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Investor Presentaiton

(1) Resource Gap for the year 2014-15 Amount (Rs in Crore) Comments View S no. Items Rejected 4 Deferred expenditure a. PRC arrears 3,920.00 b. Deferred bills 2,950.00 • Ongoing program PRC report submitted on 29th May 2014 . Fitment benefit of 43% is on par with Telangana State GOI is duty bound to compensate • • Pattern followed is similar to earlier Pay Revisions in United Andhra Pradesh Legally binding commitment Payment to employees was deferred for want of resources Therefore it is legitimate and standardized expenditure • Expenditure pertaining to deferred bills was • • necessary, predictable and standardized Pertains entirely to State government expenditure relating to binding commitments arising in FY 2014-15, not local governments or parastatals in Public Account Expenditure was subsequently incurred in 2016-17, and the bills were passed by Treasury as ways and means position improved • All these, constitute legitimate revenue expenditure due in 2014-15, but could not be incurred due to lack of funds and payment was deferred to subsequent year Subject to such verification, these amounts constitute legitimate resource Gap in 2014-15, and should be compensated by the Union as per the commitments made to compensate the Resource Gap 10
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