Goa govt firm cracks whip on loan defaulters

The Economic Development Corporation Ltd (EDC), has cracked the whip on loan defaulting companies and is also in the process of attaching those units.

The decision comes in the wake of the state government's disapproval of the continuation of the One Time Settlement scheme.

The corporation is a financial and investment institution, which extends financial assistance to industries in the tourist centric state.

Two hotels, Prakash Heritage and Hotel President, in Ponda""about 30 km away from the capital city""have been shut down by EDC for loan default to the tune of Rs 3.5 crore.

The EDC also filed an FIR at the Panaji police station against a Panaji-based cable operator, Madkaikar Vision for selling the machineries financed by the EDC and thereby cheating the corporation to a tune of Rs 3 lakh.