With the release of ₹9.43 crore, the Greater Mohali Area Development Authority (GMADA) has paid off all liabilities owed to the municipal corporation for maintenance works in Mohali city, the authority said on Thursday.
As per a 2020 agreement, GMADA has to foot 25% cost of any development work carried out by MC. But due to delay in payments, development works had been affected, prompting the civic body to send multiple reminders to the authority.
GMADA chief administrator Rajiv Kumar Gupta said a cheque for ₹9.43 crore, in lieu of funds spent on maintenance from April to August 2023, had been handed over to MC.
During recent meetings, the civic body had apprised GMADA officials about ongoing projects as well as those proposed.
The development works pertain to maintenance of sewer lines, stormwater drains, water supply, solid waste management, street lights, toilet blocks, roads, footpaths and parks, apart from beautification of city’s entry points.
Gupta had assured the MC officials that the development authority will evaluate the requirement of funds and released them at the earliest. “Keeping our promise, we have released the amount demanded by the corporation. Now, no demand by MC for funds is pending with GMADA,” he added.
Earlier in March 27, GMADA had released funds of ₹15.81 crore for MC.