Yediyurappa should reject Centre's proposal to avail loan: Khader

Mangalore MLA and former minister MLA U T Khader urged Chief Minister B S Yediyurappa to reject the Centre’s proposal to avail a loan.

Finance Minister Nirmala Sitharaman had said that the Centre could not provide any immediate relief to states demanding their GST compensation dues and had asked states to raise loans to meet their needs.

It is the right of every state to demand GST dues. The Centre had promised that it will pay GST compensation to states in past, said Khader.

The finance minister who blamed god for her inability to handle the economic crisis should resign immediately, he demanded.

He said the GDP of the country had fallen to 3% from 8 to 9% even before the Covid-19 pandemic in India.

Asking states to take loans instead of giving its share of GST dues is not right. It shows that the government had failed in managing financial issues.

The MLA said GST which was planned during the UPA tenure, is the best tax reform, but it is being implemented badly by the BJP government.

The state’s GST share for the past four months is Rs 13,740 crore. “Why should the state government borrow money instead of seeking its rightful GST share? Let the Centre borrow money from Reserve Bank of India and pay GST compensation to states.

He urged all MPs from Karnataka to stage a dharna in front of the Parliament seeking GST share.

When the Centre can waive loans borrowed by corporates, why can’t they pay GST compensation to states? The Central government should clarify about RBI’s Rs 1.76 lakh crore surplus transfer with details on how it was spent, he demanded.