Asset division continues to elude Telugu states

Hyderabad: The governments of Telangana State and Andhra Pradesh have repeatedly said that they will co-operate with each other in solving pending issues arising out of the bifurcation of erstwhile united Andhra Pradesh. However, even four years after the bifurcation, the asset sharing of institutions listed in the 9th and 10th Schedule of the AP Reorganisation Act has not been done.

The Central government’s intervention has not helped and not even the direction of the Supreme Court has moved the matter. 

Governor ESL Narasimhan has constituted a committee of ministers of both states. The committee had two meetings with the Governor but there was no follow-up action. 

The TS government’s argument is that AP has no share in these institutions, and the AP argument is that all the assets, liabilities and employees should be divided betwe-en the two states on the basis of population. Now both the governments are fighting in the courts for these assets.

The ninth schedule of the AP Reorganisation Act has 91 institutions, while the 10th Schedule has 142 institutions. 

There are financial implications to this deadlock as about '8,000 crore is parked in various commercial banks since the last four years.  

To divide the 9th schedule institutions between AP and TS, the Centre has appointed the Sheela Bhide Committee.

The Committee has recommended the division of the assets and liabilities of only 61 institutio-ns. But it did not divide the employees of these institutions. The AP government has objected to this and said that along with assets and liabilities, the employees also should be divided. 

It was estimated that the total value of the assets of the 9th schedule institutions is about '1,40,898 crore at the present market value.

This value does not include the assets and liabilities of Singareni Coll-ieries, TS SPDCL, AP CPDCL, AP Heavy Mach-inery and Engineering, Nizam Sugars, textile park in Medak district and State Institute of Hotel Management Catering Technology in Medak.

In Hyderabad city, 32 institutions have 3,056.55 acres of land. Of the 142 institutions listed in 10th schedule, 57 are government departments, 15 are Universit-ies, 21 are statutory bodies, 45 are societies, and others are four. Of these, 111 are located in and around Hyderabad city, while 16 are located in Andhra Pradesh.

Balance sheet
9th Schedule
Total institutions: 91
Land: Rs 19,569 cr
Buildings: Rs 68,173 cr
Movable assets: Rs 9,561cr 
Machinery: Rs 34,135 cr
Bank deposits: Rs 9,460cr
Total: Rs 1,40,898 cr

10th Schedule
Total institutions: 142
Land: Rs 16,800 crore
Buildings: Rs 17,387 crore
Movable assets: Rs 222 cr
Machinery: Rs 37.3 crore
Bank deposits: Rs 3,928 cr
Total: Rs 38,710 crore