Puducherry cabinet expansion before May 27 : Rangasamy

Puducherry, May 20: Puducherry Chief Minister N Rangasamy today (May 20) said expansion of the Union Territory's cabinet would be completed before May 27.

Speaking to reporters on the sidelines of a function to mark the roll out of the Goods and Services Tax (GST), Rangasamy said, "Everything will be completed before May 27".

Puducherry usually has a six-member ministry, including the Chief Minister. Rangasamy alone was sworn in on May 16 amid uncertainty over whether the ministry would also comprise members from AIADMK, an ally of Rangasamy's AINRC (All India NR Congress) in the Assembly elections.

After AINRC had bagged 15 seats and AIADMK won 5 seats in the Assembly polls, Rangasamy had hinted that the Union Territory would witness a single-party rule.

AINRC has a simple majority in the 30-member Puducherrry Assembly with the support of an Independent member V M C Sivakumar from Neravy T R Pattinam in Karaikal.

Livid at Rangasamy's "unilateral" decision to form a single-party rule despite an alliance with her party, Tamil Nadu Chief Minister Jayalalithaa had yesterday accused him of "backstabbing" and said AIADMK would function as a "constructive" opposition.

Meanwhile, Rangasamy appealed at the function to the UPA government to grant more concessions and tax incentives to enable entrepreneurs to set up industries in the Union Territory.

Inaugurating a two-day interactive session on roll out of the GST organised by the Commercial Taxes department, Rangasamy said Puducherry was a small Union territory and had very limited scope for levying of taxes.

"The scope for new taxes or revision of taxes is very limited in Puducherry and industrial development could be achieved if the Centre extends concessions or incentives in taxation for entrepreneurs starting industries here" he said.

He added he had always maintained that only non-polluting industries would get preferential consideration in Puducherry.

Rangasamy said when Value Added Tax (VAT) was imposed in 2007, there was apprehension among all sections that this would cause setback in the growth and development of Puducherry.

However, he said revenues shot up by 30 per cent when compared to the earnings through the VAT and the Central Sales Tax in 2009-10.

PTI