PCs in crisis over fund slash

Provincial Councils throughout the country have been thrown into crisis and virtual bankruptcy with the Treasury slashing their allocation by as much as 60 percent, provincial leaders said.

They said vital projects relating to roads, irrigation systems, health and education were seriously affected by the move. UPFA controlled Southern Province Chief Minister Shantha Vijayalal said his council and others were appealing to the government to restore the allocation so that provincial development could be carried on.

North western province Opposition Leader Asoka Wadigamangawa said many development projects had already been launched and the reduction of the allocation would leave them stranded or halfway.

He has presented a resolution protesting against the slash. North Central Province Chief Secretary A. Thalahakotunage said they had enough funds to continue with existing projects but future schemes would be affected.

However, JVP councillor R.K.Indrananda told a different story. He said that despite the slashing of the expenditure the council had imported seven luxury vehicles, each of them costing more than Rs. seven million.