SUKKUR, Nov 7: The alleged unjust distribution of development funds and allocation of inadequate funds for taluka Sukkur city in the annual budget of 2006-07 have fuelled differences between district nazim and his coalition partner, the Muttahida Qaumi Movement (MQM), sources close to the council say on Tuesday.

The MQM had started dialogue with different parties to clear its position on the issue and salvage the party’s popularity as part of preparations for the next general elections, the sources said.

The sources claimed that differences between the district nazim and MQM had started surfacing a couple of months ago and aggravated after the annual budget of district council for 2006-07, in which taluka Sukkur city received comparatively meagre funds.

The budget allocated Rs115 millions for development schemes for taluka council Pano Akil, Rohri got Rs137 millions, Salehpat received Rs54 millions, new Sukkur taluka council got Rs 45 millions while taluka Sukkur city was granted only Rs20 million, which had to pay debts amounting to Rs260 million.

Sources said that the party high command had given a green signal to look for a new coalition partner and the local MQM leaders were in dialogues with different political parties in this connection.