The Ministry of Home Affairs (MHA) has decided to seek legal opinion on the recommendations of the Sheela Bhide committee over division of institutions between Andhra Pradesh and Telangana. Union Home Secretary Ajay Kumar Bhalla chaired a meeting on September 27 in New Delhi with the Chief Secretaries of Andhra Pradesh and Telangana to discuss pending bilateral issues. While Andhra Pradesh wants the recommendations made by the Sheela Bhide committee to be accepted in full, Telangana pointed out that there are court cases pending in the Telangana High Court with respect to certain institutions and no action could be taken, until the matter was settled.

There are 91 institutions listed in Schedule IX of the Andhra Pradesh Reorganisation Act of 2014, which are to be divided between the two states. The committee has given its recommendations with respect to 90 institutions. The dispute resolution sub-committee constituted by the MHA has suggested the division in three phases – 53 PSUs where there is no difference of opinion, 15 PSUs which are agreeable to Telangana but not to Andhra Pradesh, and 22 institutions which are not agreeable to Telangana. There are 142 institutions which are listed under Schedule X of the Act.

Based on the judgment of the Supreme Court in the case of AP State Council of Higher Education Vs Union of India and Others, the Centre had issued a speaking order that the cash balances would be divided on population ratio and assets on the basis of location. While Telangana is in agreement with this, Andhra Pradesh has filed a writ petition in the High Court and the matter is still pending. Andhra Pradesh wants Schedule X institutions assets also to be divided on the basis of population ratio, instead of location. Telangana has also filed a case in the matter of bifurcation of Telugu Academy. While the cases are still pending, Telangana felt that since the MHA order was based on Supreme Court directions, no further review of the matter was needed and any such review by the MHA was strongly protested by it.

Andhra Pradesh raised the issue of bifurcation of Singareni Collieries Company Ltd (SCCL), as they are assets in the successor state, but Telangana strongly objected and said that the question of division does not arise as there was a specific provision in the Act transferring 51 percent of equity to Telangana completely. The Home Secretary gave directions to MHA to examine the division of assets for Andhra Pradesh Heavy Machinery Engineering Ltd (APHMEL), a subsidiary company of SCCL, where Telangana argued that it was a question of transferring equity. 

Besides inter-state issues, the meeting also discussed matters relating to Andhra Pradesh. The AP government sought another Rs 1,000 crore for capital city development, but the Home Secretary sought details of how Rs 1,500 crore already provided for the purpose was utilised. The MHA also did not respond to Andhra Pradesh's request for Rs 29,000 crore for the capital city in accordance with the recommendation of the Sivaramakrishnan committee. Funds were also sought for seven backward districts in AP, but MHA said it would stick to the decision taken to provide funds only for five years.

(With IANS inputs)

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