Municipal Administration Minister M Maheedar Reddy called for optimum and proper utilization of funds sanctioned for municipalities and warned that stringent action would be taken against derelict officials and staff who caused a loss to the exchequer through their actions.

Addressing a meeting with officials here on Saturday, Mr. Maheedar Reddy said Rs 1,400 crore would be released under Rajiv Awas Yojana and funding would be provided to create infrastructure in the towns. Mr. Reddy said Rs 100 crore was sanctioned recently for augmenting the drinking water supply in Tenali municipality.

Guntur MP Rayapati Sambasiva Rao suggested that the Minister take up expansion of the Arundelpet flyover in Guntur city and said that he would sanction Rs 1 crore each for Guntur, Mangalagiri and Tenali from his MPLADS.

District Collector B Ramanjaneyulu said efforts were being made to achieve 100 per cent result in extending loans under Indira Kranti Padham scheme.

MLAs Sk. Mastan Vali (Guntur West), VGTM-UDA Vice-Chairman GSRKR Vijay Kumar, and Tenali RDO Sk. Ismail were present.