AP Govt to consider rehabilitation package for units that resumes production for at least 5 yrs
Updated: Jul 27, 2015 02:05:32pm
Hyderabad, July 27 (KNN) Andhra Pradesh Government’s Small Scale Sick Industries Revival and Rehabilitation Fund (APSSSIR&RS) will consider rehabilitation package under the scheme, provided, the unit resumes production for at least 5 years or remaining period of incentives under the incentive scheme.
The backbone of the revised policy is to encourage the Banks/Financial institutions for servicing the sick units and provide a rehabilitation package for their quick revival to join the main stream. Six per cent interest subsidy will be provided to all identified/eligible sick units, subject to maximum of Rs 2.00 lakhs per year for a maximum period of three years.
The government notification also announces pro-active action for amicable settlement of disputes between management and representatives of labour of the rehabilitating unit so as to ensure success of the rehabilitation package with the cooperation of the workers.
Other reliefs to be made available under the scheme are grant of permission to mortgage surplus land by exempting under the Urban Land Ceiling Act, in favour of banks/ financial institutions; deferment of arrears of payment of purchase tax, sales tax and interest for 3 years from the date of grant of revival package; as well as relief in Energy Charges.
Small Scale Sick Industries shall submit the proposal to the concerned bank or the financial institution. If the bank manager is convinced about the viability of the sick unit, he shall sanction the rehabilitation/revival package pending disbursement, factoring in the concessions to be extended to the unit by the State Level Committee under the APSSIR&RS.
If the Bank Manager feels that the proposal needs fresh appraisal, he may obtain an appraisal report by engaging any one of the approved appraisal agencies on the potential for revival and rehabilitation. The fee payable to the appraisal agency will be subsidised by 75 per cent from the sick SSIs Revival and Rehabilitation Fund. (KNN Bureau)
The backbone of the revised policy is to encourage the Banks/Financial institutions for servicing the sick units and provide a rehabilitation package for their quick revival to join the main stream. Six per cent interest subsidy will be provided to all identified/eligible sick units, subject to maximum of Rs 2.00 lakhs per year for a maximum period of three years.
The government notification also announces pro-active action for amicable settlement of disputes between management and representatives of labour of the rehabilitating unit so as to ensure success of the rehabilitation package with the cooperation of the workers.
Other reliefs to be made available under the scheme are grant of permission to mortgage surplus land by exempting under the Urban Land Ceiling Act, in favour of banks/ financial institutions; deferment of arrears of payment of purchase tax, sales tax and interest for 3 years from the date of grant of revival package; as well as relief in Energy Charges.
Small Scale Sick Industries shall submit the proposal to the concerned bank or the financial institution. If the bank manager is convinced about the viability of the sick unit, he shall sanction the rehabilitation/revival package pending disbursement, factoring in the concessions to be extended to the unit by the State Level Committee under the APSSIR&RS.
If the Bank Manager feels that the proposal needs fresh appraisal, he may obtain an appraisal report by engaging any one of the approved appraisal agencies on the potential for revival and rehabilitation. The fee payable to the appraisal agency will be subsidised by 75 per cent from the sick SSIs Revival and Rehabilitation Fund. (KNN Bureau)
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