Image Source: Deccan Herald

Agencies:

Lok Sabha passes Bill to suspend MPLAD funds for 2 years, 30% salary cut for MPs

New Delhi
September 16, 2020

The Lok Sabha on Tuesday passed a Bill which has provisions to suspend the MP Local Area Development (MPLAD) funds for two years and for a 30 % deduction of salaries of all lawmakers and the money thus saved can go to the consolidated fund of India to fight the COVID-19 pandemic.

The Salary, Allowances and Pension of Members of Parliament (Amendment) Bill, 2020 was passed on the second day of the Monsoon Session despite objections by opposition MPs.

Parliamentary Affairs Minister Pralhad Joshi moved the Bill to replace an ordinance issued by the government after the Union Cabinet in April approved a 30 % cut in the salaries of all Members of Parliament and suspension of the MPLAD scheme during 2020-21 and 2021-22.

The consolidated amount of MPLAD funds around Rs 7,900 crores will go to the consolidated fund of India. The Cabinet, chaired by Prime Minister Narendra Modi had approved the ordinance to amend the Salaries, Allowances and Pension of Members of Parliament Act, 1954 to cut the salaries of MPs by 30 per cent.