Aberdeen City Council is moving to write off several million pounds of bad debt as the local authority rises from years of budget shortfalls.
Under the proposal the city will wipe off approximately £3.5million from its books. The debt includes unpaid rents and housing benefit overpayments. The figure represents about one per cent of the total collected by the council in a year.
The move will be debated by councillors next week.
Councillor Willie Young said: "The people of Aberdeen won't understand why the council are writing off £3.5million.
"What this council are doing is they're cutting back from the vulnerable people lots of services, and they'll be asking themselves 'How can they afford to do this?'."
The council were thought to be preparing to write off £1.7million in council house rent arrears, £1.6million in council tax and business rates debts, and £275,000 in uncollected housing benefit overpayments.
Choices was a day centre for the disabled that was victimised by last year's cost-cutting in Aberdeen. The centre was shut a year ago because of a lack of cash.
Choices chairman Kevin McCahery calls the news of the debt write-off "ridiculous."
He said: "At the time when Aberdeen City Council are in the dire straits they are with the finances, and the plans to close Rosehill and Burnside, after closing the Choices day centre, they can turn round and throw away £3.5million is just beyond the belief of anybody."
The council said most of the debts being written off are historic, dating back years, and that the city wishes to concentrate on collecting new debts.
In December city leaders approved £24million in budget cuts, including the loss of some 400 jobs. The cuts came on top of £35million in savings already agreed by the Liberal Democrat-SNP administration earlier in 2008.
