Supreme Court to Review Punjab’s Request for Release of Rural Development Funds

The Supreme Court of India, under the leadership of Chief Justice D Y Chandrachud, has agreed to list an interim plea from the Punjab government which is pressing for the urgent release of over Rs 1,000 crore from the Centre. These funds, claimed as dues by the state, are earmarked for the Rural Development Fund (RDF).

The matter came to light during the afternoon session on Wednesday when a counsel for the Punjab government highlighted that the plea, originally scheduled for September 2, had not been addressed due to time constraints. The counsel requested an urgent hearing and the issuance of a notice to the Centre to ensure a response could be prepared in time for the rescheduled hearing.

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Chief Justice Chandrachud confirmed that the interim application (IA) would be listed for hearing but did not extend a formal notice to the central government regarding the petition at this stage.

Earlier that day, Senior Advocate Abhishek Singhvi, representing Punjab’s Aam Aadmi Party (AAP) government, had underscored the urgency of the matter. The state government had previously approached the top court in 2023, alleging that the Centre had withheld significant amounts due to Punjab, totaling over Rs 4,200 crore, including funds from the RDF and a portion of the market fee.

The RDF and market fees are crucial for the proper functioning of Punjab’s food grain procurement process. The state government, recognized under the Constitution, maintains the prerogative to determine the specifics of the market fee and the RDF necessary for procurement activities.

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