Update on Revival Interest Benefit Scheme for existing MSME industrial units located in Haryana
Considering COVID-19 situation, the Department of Industries and Commerce, Haryana (‘DIC’) has announced the Revival Interest Benefit Scheme for existing Micro Small and Medium Enterprises (‘MSME’) industrial units in Haryana on May 1, 2020 (the ‘Scheme’). The purpose of the Scheme is to enable MSME industrial units to retain their employees in these challenging times. The salient features of the Scheme are as under:
- The Scheme is available to any MSME unit engaged in commercial production for atleast 80 percent of days falling between February 1, 2020 to March 15, 2020.
- The unit must have a running term loan / working capital loan (‘loan’) or obtained a loan from commercial bank or financial institution (‘bank’) for payment of wages and other expenses to its employees.
- The loan can be taken within 1 month of date of grant of permission for operation during lockdown period or June 30, 2020, whichever is later.
- The unit must have filed Udyog Aadhar Memorandum (UAM) after commencement of commercial production.
- The unit will get benefit under the Scheme only to the extent of similar benefit not given by the Government of India to MSME units.
- The Scheme provides 100 percent interest benefit on loan availed for payment of wages and other expenses to employees subject to following conditions:
- Interest will be calculated at 8 percent per annum or actual rate of interest charged by bank, whichever is lower; and
- Maximum loan amount to be considered, will be Rs. 20,000 per employee.
- The benefit under Scheme will be available for a maximum period of 6 months.
- The Government will directly transfer interest amount to bank.
- The unit needs to register online with Director of DIC within 3 months from the end of lock down period or September 30, 2020, whichever is later.
- Joint / Deputy Director of DIC will examine every application and communicate any deficiency within 7 days of application. Such deficiency needs to be rectified within 2 weeks. In case deficiency is not rectified, claim will be rejected by the Competent Authority. The Director can undo the rejection within 30 days of receipt of request from the unit.