Hyderabad: The latest to join the list of corporations is the TS Farmers Coordination Council. TS will give bank guarantee to this corporation to raise Rs 7,000 crore to fund the Rs 8,000 per acre, per year sop for each of the 70 lakh farmers across the state.
Chief Minister K. Chandrasekhar Rao announced on Sunday that this handout to farmers will cost '12,000 crore per year. However, the TS share will be '200 crore as a seed fund and the rest will be mobilised through the corporation.
The government has already established the Kaleshwaram Corporation, the Palamuru-RR project corporation, Mission Bhagiratha Corporation, 2BHK Housing Corporation and raised thousands of crores by giving bank guarantee.
But ultimately, it’s the state government which has to repay all these loans as none of the corporations has any source of income. Moreover, political appointments are being made to these corporations. The chairmen of these corporations are of cabinet rank.
, and their salaries and other allowances are on par with those of cabinet ministers.
Staff to run these corporations are hired on contract/ outsourcing basis, which adds to the financial burden.
