Arbitrator will help extract receivables over 120 days old
The Maharashtra government has come out with a resolution regarding the formation of an industry facilitation council for small-scale industries (SSIs).
The council, mooted by the Central government through a set of guidelines in 1998, will assist SSIs in recovering dues from big industrial units and public sector undertakings (PSUs).
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To be governed by the Centre, the council will be formed under the Interest on Delayed Payments to Small Scale and Ancillary Industrial Undertakings (Amendment) Act, 1998.
It will act as an arbitrator for SSIs helping them recover dues of more than 120 days.
As per the norms of the council, defaulters will have to clear outstandings, which will attract an interest levy based on the prime lending rate of the State Bank of India.
Each of the seven revenue divisions of the state