Buncrana Urban District Council could find itself in serious financial difficulties if it cointinues on its current debit balance, according to the auditor’s report on the Council’s accounts between 1983 and 1986.
The report, briefly discussed at Wednesday night’s meeting of the Council, showed a closing debit balance of £392,868 at the end of 1986.
But the Council is owed £303,322 by various debtors, the report shows.
According to the report the areas that need urgent attention are the arrears due on rates and water charges.
Over £80,000 is owed in rates and close to £90,000 in water rates is yet to be collected.
Council chairman Dermot McLaughlin said the situation was very serious and that if it continued the Council would not be able to provide proper services.