LDA struggling to come out of financial mess
Mismanagement in the last five years has left the Lucknow Development Authority (LDA) with little money to execute development projects in the city.
Barring funds with the LDA to execute government projects and reserve funds, the authority is left with Rs 24 crore to carry out development work in the state capital.
Rajeev Kumar Singh, new finance controller of the LDA, has the daunting task to replenish empty coffers of the development authority. Singh confronted this reality at a recently concluded meeting with the LDA staff that he chaired.
“LDA is left with only Rs 24 crore to execute development projects in the city. This is apart from the emergency fund and money released by the state government to execute government projects,” said a senior official of the LDA.
Now, the only way to come out of this financial mess for the development authority is to generate funds by selling its commercial properties and flats in the CG City project, Shan-aAwadhat Sultanpur road.
The development authority aims to earn Rs 2675.35 crore in the ongoing financial year from its several projects.
The LDA aims to earn Rs 800 crore from sale of flats, Rs 650 crore from sale of commercial plots and Rs 692.50 crore from CG City and other housing schemes.
“Several housing projects of the development authority are incomplete. We have decided to complete them in this financial year instead of laying stress on starting new ones,” LDA VC Prabhu Narain Singh had said.
Singh had already clarified that he would work in coordination with the UP Housing and Development Board to execute low cost housing scheme of Prime Minister Narendra Modi. It may be pointed out that Housing Board is also planning low cost housing projects under the PM’s ambitious project aimed at providing houses to all poor.