The Shiromani Akali Dal (SAD) on Saturday, 22 August alleged that the Aam Aadmi Party (AAP) government in Punjab is set to draw ₹341 crore from the state treasury as commission for raising a ₹25,000 crore loan — funds the opposition party claims are intended to finance the ruling party's electoral campaigns.

Key Allegations by Akali Dal

Akali Dal leader N.K. Sharma demanded an independent probe into the matter, arguing that loans backed by a government guarantee require no commission payment. 'The entire issue smacks of corruption and kickbacks and needs thorough investigation,' Sharma told reporters in Chandigarh. He also criticised the AAP government for failing to present any capital investment plan despite taking on such substantial debt.

Threat to PSPCL and GMADA, Critics Argue

Sharma alleged that the AAP government is pushing two key state institutions toward financial distress. The Punjab State Power Corporation Limited (PSPCL) is reportedly being directed to take a ₹10,000 crore loan at an interest rate of 8.65 per cent, which Sharma said would generate an interest burden of ₹17,300 crore over 20 years. He warned this would force power tariffs to rise from the current ₹9 per unit to ₹13 per unit, deterring new industrial investment in the state.

The Greater Mohali Area Development Authority (GMADA), according to Sharma, faces a similar predicament, with a proposed ₹15,000 crore loan threatening to push the authority into deficit and jeopardise employee salaries.

Jobs Claim Under Scrutiny

The Akali Dal leader also challenged the AAP government's assertion of providing 65,000 new government jobs to Punjab's youth. According to information obtained by the SAD under the Right to Information (RTI) Act, the government advertised only 24,000 vacancies over more than four years in office. Sharma said these figures include positions advertised by the Subordinate Services Selection Board for Category B, C, and D roles, as well as vacancies from PSPCL and other departments. He demanded the government publicly release a verified list of all 65,000 jobs it claims to have filled.

Dearness Allowance Withheld, Advertising Spending Questioned

Sharma further alleged that while state employees have been denied dearness allowance, the AAP government has spent ₹5,000 crore on advertisements. He also claimed that the government awarded a ₹60 crore contract — spanning four months — to a private firm to remove negative social media content about it. The AAP government had not responded to these allegations at the time of reporting.

With Punjab's fiscal position already under strain, the opposition's charges — if substantiated — could intensify scrutiny of the state government's borrowing strategy ahead of the next electoral cycle.