SHILLONG:
The loss-making Meghalaya State Housing Board could be on the way out after it has become “irrelevant”.
“We are in the process of winding up the Meghalaya State Housing Board, but the final decision will be taken by the state cabinet,” Deputy Chief Minister Prestone Tynsong said.
He informed that the matter was still under examination by the finance, planning and personnel departments before it is taken up in the cabinet.
“Once we get the cabinet’s approval, we will extend a one-time golden handshake to the employees of the board,” he said.
There are over 30 employees of the board.
Stating the situation demands that the government wind up the board, Tynsong said its objective was to provide housing loans to people belonging to the weaker section of the society, but implementation of the Centre’s PMAY and financial institutions also extending such schemes for construction of houses, the board has now lost its relevance.
The deputy chief minister said that the government has decided to waive off the interest to allow the beneficiaries to only clear the principal amount of the loan.
“Therefore, we decided to waive the interest and it will be taken care of by the state government but the principal amount has to be paid by the beneficiaries,” he said.
In 2017, the Committee on Public Accounts of the Meghalaya Legislative Assembly had recommended winding up of the state housing board and its employees be given the voluntary retirement scheme.
“The committee at this stage strongly urges the government to formally declare closure of the Meghalaya Housing Board as recommended by the Housing department in 2003 and to sanction payment of salaries to its employees,” the PAC had said in its report .
Terming the board as a white elephant and a major liability of the government, the committee headed by Paul Lyngdoh had said the government could have taken a final closure decision in 2003 when the problem was identified.
The committee had also recommended that the board, which has an outstanding of Rs 26 crore to recover from defaulting loanees, should take up the matter without any further delay and refer the cases to the Bakijai court.