Please refer to our Circular No.48 /DoR-13 /2019 dated 06.03.2019 on the captioned subject communicating the operational guidelines for extending Soft Loan to sugar mills.
In this connection, it is advised that Para 9 of the operational guidelines indicated in the above mentioned circular may be read as :
“Once the loan is sanctioned and necessary formalities for disbursal are completed, the Bank will obtain from the respective sugar mill, the list of farmers along with bank account details, borrowable account numbers of farmers who have availed credit facility from the banking system, and regular saving bank or current account numbers in respect of farmers who have not availed any credit facility, and the extent of cane dues to be paid computed on the basis of FRP and shall directly remit the funds allocated into the accounts of farmers on behalf of the sugar mill. Subsequent, balance, if any, will then be credited into the mill’s account.”
Accordingly, Annexure-III constituting the Utilization Certificate to be submitted by Sugar factory has also been revised.
We request you to please arrange to circulate the above modification among your branches.