The report was submitted to Finance Minister P Chidambaram recently.
"The completely skewed allocation formula which the Committee has recommended severely penalizes states which have consistently worked towards national goals of development and welfare. It pushes resource allocation to populous states which have historically underperformed," she said.
She said smaller states, regardless of their status of development, were protected because of the fixed 0.3 per cent share recommended for all states, regardless of size.
"It is quite apparent that this hurriedly drafted report is a thinly disguised attempt to provide an intellectual justification to deliver resources to a potential political ally," she said without naming anybody.
