Three months after its formation, the Rekha Gupta-led Delhi Government has reduced the annual MLA Local Area Development (LAD) Fund from `15 crore to `5 crore. Criticising the move, the opposition AAP said that the BJP came to power to betray Delhi people by cutting all kinds of funds.
The previous AAP Government in the national capital, in October last year, had increased the MLA LAD Fund from `10 crore to `15 crore. During the AAP regime, `4 crore was provided to each MLA in 2021-22 and 2022-23, which was enhanced to `7 crore in 2023-24.
According to a recent order issued by Urban Development (UD) Department of the Delhi government, the MLA LAD Fund as per a cabinet decision on May 2, has been kept at `5 crore per assembly constituency per year. “In pursuance of Cabinet Decision No. 3187 dated 02.05.2025, the allocation of fund under MLALAD Scheme has been kept at `5 crore per assembly constituency per year from financial year 2025-26 onwards,” said the order.
Further, the Council of Ministers has directed that this will be an untied fund and could be spent for the approved works of capital nature as well as repairs and maintenance of the assets without a ceiling, added the order.
A BJP MLA said that the government set aside Rs 350 crore under the MLA LAD Fund that was divided into Rs 5 crore each among the 70 legislators in Delhi.
