Thiruvananthapuram: The Kerala State Road Transport Corporation (KSRTC) is in deep crisis if the note submitted by Transport Minister A K Saseendran to the Left Democratic Front (LDF) leadership is any indication.

The note placed before the LDF leadership specified that the debts of KSRTC had reached Rs 3430.56 crore. The note pointed out that a temporary solution to the crisis could be found only if a specific amount is set aside in budget for pension and revival package and KIIFB grants loan to corporation for purchasing new buses.

The document taken up at the LDF leadership meeting on Monday will be discussed separately by coalition partners and parties concerned.

The note has given the details of liabilities under separate heads. The highest loan amount to be repaid is to the consortium of major banks – Rs 3043.67 crore.

The other debts are (amount in crores ); pension - 119.66, diesel price dues – 54.40, investment related – 62, spare parts - 48.50, dues to contractors - 13.01, provident fund - 14.77, supplementary salary - 6.88 and LIC - 3.34.

In his introductory remarks made in the note the minister says that the situation is so much grim that corporation requires Rs 88 crore for salary and Rs 27 crore for monthly repayment of loans. This when the left led unions are opposing redeployment of staff and rescheduling of services.

The note said that the amount sanctioned for revival package of KSRTC as per Sushil Khanna report was now being spent for pension disbursement following which the corporation is not in a position to purchase new buses and carry out maintenance works.

No additional assistance

Meanwhile, the plea submitted by transport minister and corporation management seeking additional assistance has been rejected by finance department.

The transport management had sought Rs 40 cr assistance. However the finance department explanation is that it cannot grant more than Rs 20 crores a month. Though the LDF leadership had asked chief minister, finance minister and transport minister to hold discussions on the matter, with finance now rejecting the proposal such talks have been rendered futile.

It may be recalled that an amount of Rs 47 crore which was deposited by KSRTC in treasury account for pension benefits for its staff, was appropriated by finance department in March 31.

Since the Supreme Court had directed that the pension benefits of the employers should not get disrupted, the KSRTC had deposited the amount from it's day to day passenger earnings.