Karnataka govt has become bankrupt: Siddaramaiah

Leader of the Opposition Siddaramaiah on Tuesday said the BJP-ruled state government was ‘bankrupt’ and flayed Chief Minister BS Yediyurappa moves to generate revenues by selling corner sites of the Bangalore Development Authority (BDA).

“By auctioning sites en masse with the hope of generating Rs 15,000 crore, doesn’t it show the government has become bankrupt?” Siddaramaiah said, referring to Yediyurappa’s plans to auction 12,000 BDA corner sites.

Siddaramaiah, who holds the record of presenting a record 13 budgets, also criticized the government's plan to utilize Rs 1,000 crore available with the Rajiv Gandhi University of Health Sciences (RGUHS). “When we were in power, the RGUHS had Rs 600-700 crore. We didn’t touch it, because it’s the money that’s come from hospitals and students and we wanted to use it for the university’s development. But this government is so financially bankrupt that it’s using this money, too,” he said.

The reasons for the government’s financial crisis include wasteful expenditure, reduction in the state’s share of Central taxes, delay in GST compensation and corruption, Siddaramaiah said. “I agree that the lockdown has affected the collection of commercial taxes, motor vehicle taxes, stamps & registration fees, and excise, but what are you doing to cut wasteful expenditure? Instead, they want to sell off government assets.”

Siddaramaiah said PM Modi’s address to the nation on Tuesday morning was disappointing. “Industries have closed, agriculture is suffering, labourers are stranded and the rural population is in distress. PM Modi should’ve announced programmes for economic revival,” he said.

Karnataka Pradesh Congress Committee (KPCC) president DK Shivakumar also felt let down. “We’re ready to cooperate in the fight against COVID-19, but it’s very unfortunate and shocking that no economic package was announced,” he said.

To mark BR Ambedkar's 129th birth anniversary, the KPCC on Tuesday arranged a low-key event that saw some party leaders read out the preamble of the Constitution.