KARACHI: The financial adviser of the Karachi Metropolitan Corporation (KMC), Khalid Shaikh, has said that the KMC has to recover over Rs30 billion in dues and arrears.

Briefing a meeting which was chaired by deputy mayor Arshad Vohra on Tuesday, the adviser said the financial assistance being provided by the Sindh government was not even sufficient to pay salaries and pensions. He, however, said that efforts were being made to pay the salaries and pensions to its employees and retired employees on time.

The Sindh government was earlier paying R500 million as grant every month to the KMC. However, after the separation of the Karachi Development Authority (KDA) the government slashed the KMC`s grant by Rs200 million and redirected it to the KDA so that its employees could be paid salaries etc. The KMC was provided only Rs300 million.

After the slashed payment, the already financially crippled KMC might face an even more serious financial crunch when it will have to pay salaries and pensions in the next few days.

Later, he directed that all the bank accounts of various KMC departments be closed immediately and no payments would be done by departmental heads nor would any accounts be operated by the departments.

He said that to discipline the financials of the organisation, henceforth all payments would be made only through the signature of the deputy mayor and municipal commissioner.