Declaration of Chief Minister sanctioning Rs.289 crore COVID package to boost MSMEs is far from truth.

 

Declaration
of Chief Minister sanctioning Rs.289 crore COVID package to boost MSMEs is far
from truth.

No
such information is available with Govt., exposed under RTI


 Dear friends

 On 16.12.20, Govt. of Odisha made a
press  release which  was 
covered  and highlighted  in almost all news papers  that Chief Minister Naveen Patnaik approved  Rs. 289.42 
crore package for  the pandemic-hit
Micro, Small and Medium enterprises ( MSMEs). While approving, the Chief
Minister declared that the Package comes with assistance like interest
subvention, top-up subsidy , reimbursement 
of state GST and waiver of annual institutional maintenance  charges. 
The Package will benefit several entrepreneurs, mostly women  and those 
from weaker sections of society  in the MSME sector  which faced huge crisis due to
unexpected  challenges  of COVID-19.

 I had a little  bit 
doubt  about  this  declaration.  I have 
witnessed many times false information released  by Govt. of Odisha  to media 
and media without verifying authenticity 
of  information simply  highlighted it in their front page  and as breaking news  in electronics media.  

 On 12.5.21, I had  filed RTI Application  to the PIO, Dept. of MSME , Govt. of  Odisha 
seeking following information  in
my usual pursuit of verifying authenticity of information declared  by Chief Minister  and 
highlighted  in media.

i.  Date 
on which  Rs. 289  cr 
sanctioned  as  per 
the  declaration of Chief
Minister  and its  purpose

ii.  Details of 
source  from which  this 
amount  was  sanctioned.

iii. List  of 
the  entrepreneurs  which  
have  benefitted  under 
this  package ,  details of 
amount  released  to 
each of them  and purpose  like 
interest  subvention, top-up  subsidy , reimbursement  of state 
GST ,  waiver  of annual 
institutional  maintenance  charge.

iv. Provide  total amount 
already  utilized  by May 21
.

 RTI Application was  forwarded to the office of Director of
Industries  to supply  the 
information.  On 24.6.21, the PIO,
Director of Industries  vide letter  No. 
Estt-VIII-RTI-54/2021 .No. 4686 
supplied  the  following  information.


  i.  Date 
on which  Rs. 289  cr 
sanctioned  as  per 
the  declaration of Chief
Minister  and its  purpose.

 Top-up Subsidy  under Prime Minister’s Employment Guarantee  Programme 
amounting to Rs. 27 crore  is sanctioned  vide   no. 202019136545 dt. 5.2.21  and 
communicated vide Government  tn
MSME  Department  letter 
number  892  dated 5.2.21  declared 
by Hon’ble  Chief Minister ,
Odisha  under COVID package

ii.  Details of 
source  from which  this 
amount  was  sanctioned

40- Demand  Number 
for Micro, Small  &
Medium  Enterprises  Department -2851 –VILLAGE AND SMALL  INDUSTRIES 
-00-102-SMALL SCALE INDUSTRIES -403053-000-Prime Minister’s
Employment  Generation  Programme -21-SSS—1-voted -2-District  Sector in the R.E. for the year 2020-21.

iii. List  of 
the  entrepreneurs  which  
have  benefitted  under 
this  package ,  details of 
amount  released  to 
each of them  and purpose  like 
interest  subvention,
top-up  subsidy , reimbursement  of state 
GST ,  waiver  of annual 
institutional  maintenance  charge.

List of 3577
beneficiaries 
is  attached.

iv. Provide  total amount  already 
utilized  by May 21
.

No 
information was  supplied.

 

 

Besides  that the PIO has also provided  that as per the declaration of Hon’ble  Chief Minister’s COVID package, an amount of
Rs. 5.00 crore  has
been sanctioned by MSME Department , Govt. of Odisha  under Pradhan Mantri  Formalisation of Micro Food processing  Enterprise ( PMFME) during the year 2020-21.  Vide issue no. 1363 dt. 18.2.21.  This amount has been drawn  and transferred  to APICOL 
as State Nodal Agency ( SNA) 
under PMFME for providing 
additional  15% top-up subsidy  to the sanctioned beneficiary  under credit linkage  scheme 
of PMFME.

  Rs. 32.00 crore  have
been disbursed  to 417 units towards reimbursement of net SGST /
reimbursement  of VAT  and interest 
subsidy  under the COVID -19  Package 
during the year FY 2020-21.

 In another  Reply , the Additional Director of Industries
( Hqr) supplied  that  “ Due 
to COVID -19, as per the  special
package announced  by Hon’ble  Chief Minister for MSME sector, there is a
target of State Government  to
provide  interest subvention  of Rs. 108 crore  to the account assisted  under ECLGS ( Emergency Credit Line Guarantee  Scheme @ 2% for men and 5% for women  enterprises 
for  the year 2020-21 , which  will be 
effective  when  the moratorium is over. It  means  this amount 
has not been  released  to any entrepreneur.

 Analysis

A.  It is  proved  
that   news  about Chief Minister sanctioning Rs.289 crore
COVID package to boost MSMEs following  Govt. press 
release  is   completely 
false. Because  the  PIO  precariously
failed to   supply  any 
information about  it.

 B.   Only an  amount 
of  Rs. 64  crore 
has been  disbursed as COVID package
to 417 enterprise Units  and 3577  entrepreneurs.  Out 
of it, An amount  of Rs. 32 .00 crore
 is central Govt. fund  released 
by Govt. of  Odisha  under Prime Minister’s Employment Guarantee  Programme 
and PMFME.

 C.   An
amount    of Rs. 108 crore  has been earmarked  but not 
disbursed by Govt.  
to
provide  interest subvention  to the account of enterprises   assisted 
under ECLGS ( Emergency Credit Line Guarantee  Scheme). 

    
Pradip Pradhan

        M- 9937843482 

         Date- 28.6.21



 P