not in a position to claim the second installment because of the failure by the MNF government  to implement 75 per cent of the SASCI projects during 2023-24 fiscal.

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Reacting to the allegations, MNF Legislature Party (MLP) leader Lalchhandama Ralte on Wednesday blamed Lalduhoma for allegedly ‘lying’ and making a false statement to the people.

Speaking to reporters at a press conference here, Ralte claimed that no fund under SASCI part-I lapsed during the MNF government in 2022-23 as alleged by the chief minister.

He said that the Centre sanctioned Rs. 400 crore for implementations of projects under SASCI scheme during the fiscal 2022-23 and tenders were floated for contract works worth Rs. 400 crore the same year.

He said that all contractors have also completed their projects. 

Although the government could not get the second installment amounting to Rs 200 crore during that fiscal (2022-23), it has received the fund (Rs. 200cr) as unpaid bills along with the sanction order of Rs. 500 crore for the fiscal 2023-24, he said. 

Ralte said that out of the total sanctioned Rs 700 crore, including Rs 200 crore as unpaid bills, for 2023-24 fiscal the Centre released Rs 466.69 crore as the first installment. 

Of Rs. 466.69 crore, Rs. 200 crore was immediately released to the implementing agencies and the remaining Rs. 266.69 crore could not be utilised and was parked in the state finance department’s account due to the imposition of model code of conduct in view of the state assembly polls held on November 7 last year, he said. 

Ralte alleged that when the Zoram People’s Movement (ZPM) government headed by Lalduhoma came to power on 8 December last year it put so much restraint on contractors, who were legally registered under the state PWD. that they could not execute the projects expeditiously.

He further alleged that the ZPM government failed to release the first installment amounting to Rs. 266.69 crore to implementing departments till the end of the 2023-24 fiscal on March 31, 2024 despite the SASCI guidelines and sanction terms and conditions, which states that SASCI fund should be released by the state finance department to the implementing agencies within 10 days from the date the fund was released by the Centre.

“Due to the failure to release the first installment within the 2023-24 fiscal, the ZPM government was unable to claim the second installment, which resulted in the lapse of Rs. 233.31 crore of SASCI funds during 2023-24,” Ralte said. 

He said that the state government lost several crores as GST and labour cess due to the lapse of SASCI fund.

Lalduhoma, however, claimed that the Centre released Rs. 466.64 crore out of sanctioned amount Rs. 700 crore for implementations of several projects under SASCI scheme during 2023-24.

Out of Rs. 466.64 crore, Rs. 200 crore was spent for resumption or execution of pending projects in 2022-23 and the remaining Rs. 262.55 crore was divided among 40 MNF legislators for election campaign, Lalduhoma alleged. 

As the MNF government received expenditure sanctions on 22 September and 9 October last year and because it was very slow in its action it could not fully implement the projects before the imposition of MCC.

He said that the ZPM government did not cancel any of the contract work issued during the MNF government and the projects are being executed by the same contractors under the present government but at a slow pace.  

As the contractors failed to complete 75 per cent of their projects before the end of the 2023-24 fiscal, the ZPM government was not in a position to claim the second installment which resulted in the lapse of  Rs.233.36 crore, Lalduhoma said. 

He held the MNF government responsible for the lapse.