Senior Sindh Minister Syed Sardar Ahmed has rejected the claims of opposition saying that the provincial budget was quite valid and constitutional. Addressing a post-budget press conference, he said there was no provision in the constitution that the provincial budget could not be announced without the National Finance Commission (NFC) Award.
He said that one of the ingredients of the NFC is that the award should be unanimous or otherwise. Therefore, the President amended the law and presented a formula as interim order, saying there was no consensus among the provinces, he was exercising the power under Clause 6 of Article 160 and giving this award. The minister said the award thus given by the President was being implemented, adding there was no legal flaw in the provincial budget.
He said the budget contains the National Finance Commission (NFC) award, thus the budget was valid and the budgets presented in the past two years were valid as well.
Defending the budget, he categorically said that Pakistan People's Party (PPP) was making issue of a non-issue, adding they were creating pandemonium in the assembly just for the sake of creating argument.
"It is a regular budget. It is a legal budget. The cabinet approved it and now it has been approved by the elected members of the House with majority votes. There is no any ambiguity in this regard," Sardar Ahmed remarked.
Syed Sardar Ahmed, who previously held the portfolio of provincial finance minister, said that before interim order of the President, an informal meeting of NFC was held wherein the Sindh representatives were asked to settle the issue. "We, however, had reservations over it," he said.
At that time, Sindh had submitted certain recommendations and comments, including formation of an independent National Finance Commission, which are still pending with the federal government without any implementation, said the minister, adding no NFC meeting has been held for last two years.
He said the other contention of Sindh was regarding handing over sales tax to the provinces. "Till 1947, the sales tax was provincial subject and even till the separation of East Pakistan, the provinces held 30 percent of the sales tax," he said quoting the India where the sales tax is retained by its respective states.
Sardar Ahmed categorically stated the federation could not work smoothly without provincial autonomy. To a question, the senior minister said the defence ministry and other federal ministries owed Rs 9 billion to Sindh for long but not a single penny has been paid at yet in this respect.
To another question about the heavy burden of federal loans that Sindh had never obtained, the minister agreed, saying after reconciling the figures, the province owed Rs 24 billion to the federal government on account of Cash Development Loans (CDL).
Syed Sardar Ahmed dispelled the rumours that Sindh CM's Adviser on finance M.A. Jalil had tendered resignation. "He is exhausted and feeling unwell due to continuous working on the Sindh budget," he said in response to a query. Sindh ministers Shoaib Bukhari and Mohammad Hussain were also present on the occasion.