TN govt delaying payment of Rs 200 crore to hotels which provided facilities to Covid doctors

Bills of food and accommodation for quarantining doctors and nurses not settled since February this year
For representational purpose.
For representational purpose.

CHENNAI: The State government has been delaying payments for hotels and restaurants that provided food and accommodation for government doctors and nurses during their quarantine periods since February, industry sources said. A health department official also acknowledged the delay and estimated the total pending dues a little over Rs 200 crore.

Restaurant chain Vasanta Bhavan’s executive chairman M Ravi told Express, “We have been running from pillar to post to get our money. The government owes us Rs 2 crore. The bills from February onwards are pending and this has affected our business, which was already reeling under the lockdown impact. There is no clarity on which department will pay it and when.”

“Even after repeated mails to the officials, we have received no proper reply as to when the bills would be cleared,” Tamil Nadu Hotels Association President M Venkadasubbu said. “Now, we are not able to pay our suppliers. Vegetable vendors to grocers are all impacted due to this delay,” he added.

 It is learnt that the Food Safety Department was handling the bills earlier and the bills were cleared by the  Commissioner of Revenue Administration. However, recently the health department was tasked with clearing them.

When asked for a comment on the issue, a designated officer of the health department blamed the hotels and restaurants for delaying the submission of bills. When urged for the specific number of hotels that are yet to submit the bills, the official said around 5 per cent.

“Due to this we are unable to consolidate the bills and forward them to the authority concerned. We have to scrutinise the bills and then submit them to the health institutions that deputed doctors to different cities. They have to vet it and forward it to the Directorate of Medical Education officials, who will then forward it to the government for the final payment,” the official added.

When contacted, Health Secretary J Radhakrishnan told Express that the bills will be paid expeditiously after diligent checking by officials.

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