5.6“Special package” of facilities to be extended by Government of M.P. for sick/closed industries to be restarted after take over/buying out.

The Govt. of M.P shall provide following facilities under “ SPECIAL PACKAGE” for those BIFR referred large and medium scale industries which are rehabilitated through change of management or by way of buying out, under liquidation after recommendation for winding up by the BIFR and taken over/purchased units by the state corporation MPSIDC or MPFC :-

5.6.1 NON-FISCAL

5.6.1.1 For smooth running of industry, Labour Department of Govt. of M.P shall provide all possible assistance to resolve disputes between management and labour.

5.6.1.2. Industries department shall provide all necessary assistance for resolving problems faced by the industry from various other Depts. of Govt.

5.6.1.3 As needed, rehabilitated unit would be declared Relief- Undertaking.

5.6.2 FISCAL

5.6.2.1 Commercial Taxes {Sales tax, Entry tax, Purchase tax} exemption/ deferment facility sanctioned earlier, would be available as per eligibility for remaining period after the date of take over.

5.6.2.2 Assistance under “ Industrial promotion Assistance scheme” shall be extended as per eligibility.

5.6.2.3 In case if, arrears of commercial taxes {Sales Tax, Entry Tax, Purchase Tax} are due on taken over unit, then within 3 months from the date of take-over, if actual amount of commercial tax i.e assessed tax is deposited in one stroke then entire interest/penalties shall be waived, otherwise arrears of commercial tax {inclusive of interest/penalties} could be allowed to be repaid in 6 half yearly instalments. In case there is a delay in re-paying these instalments then interest at the rate of PLR of State Bank Of India shall be charged.

5.6.2.4 If the buyer invests 50% or more on earlier investment in fixed capital of rehabilitated unit, then this unit shall be treated as new unit and shall get facilities as applicable to new unit.

5.6.2.5 Minimum demand charges levied by MPEB for the closure period of the unit shall be waived, but in case unit has already deposited this amount, then it shall not be refunded or adjusted in future.

5.6.2.6 If amount of arrears of actual bill of M.P.E.B is paid within a period of 3 months from take over, in one stroke, then penal charges levied on account of delayed payment, shall be fully waived otherwise actual amount payable {inclusive of penal charges} shall be allowed to be repaid in six half yearly instalments. In case there is delay in re-paying these instalments then interest at the rate of PLR of State Bank Of India shall be charged.

5.6.2.7 If the power connection of taken over unit is disconnected due to non-payment of electricity bill or due to breach of agreement of M.P.E.B, then reconnection shall be made without asking for new security deposit from the taken over unit.

5.6.2.8 If the arrears of local bodies taxes such as water tax, octroi, property tax etc* is paid within a period of 3 months from take over in one stroke then interest/penalties levied shall be fully waived. Otherwise actual amount payable {inclusive interest/penalties} shall be allowed to be repaid in six half yearly instalments. In case there is delay in re-paying these instalments then interest at the rate of PLR of State Bank Of India shall be charged.

5.6.2.9 If taken over unit is situated in industrial area or growth centre of A.K.V.N and if buyer pays within 3 months from take over, the actual arrears of lease rent, maintenance charges and water charges in one stroke, then entire interest/penalties shall be waived. Otherwise actual amount payable {inclusive interest/penalties} shall be allowed to be repaid in six half yearly instalments. In case there is delay in re-paying these instalments then interest at the rate of PLR of State Bank Of India shall be charged.

5.6.2.10 On account of taken over, stamp duty to be levied on land/building and other fixed assets shall be fully exempted.

5.6.2.11 If buyer invests Rs.10 Crore or more as fresh share capital investment, then the unit could be considered for extending facilities given to units investing capital investment of Rs.25 Crore or more under "MEGA PROJECT".

Above mentioned facilities shall not be automatically applicable on mere take over or buying of any unit. This facilities could be limited on specific facility or all facilities shall be sanctioned on merit of each case by High level committee headed by Chief Secretary constituted under policy package 1988.