New Delhi, July 7: The two Ordinances promulgated by the President late last night to impound profits, D.A. and wage increases were expected to immobilise during the current year a total of Rs. 500 crores — Rs. 450 crores accruing from increases in dearness allowance payable to the employees of the Central and State Governments, public and private sector undertakings and Rs. 50 crores representing dividend payments from profits after taxation — Mr. B.D. Pande, Union Cabinet Secretary, said here to-day. Mr. Pande, who was briefing newsmen on the two Ordinances, said that the total estimated increases in dearness allowance during the current year would be Rs. 900 crores out of which 50 per cent would have to be credited to a special fund of the provident fund accounts of the employees while the estimated dividend payments that would be impounded would be around Rs. 50 crores. Mr. Pande was not in a position to indicate the amount by way of wage increases that would also be impounded into compulsory deposits. He said that the schemes would be operative from July 1. The two Ordinances have come after prolonged deliberation by the Union Government on how to combat the continuing rise in prices. Mr. Pande said that the Government would review the position if the measures taken under the Ordinances were found to have had no impact on the price situation.
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