State seeks explanation on Rs 4.23-crore unused Smart City funds in Nashik

SHARE:

Nashik: The state urban development department has sought an explanation from Nashik Municipal Smart City Development Corporation Limited (NMSCDCL) after Rs 4.23 crore remained unspent in its Single Nodal Agency (SNA) account under Smart Cities Mission, putting the utilisation of project funds under scrutiny.

The move follows directions from the Union ministry of housing and urban affairs (MoHUA), which has also sought details of Rs 27.66 lakh earned as interest on Centre’s share of funds.

In a communication issued on Oct 16, state govt directed all Smart City corporations in Maharashtra to explain unspent balances parked in their SNA accounts. According to the figures cited, NMSCDCL had Rs 4.23 crore lying unutilised as of Oct 4, while Rs 27.66 lakh had accrued as interest on central funds.

Nashik is not alone. Similar unspent balances have been flagged in Smart City corporations across Pune, Solapur, Nagpur, Chhatrapati Sambhajinagar, Thane and Kalyan-Dombivli.Centre has sought clarifications on why funds remained unused despite the completion of multiple phases of Smart Cities Mission. Smart City corporations were asked to submit detailed explanations by Oct 19.

An official said, “State govt’s communication warned that failure to provide satisfactory reasons could lead to the recovery of the unspent funds, along with the corresponding interest. Authorities have also been directed to disclose whether any portion of the accrued interest has already been returned to state or central govt.”The review comes as Smart Cities Mission approaches closure. In Nashik, the Smart City corporation has executed several marquee projects, including integrated surveillance systems, mobility initiatives, civic infrastructure upgrades, beautification works and public utility projects. The latest directive is expected to trigger a closer examination of pending liabilities and ongoing commitments to determine why funds remain parked in the SNA account.

Leave a Comment

Read More