Calcutta HC threatens to freeze WB govt’s RBI account over unallocated funds for projects and unpaid BSNL bills, asks if state is facing financial emergency

The Calcutta High Court on Monday expressed strong displeasure with the West Bengal government for failing to release funds for developmental projects in the High Court and lower courts, as well as pending BSNL bills amounting to over ₹5 crore. A division bench comprising Justice Debangshu Basak and Justice Mohammed Shabbar Rashidi warned that it would direct the Reserve Bank of India (RBI) to freeze the state’s bank account if dues are not cleared immediately.

The court questioned whether the state is facing a “financial emergency,” highlighting that 36 infrastructure projects of the court have been stalled due to lack of funds. It also noted that BSNL bills of the High Court have remained unpaid for three years, with outstanding dues exceeding ₹5.6 crore as per allegations. “If BSNL stops services, what will happen? Three years is enough time,” Justice Basak remarked, adding that the state’s inaction raises concerns about administrative priorities. The court further said, “If this is the situation in the High Court, what is happening in the lower courts!”

During the hearing, the bench demanded the state’s RBI account number from the Chief Secretary, stating, “We will order the RBI not to release any money without court permission. Tell the Chief Secretary to provide the account number; we will seize it.” The court criticised the government’s lawyers and a finance department official present, pointing out delays despite prior assurances. When the finance department official told the court that the state would pay half the money within two days, the court said, “Why will it take two days? Now the money can be sent immediately.” In response, the official said that the govt is on holiday. However, Justice Basak got angry over this response and said, “Holiday? Today is a holiday? Is the internet on holiday? Is this court on holiday? What will happen if the service is shut down today?” Unwilling to accept excuses, the court told the government to make immediate online payments.

The state informed the court that ₹2.9 crore has been sanctioned for bills, with ₹60 lakh to be released immediately and the remainder by October 30. However, the bench sought confirmation on whether the sanctioned funds had reached the court. It also expressed frustration over lack of progress since a meeting ordered a month ago, likening the administration’s pace to a “race between a snail and a turtle.”

The government requested more time, noting that the Advocate General would argue the case. The next hearing is scheduled for November 10, with interim meetings fixed for October 29 and November 6, where the Chief Secretary and Finance Secretary must attend.