Govt urged to scrap subsidy for hotel construction

Puducherry, May 30 (UNI) The Puducherry unit of the Communist Party of India (Marxist-Leninist) today urged the administration to scrap the subsidy scheme for construction of hotels here forthwith.

In a statement today, Party State Secretary S Balasubramanian pointed out that with the administration announcing a subsidy of Rs One crore for construction of hotels here to boost tourism in the union territory, several hotels mushroomed with the sole intention of availing the subsidy. With several hotels coming up in the town limit, the government should stop the subsidy scheme, he said.

Pointing out that the planning commission refused to allocate funds for the hotel subsidy scheme and expansion of Puducherry air strip and permitting the administration to spend the money under non-plan expenditure, Mr Balasubramanian demanded that funds should not be allocated for the purposes under the non-plan.

Expansion of the air strip would severly hit the poor handloom weavers who would lose their dwelling places, he said.

UNI