KATHMANDU, Jan 16 - The United States Wednesday voiced concern over the government decision to give Rs 1 million to each Member of Parliament under the MPs’ Development Fund.

During a meeting of country representatives of donor agencies held at the Ministry of Finance, US ambassador to Nepal Nancy J Powell asked why the government accepted the MPs’ fund.

The US ambassador said that why did the government give out money as it could influence the upcoming Constituent Assembly elections.

Replying the US envoy’s query, Finance Minister Dr Ram Sharan Mahat said that the amount was already allotted in the budget and was released now as it was delayed earlier.

The Minister also urged Ambassador Powell to take the budget released for the MPs’ Fund ahead of the CA elections just as a coincidence.

“This was just a coincidence, and it was not planned to affect the CA polls,” said the Finance Minister.

The Finance Minister was flanked by Maoist leader Dr Baburam Bhattarai, UML leader Jhalanath Khanal and Nepali Congress leader Chakra Prasad Bastola while the US envoy voiced concern over the budget allotted for the MPs’ Fund.

Meanwhile, in today’s sitting of the interim parliament, the lawmakers came down heavily against the bad publicity about the MPs Development Fund.

They said that fund was meant to carry out development works in the constituencies and not to influence the elections in any manner.

Last week, the Finance Ministry had released Rs 329 million after the lawmakers demanded sum for the Fund.