IATO seeks PM’s intervention to remove anomalies in operational guidelines of ECLGS

Prime Minister Narendra Modi. File   | Photo Credit: PTI

The Indian Association of Tour Operators (IATO) on Wednesday said it has written to Prime Minister Narendra Modi seeking his intervention for removing anomalies caused by conditions imposed by NCGTC in the implementation of the Emergency Credit Line Guarantee Scheme (ECLGS).

According to the conditions issued by NCGTC, the account availing ECLGS was not to be non-performing asset (NPA) or days past due (DPD) for over 90 days as on the date of sanction or disbursement of the facility, IATO said in a statement.

“Consequent to that, it nullifies any benefit that may have accrued to tour operators....the condition as stipulated in NCGTC makes mockery of any benefit that may have accrued to the tour operators,” IATO President Rajiv Mehra said.

The current NCGTC operational guidelines should be either revoked or amended suitably as operational guidelines are inconsistent with the spirit of both ECLGS 3.0 scheme and the RBI notification. The guidelines have defeated the purpose of the scheme, he added.

The sector has been struggling for the last one year and whatever hopes there were of revival have been shattered by the current wave, IATO said.

ECLGS was launched by the Government of India as a special scheme in view of COVID-19 crisis.

Our code of editorial values

This article is closed for comments.
Please Email the Editor

Printable version | Jun 15, 2021 10:11:01 AM |

Next Story