Sikkim CM meets PM, seeks bailout

Gangtok: Sikkim chief minister Prem Singh Golay has sought one-time aid of Rs 4,000 crore from the Centre to bail out the state from the financial disarray caused by the erstwhile SDF government under Pawan Chamling.
Golay, who ousted Chamling, the longest-serving CM, in the assembly election, told PM Narendra Modi on Tuesday the previous government had made the state virtually bankrupt and drowned it in debt.Golay cited the huge loans acquired by a large number of hydro power projects from various financial institutions against the state’s guarantee. Official sources said the state government’s annual budget is around Rs 7,000 crore and debt burden more than Rs 8,000 crore.
State officials said Modi promised to help Sikkim reduce its fiscal deficit and expressed surprise at the situation despite the Centre providing it huge Budget allocations.
Golay also reminded Modi about pending issues relating to Sikkim and said Article 371F of the Constitution (on providing special provisions to the state) was the greatest gift to its people. He said it needed to be preserved and implemented in letter and spirit.