Sunday, Feb 12, 2012
MG University in financial trouble
Kottayam: Mahatma Gandhi University Employees Association (MGUEA) has called upon the State government to sanction a non-Plan grant of Rs.75 crore and an additional financial assistance of Rs.10 crore to overcome the outstanding financial commitments.
In a submission made to Finance Minister K.M. Mani, the association said the difference between the non-Plan grant to the university and the actual expenditure on salary and pension has been mounting over the years.
The deficit, which stood at Rs.4.45 crore in 2004-05, had mounted to Rs.28.08 crore by 2010-11. The core reason for the widening disparity could be traced to the abysmally low non-Plan grant sanctioned in the base year, 1983, when the university was founded. The non-Plan grant for Kerala University was Rs.89.34 crore and that for Calicut University Rs. 64.89 crore during 2011-12, against the Rs.37.17 crore received by MG University.
The university would need Rs.10 crore to pay the dues of the employees who retire this March.
Courtesy: The Hindu