Asansol civic body chief Jitendra Tiwari, a Trinamul Congress leader, has written to the Bengal government, accusing it of depriving the industrial town of central funds.
Tiwari, also a TMC MLA, wrote to Municipal Affairs Minister Firhad Hakim, stating that the Asansol Municipal Corporation has been deprived of Rs 2,000 crore central funds as the state government created hurdles in the selection of the town in the Smart City project.
"In his letter, Jitendra alleged that the Centre selected Asansol for the Smart City project but the state government created hurdles and ensured that it is dropped," a senior Trinamool Congress leader said.
"He blamed political reasons for it and said that had Asansol been selected, the city would have got Rs 2,000 crore. The state government and the party is looking into the matter," the leader said.
When contacted, Tiwari said it is a confidential letter.
"It shouldn't have leaked to the press," he said.
"Whatever I have to say, I will tell the party and the minister. I will not discuss the matter with the press. I am a loyal soldier of the party," he added.
Tiwari, a key TMC leader in the West Burdwan district, recently also resigned from the board of governors of a college in Asansol.
Hakim said he would talk to Tiwari to address the grievances.
"I tried to contact him but couldn't connect. I would request him not to fall into the trap of the Centre. The Smart City project is hyped, 50 per cent of the funds are to be given by the state government," he said.
Union Minister Babul Supriyo, who is the local MP, supported Tiwari, accusing the TMC government of depriving the industrial town.
"Whatever Jitendra Tiwari has said is right. The TMC government has deprived the people of the state for its vested political interest," he said.
The development comes amid rising dissent within the Trinamul Congress as Bengal goes to poll early next year.
Party heavyweight Suvendu Adhikari gave up cabinet portfolios amid speculations over him joining the BJP. Forest Minister Rajib Banerjee has also openly criticised a section of the party's leadership.