Industrial unit holders fumeSIDCO flouting norms demanding margin money from Sick Units

Srinagar: Accusing State Industrial Development Corporation (SIDCO) of being insensitive and non-serious in reviving the sick industrial units in Kashmir Valley, the owners of these Sick Units Monday said that instead of disbursing soft loans effectively among sick unit holders out of Line of Credit SIDCO has been demanding repayment of margin money from them which according to these unit holders is illegal and aimed at to crush these industries in Kashmir Valley.

Chairman Kashmir Industrial Revival Development Forum Muhammad Shamim said that during a meeting of the State Level Revival Committee (SLRC), cases of 69 sick industrial units were identified by the Director Industries, Kashmir, out of which 51 units were approved for revival in terms of Government order vide number 47 IND of 1999 dated 10 February 1999. The Government had emphasized on expeditious disbursement of soft loan in favour of the units approved for revival and had impressed upon the financial Institutions including J&K Bank and State Financial Corporation to appraise the DPRs and sanction the requisite loan. Even after the expiry of 16 years, nothing has been done to revive the sick industrial units of Kashmir Valley, he said.

The Forum alleged that SIDCO miserably failed to expedite the disbursement of soft loans under the scheme. The Government had issued instructions to the Director, Industries and Commerce Kashmir/Jammu and MD, SIDCO to monitor the revival of the sick units on a case to case basis. In spite of these instructions, SIDCO disappointed the owners of sick units. Instead of taking us out from trouble, SIDCO has been adding to our woes demanding margin money from us given the fact that no such notice has been issued by the government in this regard, the Forum said and appealed Industries Minister to look into the matter and evolve a concrete policy to take sick unit holders out of trouble.

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