‘A liar’, says Karnataka CM Siddaramaiah responding to Union FM Nirmala Sitharaman’s claims on dues

Siddaramaiah questioned the Union government as to why was the state not allocated any funds in the recently presented budget.

Published Jul 29, 2024 | 1:30 PMUpdated Jul 29, 2024 | 1:30 PM

Siddaramaiah

Karnataka Chief Minister Siddaramaiah on Monday, 29 July, responded to Union Finance Minister Nirmala Sitharaman’s claims that the centre doesn’t owe any dues to the state.

Siddaramaiah questioned the Union government as to why was the state not allocated any funds in the recently presented budget. He further said that Sithatraman was lying when she spoke of the state receiving more central funds in the last ten years compared to what was allocated during the UPA tenure.

Speaking to reporters in Mysusru, he said, “When Nirmala Sitharaman came last time, she lied. She is lying even now. They claim that they have given so many grants to the state. In the 15th FC, Karnataka is the most affected state.”

“She claimed that industries are fleeing from Karnataka. In reality, the FDI investments in our country have gone down by 31 percent. Why was there a drop? It is because of their policies. It is none other than Nirmala Sitharaman who rolls out policies,” charged the chief minister.

He continued: “Karnataka is the second-highest tax grosser, following Maharashtra. What more contributions should we make?”

Speaking on behalf of the non-BJP ruled states, Siddaramaiah said, “That is why we have boycotted the NITI Aayog meeting. It is not just Karnataka, even Tamil Nadu, Telangana, and other non-BJP ruled states did not participate.”

He further added, “Mamata Banerjee, took part but walked out as she was not given time to express herself. Are they teaching us lessons? We have taken loans within the permissible limits of the GDP.”

“Have they followed it? They have taken a whopping ₹15 lakh crore loan this year,” Siddaramaiah said taking a dig at the Union government.

What did Sitharaman say?

Targeting the Karnataka government for “industries fleeing the state” and inflation, Sitharaman on Sunday, 28 July, claimed that “It is completely false. The Karnataka government has been doing wrong publicity. Even people of Karnataka are not getting factual information.”

Highlighting the transfer of central funds to Karnataka, Sitharaman pointed out: “Between 2004-2014, when UPA government was at the helm in Delhi, Karnataka received only ₹18,791 crore. Between 2014-24, under PM Modi’s regime, the state received ₹2,95,818 crore,” she said.

“Karnataka received ₹67,779 crore as grant-in-aid from the Government of India during the UPA regime in 10 years. Under PM Modi’s regime, ₹2,36,955 crore was received between 2014 to 2024,” Sitharaman said.

“With regard to the tax devolution for the fiscal year 2024-25 in the budget, the state has been given ₹45,485 crore. If I have to compare, under UPA, it was ₹8,179 crore per annum. This year alone, ₹45,585 crore was allocated,” she added.

“Likewise, it was only ₹6,077 crore per annum as grant-in-aid to the state during the UPA regime. This year alone, we are giving ₹15,300 crore (to Karnataka),” stated the Union finance minister.

Also Read: ‘Investors fleeing state’, says Union Minister Nirmala Sitharaman

No grants to Karnataka

Siddaramiah further questioned the lack of grants to the state in the recent budget, “They had called a pre-budget meeting, where we asked the centre to provide grants of ₹5,300 crore for the Upper Bhadra Project, which was announced by themselves. Is it there in the budget?”

“The 15th Finance Commission (FC) had recommended providing special grants of ₹5,495 crore. Is it there in the budget? They had said they would give ₹3,000 crore for the peripheral ring road. Is it there in the budget? They had also said they would give ₹3,000 crore for water bodies development. Is it there in the budget?” asked the chief minister.

Further training guns at the JD(S) MP and Union Minister HD Kumaraswamy, Siddaramaiah questioned, “The centre gave grants to Andhra Pradesh and Bihar. What did they give to Karnataka? Union Ministers Nirmala Sitharaman and Kumaraswamy could have at least assured us. Sitharaman is a Rajya Sabha member from Karnataka.”

“Kumaraswamy is the Union Minister for Steel and Heavy Industries. Has any new industry come up in Mandya? Have we at least got an industrial corridor? They have neither announced Mekedatu nor honoured the grants we demanded.”

“We had demanded an All-India Institute of Medical Sciences (AIIMS) for Raichur. Has there been any mention of it? We had sought an Indian Institute of Technology (IIT) either in Mysuru or Hassan. Has it been sanctioned? What have they given?” the chief minister fumed over the central government’s claims of no injustice being meted out to Karnataka.

Also Read: ‘Raise voice for Karnataka in Delhi’: Siddaramaiah tells BJP MPs

(Edited by Sumavarsha Kandula)

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