December 3, 2022
NDTV News


Former Prime Minister Dr Manmohan Singh’s regime is being blamed for shoppers’ woes right now.

New Delhi:

A “financial fraud” performed by the UPA authorities (2004-2014) utilizing the instrument of oil bonds is chargeable for India’s shoppers struggling right now, authorities have sources. They additionally accused “non-politicians” of that day’s administration of dereliction of responsibility by not stopping the politicians on this matter. The Congress, nonetheless, brushed apart the argument, calling it “lame”.

Sources identified that under-recoveries of oil firms, thanks to grease subsidies, have been transformed into oil bonds by the UPA regime beneath Prime Minister Dr Manmohan Singh.

“These bonds were issued to finance the subsidy given on some petroleum products to cover the difference between the purchase price by the oil companies and the reduced price they were forced to sell by the UPA government,” the federal government sources mentioned.

“In normal circumstances, the subsidy is treated as revenue expenditure and, thus, forms a part of the budget. By issuing these bonds, the subsidy was treated as an off-budget item, and so the revenue deficit was reduced,” they mentioned.

Now, from this yr, such bonds value Rs 1,30,701 crores have been up for redemption. The curiosity payable on them for this yr is Rs 10,000 crore, they mentioned.

“Effectively, the managers of the economy — the government concerned, the bureaucrats, the economic advisors, the governors of the Reserve Bank of India, etc — were all involved…” sources mentioned.

“They also allowed the government of the time to pass on the responsibility to the government that would follow. Hence, the non-politicians have done a very serious dereliction of their duties, and should be held to a higher level of responsibility than the politicians,” they mentioned.

The quantities concerned are usually not small, and can adversely have an effect on the programmes that the present authorities would wish to do, in response to them.

In the previous seven years of Prime Minister Narendra Modi’s authorities, as much as Rs 70,000 crores has been spent on curiosity cost alone, supply identified contrasting it with this yr’s budgetary allocation of Rs 35,000 crores in direction of the pandemic.

However, a minimum of one Congress chief referred to as the argument “lame”.

Amitabh Dubey, President of Professionals’ Congress, Delhi, identified that PM Modi’s authorities had, prior to now six weeks alone, elevated gasoline costs by Rs 7 per litre.



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