On one hand, Andhra Pradesh Chief Minister N Chandrababu Naidu boasts about constructing new Andhra Pradesh capital Amaravathi as the 'eight wonder of the world' day in and day out.
But on the other hand, he diverted Rs 850 crore funds granted by the Centre for building Amaravathi city to irrigation projects, forcing the Centre to stop grants to Amaravathi till AP government utilises these Rs 850 crore funds and submits utilisation certificate to Centre.
The Centre took serious view of diversion on Amaravathi funds by AP government.
The union finance ministry called up AP chief secretary and raised serious objection over how Amaravathi funds were diverted to take up irrigation projects like Pattiseema.
The TDP government is already facing serious allegations of financial irregularities in awarding contracts of Pattiseema project and siphoning off funds in nexus with contractors.
The union finance ministry categorically stated that unless the AP government spends Rs 850 crore granted by Centre on Amaravathi construction works and submits utilisation certificate, it will not allot a single rupee afresh.
The AP government now needs to adjust Rs 850 crore from its own resources, take up works and submit utilisation certificate to Centre to get fresh funds.
It would take at least one year for AP government to release and spend these funds on Amaravathi, which would mean there would be no fresh grants from Centre for Amaravathi this year.
This episode proves the financial mismanagement of Naidu and his team and the lack of commitment and sincerity on the part of TDP government over completing Amaravathi faster.
