Pardeshi on Monday presented the civic annual budget before the standing committee for 2008-09, in which he mentioned the formation of an SPV. “PMC plans to speed up the traffic situation in the city through SPV and has made provision of Rs 75 crore in the budget as seed money for the new company,” Pardeshi said.

The commissioner made it clear that there will be a representation of officer-bearers and officers from PMC, financial institutes (FIs) and private organisations on the board of directors of the new company. The modalities for the new body will be finalised after PMC registers the new company, he said. The company might also take up execution of projects for which the PMC has already prepared technical report.

“While presenting his budget, the civic chief said that the development works get delayed due to the PMC standing committee, which is wrong. In the 57 years of PMC history, no commissioner has said such a thing. Corporators and civic officials contribute for the development. Hence setting up a company is like showing distrust in them,” Congress corporator Aba Bagul said.

He alleged that before taking any decision to this effect, the commissioner should have taken the party leaders into confidence. “The standing committee holds discussion on the development projects, which is unlikely to happen in a company.”