SC to Hear Punjab Plea for ₹1,000 Cr Dues From Centre on Monday

New Delhi:The Supreme Court on Friday announced it will hear on Monday an interim plea from the Punjab government seeking the urgent release of over ₹1,000 crore from the Centre, alleging dues related to the Rural Development Fund.

A bench consisting of Chief Justice D.Y. Chandrachud and Justices J.B. Pardiwala and Manoj Misra was informed by Punjab's counsel, Shadan Farasat, that the matter did not appear on the list of business for September 2. Chief Justice Chandrachud responded, “We will see.”

The Chief Justice assured that the matter would be listed for that day, according to the counsel.

The Punjab government has filed an interlocutory application in an ongoing lawsuit against the Centre, seeking the urgent release of over `1,000 crore as an interim measure.

The Bhagwant Mann-led AAP government had approached the Supreme Court in 2023, alleging the Centre's failure to release the Rural Development Fund and its withholding of a portion of the market fee. The state claimed that the Centre owed Punjab over Rs 4,200 crore.

The plea argued that the Rural Development Fund and market fee are crucial for the effective functioning of the procurement process. It stated that the state government has the constitutional right to determine the rates for the market fee and the Rural Development Fund to facilitate food grain procurement.