Finally Some Movement in Assets Division

With Supreme Court not admitting Telangana’s petitions over the division of assets, Central government is gearing up to decide on the division of assets of institutions under Section 10 of Andhra Pradesh Reorganization Act. Center had appointed a committee to be chaired by the Additional Director of Union Home Ministry.

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The Committee will have two members each representing Andhra Pradesh and Telangana. AP has appointed Retired IAS Officer, Balasubrahmanyam and State Planning Commission Vice President Kutumbarao as its members. Kutumbarao also headed the committee which executed the loan waiver.

There are 142 institutions under this Section and their total assets value is going to be 36835 Crore which includes lands, buildings, bank deposits and others. This 36835 Crore if divided, Andhra Pradesh will get 21,364 Crore while Telangana will get 15,471 Crore in population ratio. Out of the 36835 Crore, buildings and lands worth 28,046 Crore are in Telangana, more precisely in Hyderabad. The remaining 3650 Crore worth assets are in Andhra Pradesh. Remaining is in the form of bank deposits. Andhra Pradesh will have to lose about 14000 Crore if Telangana’s argument of division on geographical basis stands.