New Delhi, Dec 22 (KNN) The Ministry of Micro, Small and Medium Enterprises (MoMSME) has asked the MSME sector to take advantage of the Micro & Small Enterprises Facilitation Council (MSEFC) in order to facilitate delayed payment issues.

The Ministry wrote on social media site Facebook, “Kindly take advantage of MSEFC constituted in each state to facilitate your delayed payment issue. Over 1227 cases out of 2748 filed in 36 states/UTs can be monitored online.”

To expedite the payments of vendors stuck with the PSUs, the MSME Ministry had constituted the MSEFC earlier this year.

Any Micro or small enterprise having valid EM Part -II /UAM can apply through the MSEFC website.

“Office of DC(MSME has taken an initiative for filing online application by the supplier MSE unit against the buyer of goods/services before the concerned MSEFC of his/her State/UT. At present, the applicant MSE unit submits an application in writing to the MSEFC of his/her State/UT,” the Ministry had said.

The MSMED Act, 2006 contains provisions of Delayed Payment to Micro and Small Enterprise (MSEs) which has the provision that the State Governments should establish Micro and Small Enterprise Facilitation Council (MSEFC) for settlement of disputes on getting references/filing on Delayed payments.

MSEFC of the State, after examining the case filed by MSE unit, will issue directions to the buyer unit for payment of due amount along with interest as per the provisions under the MSMED Act 2006.

Under the Act, the buyer is liable to pay compound interest with the monthly rests to the supplier on the amount at the three times of the bank rate notified by RBI in case he does not make payment to the supplier for his supplies of goods or services within 45 days of the acceptance of the goods/service rendered.

Every reference made to MSEFC shall be decided within a period of ninety days from the date of making such a reference as per provisions laid in the Act. (KNN Bureau)