SRINAGAR: Minster for Finance Abdul Rahim Rather, has urged upon the J&K State Financial Corporation (JKSFC) for minimizing the gap period between sanction and disbursement of the credit to prospective entrepreneurs.
“While financing fresh proposals, thorough appraisal should be carried out for minimizing possible Institutional formalities at the pre-sanction stage to ensure hassle-free disbursement”, Rather said while chairing the 232nd meeting of the Board of Directors of J&K SFC held here on Saturday.
While appreciating the Management of the Corporation for earning the distinction of being the only PSU in the State having updated its Annual Accounts, the Minster emphasized for further rejuvenating/ revitalizing its areas of operations viz. sanction, disbursement and recovery of loans.
The Managing Director SFC, Mohammad Farooq Thoker informed the meeting that the Corporation after remaining in red for about 10 years is now earning profit since last three years and that its net worth has substantially improved to Rs. (+)25.24 crore. He said after a long gap the Corporation has completely updated and audited its Annual Accounts. He said the Corporation has sanctioned an amount of Rs. 20.65 crore as loan in favour of ‘211’ entrepreneurs during the last fiscal and disbursed an amount of Rs. 11.31 crore while effecting a recovery of Rs. 19.56 crore during the same period. He said the Corporation has put in place all its efforts to maximize the recovery of loans. He said in order to reduce the NPA portfolio, the Corporation has recently settled ‘56’ loan accounts under Merit Scheme and recovered an amount of about Rs. 3 crore.
Besides, approving the Balance Sheet of the Corporation and profit and loss accounts for the year ended 2013-14, the Board also approved to implement the SRO 164 of June 5th, 2014 entitling employees of the Corporation to avail the retirement age of 60 years at par with the other employees of the State Government
The Economic Advisor to Government Jalil Ahmad Khan, Principal Secretary, Finance Department, B.B. Vyas, Managing Director J&K SFC Mohammad Farooq Thoker, Taffazal Hussain (Director), Dy. General Managers, Mohd. Rafique Dar and Nazir Ahmad Bhat and Chief Manager, Shoukat Ahmad Wani also attended the meeting.
While urging for focused attention towards recoveries, the Minster said “current fiscal should be the year of recoveries” which he said was imperative for the financial health of the Corporation. For this purpose, he called for devising a comprehensive recovery policy and vigorous follow-up coupled with robust mechanism for recovery of overdue of the Corporation. He also called for efficient book keeping and Management Accounting adding that customized training programmers for employees of the Corporation need to be organized to infuse the element of Professionalism and Human Resource Development in the rank and file of the Corporation. He stressed the need for a proper Assets Evaluation Policy in the Corporation.