Thiruvananthapuram, Oct 28 (IANS) Kerala Chief Minister V.D. Satheesan on Wednesday accused the previous government of wrecking the state’s finances through the Kerala Infrastructure Investment Fund Board (KIIFB), triggering a sharp exchange with the Opposition in the Assembly.
Replying to an adjournment motion moved by former Finance Minister K.N. Balagopal over the alleged stalling of KIIFB projects, CM Satheesan said projects worth Rs 70,000 crore remained to be completed, but there was no clear plan to raise the money required.
He said KIIFB projects worth Rs 25,000 crore had been completed, and work worth Rs 31,761 crore was continuing.
The government would complete projects already started, he assured the House.
However, KIIFB had no revenue-generating projects to meet its commitments, the Chief Minister said.
He also claimed that the state had lost Rs 12,000 crore in borrowing capacity after its borrowing limit was reduced.
CM Satheesan alleged that KIIFB had functioned as a separate empire, appointing personnel and borrowing money without adequate control by the Finance Department.
The Board would now function under the department’s control, he said.
The Chief Minister turned the Opposition’s corporate agenda charge against it, pointing out that Balagopal himself had raised objections to KIIFB borrowing when he was Finance Minister.
“How can an expert committee report be described as a corporate agenda?” CM Satheesan asked, challenging Balagopal to explain his earlier objections.
He also dismissed allegations that the government was sabotaging KIIFB projects and warned that those responsible for looting the state exchequer would not be spared. Balagopal strongly defended KIIFB, crediting it with transforming Kerala’s infrastructure over the past decade.
He cited national highway land acquisition, roads in hilly regions and the proposed Wayanad tunnel road as examples of projects supported through the funding mechanism.
The CM said projects had been sanctioned without political discrimination and accused the UDF of opposing KIIFB from the beginning.
Calling the UDF the “Chathiyan Chanthu” that had destroyed KIIFB, Balagopal challenged the government’s claims about stalled projects.
He said the Chief Minister’s rhetoric could not override facts and demanded a detailed discussion on the expert committee report.
Leader of the Opposition Pinarayi Vijayan accused CM Satheesan of pursuing a corporate agenda and said the Chief Minister was uncomfortable whenever KIIFB was mentioned.
The exchange placed KIIFB’s finances and the future of its projects at the centre of a heated Assembly debate, with the government promising to complete ongoing works while questioning how the remaining commitments would be funded.
–IANS
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