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Thursday, July 19, 2001

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Centre accused of pressuring Govt.

By Our Staff Reporter

PONDICHERRY, JULY 18. The Pondicherry Chamber of Commerce has expressed shock at the Centre `pressuring' the Pondicherry Government to fall in line with other States and implement the uniform sales tax (UST) regime.

The president, Mr. N. Govindaswamy, and the general secretary, Mr. A. Balasubramanian, said the resolution was adopted at a meeting of the Chamber, urging that the Centre keep in abeyance the uniform floor rate. Letters had been written to the Prime Minister and the Finance and Home Ministers.

The Chief Minister had also been requested not to implement the UST regime this financial year. The measure would result in a setback to the Union Territory's economy as there would be a fall in tourist flow. Like the Union Territories of Lakshawdeep, Diu, Daman and a few other states, Pondicherry should also be exempted from implementing the new rate of tax, they said.

Call for all-party meet

Mr. E. Ganesan Janata Dal (S) president, has called the Chief Minister to convene an all-party meeting to evolve a programme to resist the Centre's move. The measure would derail the economy and would result in an increase in unemployment rate.

He said if there was no response from the Centre, leaders of all parties should work out a joint agitation against the move.

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