Nagpur: The Bogus Contracts Scam and retirement of Chief Accounts and Finance Officer (CAFO) have hit all financial works in Nagpur Municipal Corporation (NMC).
NMC has still not paid salaries to its 8,000 odd employees even after the passage of 13 days of January. “Every month, NMC releases salaries by the first week. But this month there is no sign of payment,” said agitated employees. Even pensions of retired employees have not been released yet, confirmed an official from NMC’s accounts department.
NMC’s committed monthly expenditure is over Rs100 crore, which includes salaries, pension grants, electricity, raw water bill, payment to Orange City Water, petrol, diesel, telephone bills, security, repayment of loan, garbage lifting etc.
Standing committee chairman Prakash Bhoyar said the civic body has sufficient funds and there is no crisis. Over Rs100 crore is available with the civic body to meet the committed and other expenditure, said a source.
“For no fault of theirs, even some genuine contractors are facing financial crisis as the civic body has stopped their payments too,” said sources.
Citing an example, sources said the civic body has not made payments to Aapli Bus operators, which includes three red bus operators, one electric, two ticketing agencies, one security guard, and DIMTS for over two months now. “The red bus operators have threatened to stop the service if payments are not released within a week,” confirmed a senior official from the…

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