KARACHI, Oct 13: Delay in timely release of funds has created a serious financial crisis in Saddar Town municipal administration, it is learnt here.

According to the Town's sources, due to "some dispute" on transfer of accounts between the Sindh and the City Governments, the Town could not get its share of funds for the last three months.

The sources said salaries could not be paid to the staff in time and the Town administration is facing a lot of difficulties to set its development priorities. The sources apprehended that if timely remedial steps were not taken, it could upset the developmental activity.

The Nazim of the Town, Farooq Faria, drew the attention of the Sindh and the City Government to settle their "disputes" and called for an immediate release of stuck up funds.

It may be recalled that millions of rupees are to be paid by the Sindh and the city governments to the town on account of property taxes which could not be resolved so far.

TMO Raza Abbas Rizvi conceded that a "dispute" between the Sindh and the City governments on transfer of accounts had been the main cause of the present crisis."