Inquiry into 'misappropriation' of funds in NWRTC assured

Bangalore, Aug 7 (UNI) Karnataka Minister for Transport T Cheluvarayaswamy today informed the Legislative Council that he would hold an inquiry into the alleged misappropriation of funds worth Rs 40 crore and misuse of power in the state-owned North Western Road Transport Corporation (NWRTC).

Replying to a question raised during the Zero Hour by Mr M P Nada Gouda (JD-U), he said the NWRTC had registered a profit of Rs 12 crore for the first time since its inception in 1997.

Mr Gouda charged the NWRTC Managing Director of misleading the government by falsely projecting that the Corporation had earned profit. The NWRTC authorities have concealed many facts including that of arrears of statutory payment of Rs eight crore, due to its employees and non-payment of about Rs 52 crore towards diesel purchased from oil companies.

Mr Gouda also accused the NWRTC of causing an avoidable loss of over Rs 40 crore by purchasing sub-standard tyres required for the Corporation. The officers of the NWRTC also caused huge loss to the Corporation in procuring sub-standard batteries and other equipment.

Intervening, Mr A M Hindasageri (Cong) alleged that while NWRTC was sinking with large scale of misappropriation of funds, the Managing Director had falsely fabricated the accounts of the Corporation and fradulantly manipulated to show that it had recorded profit.

Mr Cheluvarayaswamy while ordering for an inquiry into the alleged misdeeds into the affairs of the transport corporation, promised to take steps against the guilty.

UNI