KCCI thanks LG Administration for forming committee on OTS issue

Srinagar, Apr 9: The Kashmir Chamber of Commerce & Industry (KCCI) expressed thanks to the Lieutenant Governor, Manoj Sinha and his administration for constituting a committee for addressing NPA issues of borrowers.

A statement said that this matter was raised by KCCI in various meetings held with the Lt. Governor during the past one year. "The LG Saheb had assured that the suggestion put forward by KCCI would be seriously considered. In this context the Government of Jammu & Kashmir has issued an order vide No : 940-JK( GAD ) of 2024 dated 08-04-2024 whereby the Government has constituted a committee comprising of the Principal Secretary to Government Finance Department; Commissioner/Secretary to Government Industries & Commerce Department; and the Executive Director, J & K Bank."

The committee has been mandated to address the ONE-TIME Settlement (OTS) cases faced by MSME’s.

The KCCI in a letter to the Lt. Governor expressed gratitude to him for constituting this high-level committee which will prove beneficial for Banks and borrowers. The Government decision is a pathbreaking one and help Banks to recover the money and the borrowers straighten their accounts. The OTS scheme announced as a consequence of the recommendations of the committee help investments and the economic growth of Jammu & Kashmir.

The KCCI like the past had offered to act as a bridge between lending institutions and the borrowers. It also suggests that the new OTS Scheme be made applicable to all categories of borrowers so that the NPA cases lingering for a decade or so find a practical closure. The KCCI hopes that the new scheme will take care of the duration without putting a bar on the eligibility and the upper cap.

It will be worth mentioning that KCCI had taken up this matter with the Parliamentary Standing Committee on Industry during its meeting at Srinagar.

The KCCI advises the borrowers to make necessary arrangements for availing of the OTS scheme in anticipation of its announcement.