Telangana Softens a Bit on Assets Sharing?
Telangana government softened its stance a bit on the Sharing of Assets of Institutions under Section 10 of Andhra Pradesh Reorganization Act. The State government which is not co-operating to the sharing on Population Basis, now informed the Apex Committee it would only share the cash of these institutions but not the assets.
These institutions have 4818.76 Crore towards Fixed Deposits, Bank Accounts and Saving Accounts. Telangana government claims that there is no clarity in the Supreme Court’s directive over the sharing of assets. But then Andhra Pradesh government is not buying this argument and is firm on having a share in assets. But if that holds good, AP will only get around 2400 Crore from these institutions.
There are 142 institutions under this Section and their total assets value is going to be 36835 Crore which includes lands, buildings, bank deposits and others. This 36835 Crore if divided, Andhra Pradesh will get 21,364 Crore while Telangana will get 15,471 Crore in population ratio. Out of the 36835 Crore, buildings and lands worth 28,046 Crore are in Telangana, more precisely in Hyderabad. The remaining 3650 Crore worth assets are in Andhra Pradesh. Remaining is in the form of bank deposits. Andhra Pradesh will have to lose about 14000 Crore if Telangana’s argument of division on geographical basis stands.