Working on a twin objective of boosting State’s revenues and checking illegal mining, the Punjab Cabinet on Thursday decided to go in for progressive bidding of mines, besides okaying the payment of advance profit to contractors of reverse bid mines.
The Supreme Court had, earlier this month, given its approval on the State Government's decision to replace reverse bidding with progressive bidding of mines along with the directions to immediately stop all mining activities in the state.
The Apex Court had also directed the contractors to remove their machinery from the sites, thus paving way for the mines to be returned to the State Government for re-auction at better commercial terms.
The decision on re-auction of mines through progressive bidding was taken by the Cabinet that met on Thursday under the chairmanship of Chief Minister Capt Amarinder Singh.
With this, the contractors of the mines, auctioned through reverse bidding process, would be given their advance profit for the balance term of their contracts. A total of Rs 11 crore is expected to be paid out for the purpose, said the official spokesperson.
Spokesperson said that the mines would be re-auctioned through progressive bidding and the advance profit given would be added in the reserve price of the mines at the time of their auction through the new process.
Under progressive bidding, the mine would be auctioned for its true and real value, leading to increased state revenues to the extent of an additional Rs 400 crore, the spokesperson said.
This would also curb illegal mining as mines, which were earlier being obtained at throwaway prices, would now be auctioned at commercial rates, forcing contractors to join the government’s efforts to crackdown on illegal mining activities, the spokesperson added.
FINANCIAl FRAUDS A NON-BAIlABlE OFFENCE
Making fraudulent practices by financial establishments a non-bailable offence inviting up to 10 years of imprisonment with provisions for attachment of properties, Punjab Cabinet has approved a new legislation to safeguard the interests of depositors and such practices.
The Punjab Protection of Interests of Depositors’ (in Financial Establishments) Bill, 2018, has been brought in following several complaints of fraud received by the State Government, Reserve Bank of India (RBI) and Securities and Exchange Board of India (SEBI).
Under Section 6 of the legislation, if a finance company fails to return deposits on due date or defrauds the public, the promoters, managers and employees would be liable for imprisonment up to 10 years and fine of Rs one lakh, besides the financial establishment shall also be liable for a fine of Rs two lakh which may extend to Rs one crore.
Section 5 of the legislation provides that all financial establishments would be required to submit quarterly return of their business to the District Magistrate or Additional District Magistrate. In case of default, the company would be liable to pay fine of Rs one lakh.
Section 3 authorizes the government to attach the properties of company and also properties of owners or directors and promoters of the company. Section 4 provides that officers notified by the government, such as District Magistrate or Additional District Magistrate, will dispose of properties as per orders of the Designated Court. Under Section 8, the government would notify District and Session Judge as the Designated Courts to implement this Act.
Sections 9 to 12 deal with detailed powers of Designated Courts while Section 16 states that no anticipatory bail would be allowed to promoters, managers and employees of the company found guilty of fraud.
The move follows mushroom growth of financial establishments in Punjab, with many of them making unlawful gains by way of receiving money as deposits from the public by making impracticable or commercially unviable promises or by offering highly attractive rates of interest or rewards, with the intention of not fulfilling the obligation of refunding the deposits on maturity or with the intention of not rendering proper services assured, to the investors at the time of accepting the deposits.
The proposed Bill would go a long way in protecting the rights of innocent depositors, who were often duped by such fraudulent financial institutions on the pretext of supplementing their money manifold.
TO IMPlEMENT PUNJAB PENDU AWAAS YOJNA FOR HOMElESS
Benefiting tens of thousands of ‘homeless’ freedom fighters and families with annual income less than Rs three lakh living in villages, Punjab Cabinet gave its nod to the implementation of the Punjab Pendu Awaas Yojna (PPAY).
The scheme will be implemented in a phased manner with all the houseless freedom fighters to be covered in the first phase, subject to them being residents of the respective villages in which they intend to construct the house.
It has been clarified under the scheme that a married houseless or landless son(s) living in joint family, but having separate electricity connection or ration card, would be eligible to avail benefits under the scheme.
A beneficiary would be given Rs 1.20 lakh by the state government, besides 90 mandays or labour, which would be provided to him in convergence with MGNREGA. In addition, a toilet would be constructed in the house at a cost of Rs 12,000 under MGNREGA or Swachh Bharat Mission. The house to be constructed under the scheme by the beneficiary would be of about 25 square metres with one room, kitchen and a toilet.
In the first phase, eligible freedom fighters, followed by applicants found eligible under (PMAY) (G) with annual family income up to Rs 1.2 lakh would be covered, while in the second, applicants with an annual family income from Rs 1.20 lakh to Rs three lakh would be covered.
Spokesperson said that Panchayats, having their own sources of income, would also be able to utilize those funds for the purpose of the scheme. Additionally, industrialists would be encouraged to contribute under Corporate Social Responsibility for the scheme, while the NRIs and the general public would also be motivated to contribute.
PMS: VAlID SCHOlARSHIP TO BE RElEASED
Approving the release of funds to private educational institutions under the Post-Matric Scholarship (PMS) scheme for the SC students, Punjab Cabinet has decided to retain the objectionable amount with nine percent penal interest.
The decision was taken to ensure that SC students do not face hardship on account of ongoing financial scrutiny into scholarship disbursement.
Spokesperson said that the interest will be calculated as on date of release of the valid amount mentioned in the report of the audit being conducted to identify and address irregularities in the implementation of the scheme.
It was clarified that the release of valid scholarship amount would not absolve the educational institutions of any criminal or civic liability for any irregularity found in the audit reports. The line departments would assist the Welfare Department in initiating legal and administrative action against the defaulter educational institutions by deputing adequate manpower for this purpose.
In cases where the objectionable amount is more than Rs 50 lakhs, the Punjab Cabinet has given the go-ahead for initiation of legal, criminal or administrative action by the Welfare Department immediately against the private educational institutions through the concerned line departments after issuing a show cause notice in each case.
Further administration or legal action would also be taken, as per the regulation of All India Council of Technical Education, Punjab Technical University and Medical Council of India etc, by the line departments.
PUNJAB STATE HIGHER EDUCATION COUNCIl FORMED
Before setting up a regulatory body for the educational institutes, Punjab Cabinet approved an Ordinance for constituting Punjab State Higher Education Council, in line with the requirements of the Rashtriya Uchchtar Shiksha Abhiyan.
The Council, comprising Chief Minister as its chairman besides Higher Education Minister as vice chairman and Administrative Secretary (Higher Education) as its Member Secretary, will also have on board vice chancellors of state universities, Principals of Government Colleges and eminent personalities from the fields of Arts, Science, Technology, Culture and Industry who have made outstanding contributions in their respective fields.
It was constituted with an aim to ensure planned and coordinated development of higher education in the State, besides ensuring quality in institutions, facilitating sharing of resources between universities and colleges especially for research purposes, academic and governance reforms, as well as monitoring and evaluation of such educational institutions.
EX-GRATIA ENHANCED FOR MlAs
Cabinet has enhanced ex-gratia grant of Members of Punjab legislative Assembly from existing Rs one lakh to Rs five lakh by amending section 10-A (1) of ‘The Punjab State legislature Members (Pension and Medical Facilities Regulation) Rules, 1984’, to be provided in case of death of person serving as a MlA to the members of the family.
NAIB TEHSIlDAR (B) SERVICE RUlES APPROVED
Cabinet has also approved Punjab Naib Tehsildar (Group B) Service Rules-2018, as the post of Naib Tehsildar has now fallen into Group B after revision of pay scales w.e.f January 1, 2006. Following this, the appointing authority and appellate authority in case of Naib Tehsildars would now be Financial Commissioner Revenue and Revenue Minister respectively.