Ministry of Textiles11-July, 2013 17:42 IST
Textiles Minister Concerned Over Delays in Submission of Subsidy Claims in TUFS

Asks Banks to Monitor TUFS Online

The Union Minister of Textiles Dr. K.S. Rao today held a meeting with the CMDs and General Managers of all the Banks to discuss issues pertaining to Technology Upgradation Fund Scheme (TUFS). During the meeting, the Textiles Minister expressed concerns over the delay in submission of subsidy claims as well as partial submission of claims. Apart from these, Dr. Rao shared concerns over the following issues:

1) As per the Government Resolution on restructured TUFS (R-TUFS), the Lending Agencies are required to submit the subsidy claims by 5th of the month of the following quarter. However, very few Lending Agencies submit the claims as per the specified date.

2) The claims are to be made along with Utilization Certificate, Claim Correctness Certificate. Generally, these certificates submitted by Lending Agencies are not in order, which again result in delays in processing of claims.

3) There is considerable delay in submission of applications of Unique Identity Numbers (UIDs) under R-TUFS for pre-authorisation by the Lending Agencies. As a result, the Industry is at the mercy of Lending Agencies. There are many cases prior to 31.03.2012 pending with Lending Agencies for UIDs which are not submitted by them within the stipulated time of 16.07.2012. Earlier also such instances happened in large numbers which resulted in creation of List-II cases under Modified TUFS.

The banks were asked to give details of all pending claims including details of black out and other pending cases with them by the end of this month. The banks also agreed to address the issues of less staff of TUFS, frequent transfers and poor training who deals with TUFS cases. Dr. Rao also emphasised on all the banks and the officers to consider online monitoring of all the TUFS cases. He assured that no pendency regarding any issues pertaining to TUFS shall be pending in the Ministry of Textiles.

The Textiles Minister also emphasised that the prospects for growth of the sector in India are very favourable and after extensive meetings with industry and exporters, he is of the view that export can be doubled. He called upon the banks to liberally fund investments in the sector to support the growth.


(Release ID :97158)