Union government's shock to TDP

There are reports that the TDP leader’s meeting with Union Finance Minister Arun Jaitley on special status issues has yiled good results.

But giving shock to the TDP government, the Finance Ministry made it clear that the Government cannot fulfil the demands of AP Government. ‘We are committed to offer all the benefits under Special Package but can’t offer Industrial Incentives. If we extend all the benefits offered to North-East States, What if other States come up with similar demands? We can’t respect the Telugu Sentiment. There is no question of according Special Status to AP. If we agree to these demands, Tomorrow Tamilians and Kannadigas will launch movements for their sentiments,” it said.

The ministry also said that the union government sanctioned Rs 12,500 crore to AP in the past four years under various schemes. ‘AP Government hasn’t produced Utilization Certificate for even a single rupee we sanctioned so far. We can’t offer tax incentives but willing to implement the Special Package,’ says the Centre.