Business Standard

Govt plans to restructure loss-making NWKRTC

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BS Reporter Chennai/ Dharwad

Transport minister R Ashok has promised to put an end to several lobbies that have been hampering the growth of North West Karnataka Road Transport Corporation (NWKRTC).

Speaking to reporters here after visiting the NWKRTC office here the minister said the inquiry report on the Rs 200-crore misappropriation of funds in NWEKRTC was “vague”. He said the adjustments were made in the report to show that the corporation had earned profits at some stage after 2004 whereas in reality it is continuously under loss. His comments came after he was reminded that the inquiry committee some officials who had earlier served in NWKRTC and were facing corruption charges.

 

The minister said he had directed principle secretary (transport) M K Shankaralinge Gowda to recommend action against the erring officials. He said stern action will be initiated against the guilty and if need be some of them would be thrown out of the organisation.

Ashok said he would strive to put the loss making NWKRTC on the road to progress. Rs 50-crore revival package will be sanctioned in the next budget to bring back the past glory of NWKRTC. The revival package will comprise road tax exemption, he added. A 12-point programme has been planned for the growth of NWKRTC.

Elaborating further he said the NWKRTC has about 1000 excess staff which adds upto the daily loss incurred by it to Rs 35 lakh to Rs 40 lakh. He also felt the need for a good administrator-preferably an officer of IAS cadre- to run the organisation.

The corporation has received Rs 35 crore to undertake development works as per the recommendations of Dr Nanjudappa Committee’s report. He said the works on 39 of the 65 projects have already been started.

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First Published: Jun 11 2009 | 12:08 AM IST

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