The central government has withheld Rs 640 crore in funds allocated to Karnataka due to pending utilisation certificates (UCs) for various schemes, according to a senior official. The amount pertains to schemes under the departments of drinking water and sanitation, forests, shipping, and irrigation.
Funds withheld due to non-submission of UCs
The official stated that the funds have not been released as the state government has failed to submit the required utilisation certificates, which confirm that the allocated money was spent for the intended purposes. The withheld amount includes funds for key infrastructure and development projects.
Impact on state schemes
The delay in fund release could affect the implementation of ongoing projects in the affected sectors. The state government is expected to expedite the submission of UCs to ensure the release of the withheld amount. The Centre has urged all states to comply with UC requirements to avoid such holds.
According to the official, the matter has been taken up with the state authorities, and efforts are underway to resolve the issue. The Karnataka government has not yet issued an official response on the matter.
