MINUTES OF STATE LEVEL PMEGP MONITORING COMMITTEE MEETING HELD ON 18 TH OF MARCH, 2014 AT JAMMU. A meeting of State Level PMEGP Monitoring committee was held under the Chairmanship of Shri Khurshid Ahmad Ganie, IAS, Financial Commissioner, Industries & Commerce J&K Government on 18 th of March, 2014 at ITC Hotel Fortune INN Riviera Jammu to evaluate the performance and implementation of Prime Minister s Employment Generation Programme (PMEGP) in the state of J&K. The list of the participants is enclosed as Annexure A At the outset, Secretary/CEO welcomed the committee members and expressed his sincere gratitude to the Financial Commissioner, Industries & Commerce Department (Chairman of the Committee) for extending his support viz-a-viz smooth implementation of PMEGP in the State of Jammu and Kashmir. He acknowledged the help and generous funding support of KVIC under PMEGP. In his inaugural comments, Shri Khurshid Ahmad Ganie, IAS Financial Commissioner, Industries & Commerce J&K Government expressed his satisfaction with overall achievements of PMEGP which have been accomplished in the state of J&K. He applauded the performance of J&K Khadi and Village Industries Board and acknowledged the strenuous efforts of CEO KVIB regarding successful implementation of Khadi and Village Industries Programme in the state of J&K. The deliberations remained centric on the following points. 1. REVIEW OF PERFORMANCE ACHIEVEMENT UNDER PMEGP FOR THE YEAR 2013-14; The Secretary/ CEO KVIB tabled before the Committee PMEGP achievements of all the three Implementing Agencies for review. While reviewing the progress of each agency, the Chairman observed that adequate sponsorship has not been effected by KVIC and DICs of Jammu Division in accordance with the allocated targets. While reviewing the performance of DICs of Jammu Division it was observed that against allocated targets of 480 units, 463 applications have been sponsored to various banks against which 95 cases involving margin money of Rs. 169.48 lacs have been sanctioned by the Banks. Highlighting the performance of the KVIC in the state, the State Director KVIC informed that against target of 507 cases involving margin money of Rs. 606.39 lacs, 311 applications have been sponsored against which 42 cases involving margin money of Rs.122.71 lacs have been sanctioned by the banks. The bankers pointed
out that as per RBI guidelines, sponsorship has to be 125% of the allocated targets, whereas, as per PMEGP guidelines the sponsorship should be to the tune of 300% of the targets. While reviewing the performance of KVIB in respect of Jammu Division CEO KVIB informed that against the target of 500 units, 908 applications have been sponsored against which 352 cases involving margin money of Rs. 639.66 lacs have been sanctioned by the banks; which indicates 70.4% of physical and 107.05% financial achievement against the target. Secretary/CEO KVIB informed that Board has already achieved the financial target fixed by the nodal agency and additional margin money funds are required to settle the margin money claims of the cases which have already been sanctioned by the banks beyond allocated target. Financial Commissioner Industries & Commerce advised the State Director KVIC to transfer of the unutilsed margin money funds of KVIC/DICs to KVIB Margin Money Accounts so as to ensure over all accomplishment of the allocated targets at State level. Chairman asked the Bankers to expedite sanctioning of the PMEGP cases sponsored by the Implementing Agencies at an earliest. While discussing the implementation of the scheme by banks, Secretary/CEO KVIB informed that PMEGP scheme envisages that choice of selecting the financing bank lies with beneficiaries but in actual practice financing banks adopt service area approach. He further stated that some financing banks are not participating in the implementation of the scheme and adoption of service area approach by the financing banks leaves certain areas unreached. While deliberating on the issue Chairman desired that the matter may be referred to next SLBC meeting by the Nodal Agency (KVIC) so that sponsorship method envisaged in PMEGP guidelines is adopted by the State Level Bankers Committee. 2. PROVIDING OF INFORMATION UNDER PMEGP; While discussing the issue the bankers informed that net banking facilities shall be provided to the Implementing Agencies with regard to their PMEGP margin money accounts so that they are able to view the availability of funds position. They further stated that need based information shall be provided to the KVIC and Implementing Agencies by E-Mail as per prescribed formats to be furnished by KVIC. It was further assured that the information can be collected by
the Implementing Agencies/Nodal Agency through their authorized representatives / messengers. 3. OPENING OF MAIN MARGIN MONEY ACCOUNT IN THE NODAL BANK BRANCHES BY ALL THE IMPLEMENTING AGENCIES; After detailed deliberations chairman desired that comprehensive proposal may be prepared by the nodal agency in light of PMEGP guidelines which may be placed before the committee in next meeting for consideration and appropriate decision. 4. CONDUCTING OF EDP TRAINING; Committee was informed that out of 9633 PMEGP beneficiaries EDP training has been provided to only 3531 candidates. Secretary/CEO KVIB highlighted the importance of EDP training in light of PMEGP guidelines and informed the committee that the issue was discussed with the Chief Executive Officer Khadi and Village Industries Commission (GOI), who has in principle agreed to allow KVIB to impart EDP training of PMEGP beneficiaries in the state. Chairman of the committee asked CEO KVIB to move a formal proposal in this regard so that the matter is taken up with KVIC for approval. 5. INCORPORATION OF CITIZEN COOPERATIVE BANKS JAMMU IN THE IMPLEMENTATION OF PMEGP SCHEME; Commissioner Secretary Industries and Commerce desired that all the private sector banks operating in the state must implement the PMEGP. He advised the nodal agency to seek consent of all the private sector banks operating within the state of J&K and accordingly put up a comprehensive proposal in this regard in the next State Level PMEGP Monitoring committee meeting for consideration and appropriate decision. 6. ADJUSTMENT OF MARGIN MONEY; The bankers were advised to credit the Margin Money amount of left-out PMEGP beneficiaries for the year 2008-09 and 2009-10 into their respective loan accounts as per stipulations of the PMEGP scheme and circular instructions issued on the subject by the Nodal Agency i.e. KVIC. 7. COLLATERAL SECURITY;
Annexure A List of the participants of the State Level PMEGP Monitoring committee held on 18 th of March, 2014 at ITC Hotel Fortune INN Riviera, Jammu S.No. Name of the participant Designation (A) Ex. Officio Members: (B) S/Shri 1. Gulzar Ahamd Qureshi Director, Industries & Commerce Jammu 2. Shafiq Ahmad Raina Director Rural Development Jammu 3. Mir Afroz Secretary/CEO J&K KVIB 4. Yash Paul Suman Managing Director, SC.ST & OBC Dev. Corp. 5. V.S. Bagul State Director KVIC Bankers: S/Shri 1. A.K. Pandita Vice President J&K Bank, Jammu 2. Muhammed Latief Mir Dy. General Manager, PNB Jammu 3. R.L. Lochan Chief Manager State Bank of India 4. Anuj Jain Asstt. General Manager, SIDBI, Jammu 5. G.M. Sadiq General Manager, J&K Grameen Bank Jammu 6. Sham Lal Sharma Chief Manager, Jammu CC Bank Jammu Absent: 1. Representative of NABARD 2. Representative of State Women Development Corporation In Attendance S/Shri 1. Jagdish Kumar Financial Advisor & Chief Accounts Officer KVIB 2. R. A. Qadri Deputy Chief Executive Officer (PMEGP) KVIB 3. J.A. Mir Deputy Chief Executive Officer (A) KVIB 4. Dr. D.R. Thapa General Manager, DIC Jammu 5. M.A. Nasir Divisional Officer, KVIB Jammu 6. P.K. Gupta Executive Officer (PMEGP) KVIB 7. A.K. Sharma Margin Money Officer KVIC Jammu 8. Manzoor Ahamd Asstt. Vice President J&K Bank Jammu