MHA restores Ladakh L-G’s powers to approve projects up to Rs 100 crore

The order said the powers will be exercised by the L-G "in consultation with secretary (Finance), Financial Advisor equivalent of the respective union territory".

The Ministry of Home Affairs' order came after it had withdrawn the existing delegated powers of the Lieutenant Governor of Ladakh to approve schemes and projects. (File Photo | ANI)

SRINAGAR: After divesting the Lieutenant Governor of Ladakh Kavinder Gupta of financial powers to approve schemes and projects up to Rs 100 crore, the Union Ministry of Home Affairs (MHA) on Friday restored the powers back to the L-G under the Delegation of Financial Powers Rules (DFPRS).

The MHA has approved the delegation of financial powers to the Administrators and Lieutenant Governors of Union Territories without legislatures, including Ladakh.

“I am directed to convey the approval of the competent authority for the delegation of powers for appraisal and approval of projects up to Rs 100 crore under DFPRs, 2024, to the Administrators/LGs of the Union Territories of Andaman and Nicobar Islands, Chandigarh, Dadra & Nagar Haveli, Daman & Diu, Ladakh and Lakshadweep, subject to certain conditions,” read the order issued by Under Secretary to the Government of India, MHA, Lendup Sherpa.

As per the order, the powers shall be exercised by the Administrator or Lieutenant Governor of the UT in consultation with the Secretary (Finance) or the Financial Advisor equivalent of the respective UT, subject to the availability of adequate budgetary provisions.

According to the MHA, the delegated powers shall not be further re-delegated.

“The details of all proposals approved under the delegated powers shall have to be furnished to the Department of Expenditure through the MHA on a quarterly basis by the end of July, October, January and April respectively,” the order stated.

The MHA clarified that the powers of Administrators and LGs of UTs to sanction expenditure, from in-principle approval to final approval, including appraisal, may continue under Rule 16 of DFPRs, 2024, only after appraisal and approval of schemes by the concerned authorities in accordance with existing Finance Ministry guidelines.

The order restoring financial powers to the L-G of Ladakh has been issued in supersession of an earlier order dated September 19, 2025, and has been approved by the Department of Expenditure, Ministry of Finance.

Earlier, the Centre, while divesting the LG of Ladakh of financial powers to approve schemes and projects up to Rs 100 crore, had vested those powers with the MHA.