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This is an archive article published on October 20, 1998

Slow loan sanction move

AHMEDABAD, Oct 19: District Industries Centres DIC of five districts in Saurasthra could forward only 196 out of the 2,262 applications...

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AHMEDABAD, Oct 19: District Industries Centres DIC of five districts in Saurasthra could forward only 196 out of the 2,262 applications submitted to them by small scale industrial units for availing of soft loans in the wake of cyclone in the region in July this year.

Expressing concern over the tardy progress in forwarding loan applications and sanctioning of the same by banks, additional chief secretary finance K V Bhanujan at a recent meeting of the State-Level Bankers8217; Committee SLBC said that as on October 15, 1998, of the 196 applications forwarded, loans to only 44 applicants had been sanctioned so far.

Bhanujan also said that the DICs were yet to provide necessary documents in the cases of remaining applications that had been forwarded to banks. The districts affected in the cyclone were Kutch, Jamnagar, Rajkot, Junagadh and Porbandar.

According to sources, the cyclone-hit units other than agricultural could get finances of Rs 139.10 crore and all disbursal were made on the sanctioned applications. It has been reported that Rs 7.14 crore was been disbursed to 738 applicants from the non-farm sector units which were hit by cyclone. This is against the total disbursal of Rs 131.96 crore to 85,451 non-farm sector units.

In Jamnagar, Rs 34.95 crore was disbursed to 30,332 non-farm sector units and Rs 87 lakh to 82 farm sector units. In Junagadh, 25,674 units received Rs 28.09 crore in the farm sector and Rs 54 lakh were disbured to 109 non-farm sector units. In Porbandar, 6,362 farm sector units received Rs 32.08 crore while Rs 32 lakh was paid to four non-farm sector units.

In Rajkot district, 16,204 farm sector units got Rs 19.95 crore and 18 non farm sector units got Rs nine lakh.

 

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