The Vijayawada Municipal Corporation on Thursday organised a review meeting with officials of the State Bank of Hyderabad on the progress of sanctioning of housing loans to beneficiaries of VMC schemes in the city.

The SBH team headed by its Assistant General Manager K. Ruchira agreed to release another Rs. 3.77 crore to 1,256 beneficiaries, whose eligibility and sanction papers would be prepared by the corporation officials. The bank originally sanctioned Rs. 9.70 crore for the housing project.

In January this year, the bank had sanctioned loans for 1,058 beneficiaries, but the loan documents with respect to 837 of them were only submitted to the SBH. The bank had sanctioned Rs.3.174 cr. in January.

A decision was taken at Thursday’s meeting with Municipal Commissioner Mohammed Abdul Azeem to prepare an action plan for payment of loan amount to the eligible beneficiaries.

Other officials who attended the meeting included UCD Project Officer Siva Sankara Rao, Housing Cell Project Manager K. Vijaya Kumar, and bank’s Chief Manager P. Achuta Devarayulu.

The municipal officials also discussed the issue of submission of 221 pending documents for release of the loan amount. Out of the 221 documents, 137 cases of housing were referred to the committee headed by Superintending Engineer for verification.

A decision was taken to constitute a committee to speed up loan sanction and completion of houses. The VMC had submitted another set of 1,978 documents to the SBH on February 4 for sanction of Rs.5.934 cr. and when the issue was reviewed, the bank officials said they had accepted the documents and would release the amount soon.

The housing scheme of the corporation had been progressing at a snail’s pace following several interruptions due to lack of funds due to non-release of money by the State government.

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